Production-Sharing Agreements in the Russian Federation
Article from: OGEL 1 (2005), in Production Sharing Contracts
Introduction
The Russian Federation is a resource rich area that plays an important role in energy security world-wide. Foreign investment has been increasing since the mid-1990s, but many investors are still wary of entering into large upstream oil and gas ventures in Russia. Russian upstream projects have two legal structures within which they can be created: the Production-Sharing System and the Tax and Royalty System. Introduced in 1993 and frequently modified thereafter, the Production-Sharing System has been utilized less than many expected but still remains an attractive system of investment ...