Libyan Oil and
Gas Resources
Key Players, Hydrocarbon
Laws, Exploration and Production Records, Past Lessons, Present Challenges and
Future E&P Potential
A New Report from Target Exploration
Summary
For twenty
years the existence of UN and US sanctions, only lifted in full in 2004, effectively closed down
Chapter One: Historical
Perspective: The first Libyan commercial oil discovery, the Zelten
field, was made in 1959 in the
Chapter Two: Key Players, Essential Facts: In this key chapter extensive primary data and detailed
information on each operating company in
Chapter Three: Characteristics of the Libyan Upstream Oil Sector: The author identifies the unique characteristics underlying
the development of the Libyan sedimentary basins. After the first discoveries
of the 1960’s, the main players concentrated their efforts in the Sirte
basin where the giant discoveries had been made. Thereafter, until the
1980’s, the potential of the remaining onshore sedimentary basins such as
Murzuq and Ghadames was not seriously considered, although offshore potential
had at least been realised by Agip, who developed the El-Bouri field in 1990.
This lead to a situation where, in the writer’s view, the other Libyan
sedimentary basins have been erroneously perceived as inherently
“risky” when compared to the Sirte basin, resulting in their
presently grossly unexplored status. The unique
characteristics of Libyan upstream development are broken down and analysed
separately, including seismic activities and geological prospectivity, exploration and discovery risks, infrastructure development,
risks and uncertainties associated with individual Libyan sedimentary basins,
reserve risks, technical and capital risks, and crude oil production
and its relationship to Libya’s OPEC quota.
Chapter Four: Evaluating
Risk in the Libyan Petroleum Agreements: An understanding of the evolution and unique
characteristics of the various Libyan petroleum fiscal agreements is necessary
to fully understand the current Libyan PSC, the EPSA IV model. A thorough
analysis of all the Libyan Petroleum Agreements, from the Concessions of the
1950’s to the present EPSA-IV, is undertaken. The author concludes with
two authoritative and comprehensive tables. The first relates each of the
Libyan fiscal agreements, from the 1955 Petroleum Law to the 2004 EPSA-IV, to a
series of risk factors, such as duration, surrender, exploration obligations,
management and supervision factors, exploration and development expenditure,
recompense of Capex to LNOC, production allocation, and royalty and taxes,
enabling the reader to readily understand the advantages and drawbacks of each
type of agreement. The second table is an evaluation of the effectiveness of
all the Libyan petroleum agreements, and appraises and relates each agreement
to a series of parameters, such as their contributions to exploration and
discoveries, reserves, field development and infrastructure by the IOCs. It
also highlights levels of acceptance of their fiscal terms by the IOCs, future
prospects, and required fiscal changes to attract IOCs by reducing and
spreading risk.
Chapter
Five: EPSA IV: Measuring its Success: Initially the author presents and analysis key features of
EPSA-IV, ranging from obligations
and rights of both parties with respect to exploration and exploitation
durations and areas, signature bonuses, royalty and income taxes, ownership of
equipment, abandonment, assignment, and the pre-emption rights of the LNOC. A
complete analysis of EPSA-IV, Bidding Rounds One and Two is delivered. By
critically analysing the defects of both rounds, especially regarding financial
commitments for exploration, he concludes that the first two EPS-IV rounds can
only be seen as a partial success for the Libyan government. The author then
describes the salient features of the Third Bidding Round, in which a points
system, will determine the selection of the winners, using three criteria. The
first is allocation of production share, the second the amount of the signature
bonus, and the third the value of exploration commitments. He concludes, after
using a deterministic model, that
in global terms EPSA-IV still provides a respectable rate of return for the
IOCs, and presents a comprehensive table and charts which compare IOC/LNOC
returns for each of the Libyan sedimentary basins under three A and B factor
scenarios.
Chapter Six: The Libyan Gas
Sector: Maximising the Potential: The author notes that the gas sector is emerging as an
important force in
Chapter
Seven: Key Issues and Future Trends: In this chapter the
author examines a wide range of key issues and identifies future trends in the
development of the Libyan economy and the role of the hydrocarbon sector in
achieving these. The first section he poses and comprehensively answers a key
question about the Libyan economy – why has
Chapter
Eight: Future Prospects: In one very important respect, based
fundamentally on geography,
Appendices: The author provides two extremely valuable Appendices. The first
is the full text of the current EPSA-IV contractual agreement between the
IOC/LNOC covering 50 pages. The second is a comprehensive table which provides
details of exploration drillings from the early exploration period to recent
time, covering 44 pages.
Table of Contents
1.2.1. The Global Petroleum
Industry
1.2.2. Evolution of the
Libyan Oil Industry
1.2.3. Libya’s
Historical Production Profile
1.2.6. Impact of the Libyan
Fiscal Agreements
Chapter Two: Operating Companies – Key Players, Essential Facts
2.2. Arabian
Gulf Company (AGOCO)
2.2.2. Main
Oilfields,Terminals and Refineries
2.2.3. Oil and Gas Production
by Field, end- 2005
2.3. The Waha Oil Company (WOC)
2.3.3. Oil and Gas Production
by Field, end- 2005
2.4.3. Oil and Gas Production
by Field, end- 2005
2.5. Zueitina Oil Company (ZOC)
2.5.3. Oil and Gas Production
by Field
2.6.3. Oil and Gas Production
by Field, end- 2005
2.7. Total
(Compagnie Des Petroles Total) Libya
2.7.3. Oil and Gas Production
by Field, end- 2005
2.8.3. Oil and Gas Production
by Field
2.9.3. Oil and Gas Production
by Field, end- 2005
2.9.5. Wintershall Recent
Activities
2.10.3. Oil Production by
Field, end- 2005
Chapter Three: Characteristics of the Libyan Upstream Oil Sector
3.1. The Libyan Experience of Oil
3.2. Review of Libyan Upstream Oil Sector
3.3. The Libyan Sedimentary Basins
3.4. Total Onshore Areas Licensed: October, 2005
3.5. Total Offshore Areas Licensed: October, 2005
3.6. Seismic Activities and Geological Prospectivity
3.7. Exploration and Discovery in Libya – Measuring
Risk
3.8. Oil Prices and their Effect on Exploration
3.9. Libyan Basins Development and Infrastructure
3.11. The Libyan Basins Pipeline Network
3.15.
Understanding Libyan Production Trends
3.17.
Present Crude Oil Production and Major Producers
3.18. Libyan
Crude Oil Production by Basin
3.19. Understanding Libyan Production Decline –
Technical and Capital Constraints
3.20. Future
Development and Re-development of Oilfields
3.21.
Possible Scenarios for Increasing Libyan Crude Oil Production
3.22. Libya’s Crude Oil Production Increases and
the OPEC Quota
3.24. The
Deteriorating Libyan Upstream Oil Sector
3.25. Factors
Attracting Investment in the Libyan Oil Sector
Chapter Four: Evaluating Risks in the Libyan Petroleum Agreements
4.1. The Basic Components of Global Upstream Petroleum
Agreements
4.2. Understanding the Libyan Upstream Petroleum
Agreements
4.3. The Posted
Oil Price and Contractual Risks under the Libyan Concession, 1955 - 1973
4.4. The
Significance of the “Taxation Factor Rate”(TFR)
4.4.1. TFR and the Libyan
Concession Agreements
4.4.2. TFR and the
Participation Agreements
4.6. The Libyan
Exploration and Production Agreements (EPSAs)
4.7. Risk in the
Libyan Petroleum Agreements
4.7.4. Comparative Analysis
of Risk Factors
4.7.5. Evaluating the
Effectiveness of the Libya Fiscal Agreements
Chapter Five: EPSA-IV: Measuring It Success
5.2 EPSA-IV Round Public Bidding Procedures: A Unique
Approach
5.4.1.
Exploration/Exploitation Periods and Areas
5.4.3. Royalty and Income
Taxes
5.5. EPSA-IV: Bidding Round One
5.6. The Shell 2005 Deal: A Win-Win Situation?
5.6.1. Shell: The Upstream
Deal
5.6.2. The Commerciality of
the Shell E and P Deal
6.6.3. Shell: The Downstream
LNG Deal
5.7. EPSA-IV:
Bidding Round Two
5.7.1. Asian &
European-IOCs: Lessons Learned and a New Competitiveness
5.8. Economic Appraisal of the first two EPSA-IV Rounds
5.8.1. Efficiency and
Transparency
5.8.3. Exploration
Committments
5.8.4. Second Party
Allocation
5.8.4. LNOC’s Isolation
from Global Realities
5.8.5. The Geopolitics of the
First Two EPSA-IV Rounds
5.8.5. EPSA-I and II and the
2005 Shell Deal
5.9. EPSA-IV:
Bidding Round Three
5.10. EPSA-IV Terms and Project Profitability
Chapter Six: The Libyan Gas Sector: Maximising the Real Potential
6.1. Libyan Gas Reserves in Global and Regional Terms
6.3. Libyan: Gas Transportation System
6.5. Domestic Consumption Trends
6.6. The Libyan Policy Vacuum for Gas Developments
6.6.2.1. Gas Development
Scenarios in EPSA IV
6.6.2.2. The Relevance of the
A and B Factors in Gas Development under EPSA IV
6.6.2.3. Monetizing Gas in
EPSA IV
6.7. Future
Libyan Gas Policy Imperatives
6.7.2. A Dedicated Body for
Libyan Gas Development
6.7.2.1. Increasing Libyan
Proven Gas Reserves
6.7.2.2. Defining the Gas
Reserve/Production (R/P) Ratio
6.7.2.3. Sales of Gas in the
Domestic Market
6.7.2.4. Dedicated Fiscal
Terms for Gas
6.8. Libyan Master Gas Plan - Linking the Upstream and Downstream
Markets
6.9. Case Study:
The Western Libya Gas Project
6.9.1. The Financial
Structure
6.9.1.1. Importance of the
WLGP – Symbolic and Real
6.9.1.2. Analysing Cost
Escalations in the WLGP
6.9.1.5. Dealing with Future
Gas Shortages in the WLGP
6.10. Financing Major Future Gas Projects
Chapter Seven: The Libyan Hydrocarbon Sector: Key Issues, Future Trends
7.1. Libya’s Petroleum Industry and its Future Role
in Economic Diversification
7.1.2. Why has Libya Failed
to Diversify its Economy?
7.1.4. The Impact of the
Sanctions
7.1.5. The New Libyan Petroleum Law as a Driver
of Economic Diversification
7.1.5.1. Delays in the Implementation of the
New Law
7.1.5.3. Opex and Procurement
Policy
7.1.5.4. The Environment and Economic Sustainability
7.1.5.5. Sectoral
Diversification in Libya
7.2. Who Controls the Libyan Hydrocarbon Industry?
7.2.1. Divergence of Control
within the Libyan Hydrocarbon Sector
7.2.3. Clarifying
LNOC’s Powers
7.2.4. The Advantages of
Eliminating FDI Risk
7.3 The Re-entry of US Oil Companies to Their Assets in
Libya
7.3.2. US-Libyan
Rapprochement
7.3.3. The Standstill
Agreements of 30th June, 1986
7.3.4. The Legality of the
Re-entry Agreement
7.3.5. The Economic Terms for
Re-Entry
7.4. Developing the Libyan Marginal Fields – Risks
and Rewards
7.4.1. No Fiscal Incentives
for Marginal Field Development
7.4.2. The Fundamentals of
the Libyan Marginal Fields
7.4.3 Economic Notions of
Marginal Fields
7.4.4. Characteristics of the
Libyan Marginal Fields
7.4.5. The Importance of the
Appropriate Contractual Terms
7.4.5.1. Development under
EPSA IV
7.4.5.2. The Concession
Approach
7.4.5.3. Development by
Indigenous Companies
7.4.5.4. Dedicated
Legislation for Marginal Field Development
7.4.5. Not Liabilities but
Assets
7.5. The Libyan National Oil Corporation - Quo
Vadis?
7.6.1. The Role of National
Oil Companies
7.6.3 Algeria and Hydrocarbon
Industry Deregulation
7.6.4. LNOC- Corporatisation
and Privatisation
7.6.5. Consolidating
LNOC’s Operating Companies
Chapter Eight: Future Prospects
8.3. The New Libyan Petroleum Law and Economic
Diversification
8.4. The Unexplored Status of the Libyan Basins
8.5. The Future of the Libyan Hydrocarbon Industry
8.6. The Way
Ahead for Libya’s Gas Sector
8.7. LNOC: Failed
Giant or Future Powerhouse?
Appendix A: Libya: Exploration and Production Sharing
Agreement – IV (EPSA-IV), Model
Appendix B: Breakdown Detailes of Exploration Drilling
Table 2. 1: AGOCO: Current and Planned Oil
Production by Field, end- 2005
Table 2. 2: AGOCO: Oil Reserves of the Developed
Reservoirs, end-2005
Table 2. 3: AGOCO Gas Reserves of the Developed
Reservoirs, end- 2005
Table 2. 4: AGOCO:Discovered and Undeveloped Oil & Gas Reserves
Table 2. 5: AGOCO: Oil and Gas Prospects Identified in
All Areas
Table 2. 6: WOC: Development of Ownership Interests
Table 2. 7: WOC: Summary of Producing Fields, 2005
Table 2. 8: WOC:
Details of Producing Fields and Wells
Table 2. 9: WOC:
Reserves of October 2005
Table 2. 10: WOC:
Booked and Potential Future Reserves
Table 2. 11: WOC:
Development of Reserves from 1986 to 2004
Table 2. 12: WOC: Summary of High Potential Prospects
& Leads
Table 2. 13: WOC: Current Concession & Block Areas
Table 2. 14: WOC:
Development of New Projects
Table 2. 15: WOC:
Expected Added Reserves from Oil & Gas from 2006 – 2010
Table 2. 16: SOC: Oil and Gas Fields, 2005
Table 2. 17: SOC: Summary of Producing Fields
Table 2. 18: SOC: Oil-Field Discoveries, Production and
Reserve Profiles
Table 2. 19: SOC: Gas-Field Discoveries, Production and
Reserve Profiles
Table 2. 20: SOC: Reserves of Crude Oil from Developed
Reserves, September, 2005
Table 2. 21: SOC: Reserves of Crude Oil from Undeveloped
Reserves, September, 2005
Table 2. 22: SOC: Reserves of Associated &
Non-Associated Gas, September,2005
Table 2. 23: ZOC:
Historical Development
Table 2. 24: ZOC:
Oilfield Production Profile
Table 2. 25: VOC : Main Oil Fields and Production
Profile, 2005
Table 2. 27: Total: Main Oil Fields and Production Profile,
2005
Table 2. 28: Mabruk Oilfield: Status of Supplying Wells
Table 2. 29: Al Jurf Oilfield: Status of Supplying Wells
Table 2. 30: Mabruk Oilfield: Status of Reserves
Table 2. 31: Al-Jurf Oilfield: Status of Reserves
Table 2. 32: Mabruk Phase IV: Contract Details
Table 2. 33:
Options for Developing Al-Jurf, Phase-II
Table 2. 34: Repsol: Main Oil Fields and Production
Profile, 2005
Table 2. 35: Repsol: Oilfields Production Details and
Facilities
Table 2. 36: Repsol: El-Sharara Field Block - NC-115
Reserve Status Profile
Table 2. 37: Repsol: Block NC-115 :Leads in Three Reserve
Scenarios
Table 2. 38: Repsol: Block NC-186: Reserve Status as at
31st December,2004
Table 2. 39: Repsol: El-Sharara Block NC-115: Exploration
Plan, 2005 2009
Table 2. 40:
Wintershall: Main Producing Oilfields, 2005
Table 2. 41: Wintershall: Oil Reserves, as 2005
Table 2. 42: Wintershall: Recent Completed Projects
Table 2. 43: Agip: Oilfields Production, 2005
Table 2. 44: Agip: Oil Concessions & Blocks: Remaining
Reserves, 2005
Table 2. 45:
Agip: Expected Additional Reserves from Exploration Activities 2005 - 2009
Table 2. 46:
Agip: Expected Additional Reserves from Development Activities 2005 - 2009
Table 3. 1: Libya: A Comparison of Historical with
Planned Seismic
Activities,1956-2005
Table 3. 2: Libya: Breakdown of Exploration and Appraisal
Wells Drilled from 1956 to 2004
Table 3. 3: Libya: Oil Storage Terminals, 2005
Table 3. 4:
Libya: Five Scenarios for Estimating Libyan Reserves
Table 3. 5: Libya:
Five Scenarios for Estimating Future Discoveries.
Table 3. 6: Libya: Current Producing Shut-In Wells, 2005
Table 3. 7: Risk Degree Classification within the Libyan
Sedmintary Basins
Table 4. 2: Net
Take / BBL under Participation Agreement Terms (49:51%)
Table 4. 3: LNOC and IOCs: Net Profit under EPSA-I Terms,
Table 4. 4: LNOC and IOCs: Net Profit under EPSA-II
Terms,
Table 4. 5: Libya: Petroleum Fiscal Models and Risk
Factors, 1955-2004
Table 4. 6: Evaluation of the Libyan Petroleum
Agreements, 1955-2004
Table 5. 1: EPSA-IV, First Round: Bidders and Winners
Table 5. 2:
EPSA-IV First Round I: Competitor Parameters
Table 5. 3:
Prospectivity of the EPSA-IV First Round
Table 5. 4:
EPSA-IV First Round: Commitments and Obligations by Basins
Table 5. 5:
EPSA-IV First Round: Commitments and Obligations by Companies
Table 5. 6: Shell Agreements: Areas, Blocks, and Seismic
and Drilling Programme
Table 5. 7: Economic Aspects of the Shell Agreement:
Table 5. 8: EPSA-IV Round Two, 3.10.2005
Table 5. 9: EPSA-IV Round Two, Block Prospectivity
Table 5. 10: Results of EPSA-IV Round Two
Table 5. 11: Signature Bonuses: Comparison of EPSA-IV
Rounds I and II
Table 5. 14: EPSA-IV Round I and II: Winners by Country
Table 5. 15: EPSA-IV Round Three: Areas and Blocks
Availables
Table 5. 16: EPSA-IV Round Three: Minumum Exploration
Commitments
Table 6. 1:
Libyan: Gas Reserves by Company, 2004
Table 6. 2: Libya: Gas Pipelines by Operator, Location,
Length and Capacity, 2005
Table 6. 3: The WLGP: Analysis of the Financial Picture,
1998-2005
Table 6. 4: Libya: Block NC-41Offshore Basin Gas Reserves
Table 6. 5: Libya: Block NC-41Offshore Gas Development
Project: Orginal Oil & Condensate Reserves
Table 6. 6: Libya: Major Gas Projects with Finance
Table 6. 7: Libya: Future Gas Projects Requiring Finance
Table 7. 1: Libya: Comparative Demographic and Social
Indicators (2005)
Table 7. 2: Libya: Revenue from Hydrocarbons as, Percentage
of Total Revenue
Table 7. 3: Agoco and SOC: Estimated Reserves, Leads and Prospects
List of Figures
Figure 2.1: AGOCO: Projected Oil Production by Field,
2006-2015
Figure 2. 2: AGOCO: Gas Production by Field as at 2005
Figure 2. 3: WOC: Concessions, Blocks and Oil and Gas
Producing Fields
Figure 2. 4: WOC Concessions:
Average Daily Production, 1996 - 2005
Figure 2. 5: WOC: Production in thousand bbl/d, 1962 -
2005
Figure 2. 6: WOC: Area, 1955 to 2005
Figure 2. 7: WOC: Forecast of Future Production Capacity
Thousand Bbl Per Day
Figure 2. 8: WOC:
2D Seismic Activity Program 2005 – 2032
Figure 2. 9: WOC:
3D Seismic Activity Program 2005 - 2032
Figure 2. 10:
WOC: Exploration Drilling Program, 2005 – 2032.
Figure 2. 11:
WOC: Total Estimated Reserves of N. Gialo
Figure 2. 12:
WOC: Total Estimated Reserves of Faregh Phase-II Development
Figure 2. 13: WOC
: Total Estimated Reserves of Block NC98 A/F Structure
Figure 2. 14:
WOC: Total Estimated Reserves of Dahra/Jofra PL-5 Field
Figure 2. 15:
WOC: Total Estimated Reserves of Gialo “3V” Area
Figure 2. 16:
WOC: Total Estimated Reserves of Exploration Prospects Development
Figure 2. 17: SOC: Oil Production from 1994 to 2005
Figure 2. 18: SOC: Gas Production from 1994 to 2005
Figure 2. 19: ZOC:
Average Daily Production of Oil 1996 – 2005
Figure 2. 20:
ZOC: Reserves as 2005
Figure 2. 21:
ZOC: Forecast of Future Production 2006 - 2011
Figure 2. 22:
ZOC: Planned Development Wells 2006 – 2010
Figure 2. 23: Total: Production Output 1995 - 2010
Figure 2. 24: Mabruk:
Actual and Projected Outputs, 1995 - 2010
Figure 2. 25:
Al-Jurf: Actual and Projected Outputs 2003 - 2010
Figure 2. 26: Repsol: Block NC-115, Production Profile
1996 - 2010
Figure 2. 27:
Wintershall: Production Profile, 1996 to
2010
Figure 2. 28: Agip: Oilfields Concessions & Blocks
Production
Figure 2. 29: Agip: Remaining Reserves, October 2005
Figure 3. 1: Locations of the Libyan Sedimentary Basins
Figure 3. 2: Libya: Allocated Areas as October, 2005
Figure 3. 3: Libya: Distribution of the Offshore Areas
Granted, to 2005
Figure 3. 4: Libya: 2D Seismic Activity 1956-2004
Figure 3. 5: Libya: 3D Seismic Activity, 1956-2004
Figure 3. 6: 2D and 3D Seismic Activities in the Libyan
Sedimentary Basins
Figure 3. 7: Libya: Expenditure on Seismic Activities,
1890-2000
Figure 3. 8: LNOC: Targeted and Achieved Seismic,
1999-2003
Figure 3. 9: Libya: Total Exploration and Appraisal Wells
Drilled, 1956 to 2004
Figure 3. 11: Libya: Pipelines by IOC Owners from 1958 to 1971
Figure 3. 12: Libya: Pipelines by IOC Owner, at Present
Period
Figure 3. 13: Libya: Oil Reserves in Relation to OPEC,
Africa and the rest of the World, 1970-2004
Figure 3. 14:
Libya: Proven Oil Reserves, 1961 - 2004
Figure 3. 15: Libya: Discovered Oil-in-Place, 1980
– 2000
Figure 3. 16: Libya: Discovered Oil, 1956 to 2004
Figure 3. 17: Libya: Hydrocarbon Potential (Oil-in-Place)
of the Libyan Basins
Figure 3. 18: Libya: Total Oil Reserves, Accumulated
Production and Remaining Reserves
Figure 3. 19: Libya: Percentage of Proven Oil Reserves by
Company
Figure 3. 21:
Libya: Accumulated Production by
IOC’s, 1961 to 1971
Figure 3. 22: Libya: Crude Oil Production and Change in
Daily Production, 1961 -2003
Figure 3. 23:
Libya: Crude oil production by Companies, 2005
Figure 3. 24:
Libya: Production Share by Producing Companies, 2005
Figure 3. 25:
LNOC Affiliate Status of Wells, 2005
Figure 3. 26:
Libya: Status of the Upstream Petroleum Producing Wells, 2005
Figure 3. 27: Libya: Number of Abandoned Wells, 2005
Figure 3. 28:
Libya: Remaining Proven Reserves, 2005
Figure 3. 29:
Libya: Opportunities for IOCs for
New Investment and Technology
Figure 3. 30:
LNOC: Scenarios Projecting Future Oil Production, 2006 to 2014
Figure 3. 31:
Distribution of the future production Among LNOC-producers and IOC’s
Figure 3. 32:
LNOC: Second Plan for Increasing Libyan Oil Production
Figure 3. 33:
Libya: OPEC Quota
Figure 3. 34: Libya: Proven Reserves and Production Share
by Producer, 2005
Figure 4. 1: Libya: Petroleum Agreements Currently in use
in the Upstream Oil Sector
Figure 4. 2: Libya: Percentages of Crude Production
According to Types of Fiscal Agreement, 2004
Figure 4. 3: Libya: Government and IOC Percentage Shares
of Petroleum Revenue, 2005
Figure 4. 4: Libya: Oil Export by IOCs, 1961 - 1964
Figure 4. 5: OPEC: Allowance for Libyan Crude of API
40°
Figure 4. 6: Libya: Government and IOC Revenues, 1961 to
1973
Figure 4. 7: Libya: Crude Oil Production and Production
Cost, 1961 - 2006
Figure 4. 8: Libya: Government and IOC Share of Revenue,
1961 - 1973
Figure 4. 9:
Libya: Relation between Taxation Factor Rate(TFR) and Oil Prices
Figure 4. 10: Libya:
Effect of TFR on Government / IOC Profit
Figure 4. 14:
Libya: An Examination of the Net
Profit Agreements: Wintershall Case
Figure 4. 18: Libya:
EPSA-I Contractual Terms Regarding Production Sharing, 1974
Figure 4. 19: Libya:
EPSA-II Contractual Terms Regarding Production Sharing, 1980
Figure 4. 20: LNOC and IOCs: Net Profit under EPSA-I
Terms
Figure 4. 21: LNOC and IOCs Net Profit under EPSA-II
Terms,
Figure 5. 1: EPSA-IV
Pre- emption Rights
Figure 5. 2: EPSA-IV:
Round One Areas Offered
Figure 5. 3: Shell Blocks, Potential Oil and Gas Reserves
Figure 5. 4: Libya: El-Brega LNG Plant, Production 1971
– 2005
Figure 5. 5:
EPSA-IV: Round Two: Basins, Areas and Blocks Available
Figure 5. 6: EPSA-IV:
Round Two: Areas Offered
Figure 5. 7: Comparison Between EPSA-IV Rounds I & II
and the Shell Deal
Figure 5. 8: EPSA-IV: Round One: Distribution of the
Second Party Allocation (SPA) for each Basin
Figure 5. 9: EPSA-IV: Second Two: Distribution of the
Second Party Allocation (SPA) for each Basin
Figure 5. 11: Comparison Between EPSA-IV Rounds I & II
and the Shell 2005 Deal
Figure 5. 12: EPSA-IV:
Round Three: Areas Offered
Figure 5. 13:
Worldwide Comparison of PSC Terms
Figure 5. 15: EPSA-IV: Net Take to IOC with Three
Scenarios of A & B Factor
Figure 6. 1:
Selected MENA Gas Producers, Growth in Gas Reserves, 1985-2005
Figure 6. 2: Libya: Gas Production as Associated/
Non-Associated Gas by Producing Company, 2004
Figure 6. 3: Libya: El-Brega Gas Gathering and Processing
System
Figure 6. 4: Libya: Gas Pipelines, 2005
Figure 6. 5: Libya: Daily Gas Production, 1985-2004
Figure 6. 6: Libya:
Domestic Demand for Gas by Sector, 2004-2005
Figure 6. 7: Libya: Production and Usage of Gas, 2005
Figure 6. 8: Libya: Demand from Domestic Consumers, 1989
– 2005
Figure 6. 9: EPSA-IV: Development Scenario for Associated Gas
Figure 6. 10: EPSA-IV: Development Scenario for Non-Associated
or Free Gas
Figure 7. 1: WOC: Proposed Future Capital
Investment Projects in Million US$
The Author
The author is a
Libyan national petroleum economist and analyst, he is
a member of various professional organisations worldwide, and holds a BSc
Degree in Petroleum Engineering, a Masters Degree in Gas Engineering, a Masters
Degree in International Law and Diplomacy, a Master in Petroleum Economics and
Engineering ,and a Doctoral
Degree in International Petroleum Economics. He has contributed immensely to the
understanding of the unique development of the Libyan petroleum industry,
addressing such key issues as the Libyan marginal fields, the role of
This
valuable report is available for immediate dispatch from Target Exploration