Iraq has revamped its fiscal terms for oil and gas projects. The per barrel remuneration fee has been replaced with a biddable profit share. The new terms address several structural shortcomings with the technical service contract. However, they remain tough with a typical government share of over 95%; Iraq will struggle to attract companies with the best technologies and capabilities. For oil projects, the changes are broadly tax neutral (depending on various factors). Gas projects have been disadvantaged. Compared to the Siba project from Round 3, the effective remuneration fee is six times lower. It is hard to see dry gas projects or gas fields with high processing costs, being developed.