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Country Report

Mongolia upstream fiscal summary

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Production Sharing Contract (PSC) fiscal system. Applicable taxes include Bonuses, Royalties, and a negotiable progressive income tax rate. Profit oil sharing is based upon production rates; corporate income tax is payable by the contractor. The barrel = lifetime revenue / field reserves. Profit = revenue – costs from barrel charts. For further details see New Investment: Methodology. Source: Wood Mackenzie

Table of contents

  • Basis
  • Licence terms
  • Government equity participation
    • Ring fencing
    • Bonuses, rentals and fees
    • Indirect taxes
    • Royalty
    • PSC cost recovery
    • PSC profit sharing
    • Corporate income tax
    • Product pricing
    • Summary of modelled terms
  • Recent history of fiscal changes
  • Stability Provisions
  • Split of the barrel and share of profit
  • Effective royalty rate and maximum government share
  • Progressivity
  • Fiscal deterrence

Tables and charts

This report includes 18 images and tables including:

  • Timeline
  • Timeline details
  • Split of Barrel - oil
  • Split of barrel - gas
  • Share of profit - oil
  • Share of profit - gas
  • Effective royalty rate and minimum state share
  • Maximum government share and maximum state share
  • State share versus Pre-Share IRR - oil
  • State share versus Pre-Share IRR - gas
  • Investor IRR versus Pre-Share IRR - oil
  • Investor IRR versus Pre-Share IRR - gas
  • Bonuses, rentals and fees
  • Indirect taxes
  • Profit sharing
  • Contractor Profit Share Oil
  • Contractor Profit Share Gas
  • Assumed terms by location - oil and gas

What's included

This report contains:

  • Document

    Mongolia upstream fiscal summary

    PDF 901.71 KB