Concessions and Bid Rounds
Concessionary frameworks vary to a wide degree by country. Countries such as Saudi Arabia prohibit independent oil companies (IOCs) from drilling and booking reserves for their own account. This doesn't mean that NOCs do not enter into partnerships with IOCs. NOCs certainly have an interest in various joint ventures, such as building refineries and pipelines to name a few. Where things get complex is the practice of booking reserves. Many sovereigns simply do not permit IOCs to drill and book hydrocarbon reserves.
The issue of booking reserves is more complex among mixed-capital companies. To a certain extent, mixed-capital companies permit oil and gas companies to book reserves. However, the oil and gas frameworks ...
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