Effective 2017 all new upstream licences are awarded under new Gross Split PSC terms. The mechanism involves revenue sharing between the contractor and the government based on a number of parameters. The parameters include base split incremental variable split (10 parameters) plus progressive split (linked to oil price and cumulative production). The corporate income tax is also payable. A contractor may be obliged to offer a 10% participating contract interest to a regional government owned company following development approval of the first field in the contract area.