Sharareh Kavosi; Mohammad Ali Falahi; Mohammad Javad Razmi
Abstract
In regulating oil contracts applying the appropriate contractual framework is necessary to meets the interests of both parties and maximize the absorption of foreign investment and advanced technology. In terms of distributing benefits between parties, the key element is the contract optimum flexibility. ...
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In regulating oil contracts applying the appropriate contractual framework is necessary to meets the interests of both parties and maximize the absorption of foreign investment and advanced technology. In terms of distributing benefits between parties, the key element is the contract optimum flexibility. Flexibility of financial regime in buy back contracts, participation in production and Iran new oil contracts through simulation of the financial model using Excel software and Visual Basic programming language under two rigorous and conventional scenarios has been studied for the first t in this manuscript. In rigorous scenario the parameters of buy back contract between Iran national oil company and Shell Co. and parameters of two other contracts are estimated in such a way that original and achieved results are the same. Then, the effect of the estimated parameters on the distribution of gross income and the efficiency of the parties is investigated and with the aim of analyzing the degree of flexibility of contracts, the sensitivity of the efficiency and receipts of the parties to the changing price and capital costs is studied. Results showed financial regime in participation contracts allow the parties to coordinate the contents and structure of the contract with its benefits. While some of the inefficient tools of buy back and Iran new oil contracts have led to a lack of optimal flexibility in changing economic conditions.
Ali Emami Meibodi; Ahmad Hadi
Abstract
One of the main ways of domesticizing technology in oil industry is conditional contract for transfer of technology from international oil companies. However, over the past years the Iranian oil industry has made a little success in this regard and presently in Iranian new petroleum contract (IPC) as ...
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One of the main ways of domesticizing technology in oil industry is conditional contract for transfer of technology from international oil companies. However, over the past years the Iranian oil industry has made a little success in this regard and presently in Iranian new petroleum contract (IPC) as an alternative to buy back contracts aims to acquire and transfer modern technologies and localize it by collaboration of international oil companies with domestic companies approved by the National Iranian Oil Company, by making some changes in the type, terms and nature of contract. But what is more important than technology transfer is consideration to the obtained results compared with decisions made on the technology transfer of a contract. Thus, evaluation the risk of technology transfer play a clear and prominent role in the future sustainable development of Iranian oil industry. In this study, in addition to the study on buy back and IPC contracts from technology transfer point of view, the risks of technology transfer are detected in IPC contract and discussed by reviewing experts’ opinions. Next, by using FMEA parameters, identified risks are scored and for each RPN is calculated and finally they are prioritized. The highest priority of risk was given to the negative results of oil engineers and experts separation from the National Iranian Oil Company (RPN=576), followed by the effect of the presence of international oil companies in the destruction of the endogenous growth of national oil industry (RPN=448). Considering the high rate of risk in most identified risks, control measures were presented according to experts’ opinions in order to reduce the level of the risks.
