The Sakhalin II PSA - a Production 'Non-Sharing' Agreement. Analysis of Revenue Distribution
Article from: OGEL 1 (2005), in Production Sharing Contracts
Introduction
This report analyses the revenue distribution of the Sakhalin II oil and gas project in Russia's Far East. The project is being developed by Sakhalin Energy Investment Company (SEIC), a consortium consisting of Shell, Mitsui and Mitsubishi. The distribution of revenues between the consortium and the Russian government is defined in the Production Sharing Agreement (PSA), signed in June 1994 by SEIC and the Russian Federation. PSAs are a common contractual mechanism, used throughout the oil-producing world. It is not the role of this report to discuss the pros and cons of ...