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PRODUCTION SHARING CONTRACT FOR THE ONSHORE OF TIMORLESTECONTRACT AREA ONSHORE PSCTLOT221822 December 2022Table of Contents Article 1 Definitions and Interpretation ............................................................. 7 1.
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Oil and gas companies looking to collaborate with government entities in exploring and developing oil and gas resources.
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A production sharing contract (PSC) is an agreement between the government and a company for the exploration and production of natural resources, allowing the company to recover costs and share the revenue generated from the extraction.
Any company or entity engaged in the exploration and extraction of natural resources under a PSC is required to file the contract with the relevant government authority.
To fill out a production sharing contract, parties need to provide detailed information about the parties involved, the scope of work, financial terms, reporting requirements, and any relevant laws or regulations.
The purpose of a production sharing contract is to outline the terms and conditions under which exploration and production activities are conducted, to allocate risks and profits between the government and the contracting party, and to ensure compliance with legal and regulatory frameworks.
The information that must be reported in a production sharing contract includes the parties involved, contract terms, cost recovery methods, profit sharing arrangements, and production forecasts.
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