Kuwait Energy
EL-12-211107
96
Production Rate
(Mbopd)
Contractor Group Share (%)
Shukheir NW
Other Fields
< 0.5
0.0
0.0
0.5 – 1
57.0
51.5
1 – 2
55.0
51.0
2 – 3
53.5
50.5
3 – 4
52.0
50.0
4 – 5
50.5
49.5
≥ 5
49.0
49.0
Production Bonuses (not applicable to Area A): when reaching certain rates
of production, the following amounts (which are not cost recoverable) are
payable (none have yet been paid for BEA or Abu Sennan but the first two
have been paid for ERQ):
Production Rate
(Mbopd)
Bonus (US$ MM)
BEA
Abu Sennan
ERQ
3
-
0.5
-
5
-
1.0
0.2
10
-
1.5
0.3
25
1.0
2.0
0.4
50
1.5
-
0.5
100
2.0
-
0.6
Baseline Production OPEX Reimbursement (only applicable to Area A):
US$0.61 for each barrel of Baseline Production achieved.
GPC Facility Tariff (only applicable to Area A): US$1.20/Bbl
Training fee: for Abu Sennan only, US$50,000 p.a. for the duration of the
exploration phase (i.e. until 2016).
Corporate tax: applicable only to Area A where a 25% corporate tax rate
applies. As advised by KE, depreciation is taken into account on a unit of
production basis, with a depreciation balance of US$23.72 MM as at
31
st
May, 2014.
7.3.2 Yemen
The relevant elements of the Yemen fiscal regime for petroleum operations as
they currently stand, together with the applicable PSC terms pertaining to Blocks 5
and 43, are summarised below and are assumed to remain constant going
forward.
