Global Learning for Operational Leaders
Classroom
14 sessions
Scroll for more
Online / Live
14 sessions
Scroll for more
Introduction
Course overview
Production sharing contracts and related upstream agreements define the relationship between host governments and oil companies for decades. They govern exploration obligations, cost recovery, profit sharing, local content, decommissioning and dispute resolution, and they shape the economic outcome of every project.
This Aractech course explains the structure and key provisions of production sharing contracts, joint operating agreements, farm-out agreements, unitisation agreements and host government agreements. Participants learn how terms are negotiated, administered and audited, and how to manage relationships between governments, operators and partners.
Practical exercises and real-world examples help participants understand both the commercial logic and the day-to-day administration of these agreements.
What you will achieve
Learning objectives
- Explain the structure and purpose of production sharing contracts
- Interpret key provisions including cost recovery and profit oil
- Understand joint operating, farm-out and unitisation agreements
- Administer contract obligations and reporting
- Assess commercial implications of negotiated terms
- Manage disputes and relationships between parties
Who should attend
Target audience
- Commercial and contracts professionals in upstream companies
- Government and national oil company officials
- Legal advisers in the energy sector
- Joint venture and partner relations managers
- Finance and audit staff dealing with PSCs
- Business development professionals
Methodology
Learning approach
- Expert presentations on contract structures
- Clause-by-clause review exercises
- Cost recovery and profit split calculations
- Negotiation role plays
- Case studies of disputes and renegotiations
Complete course outline
Five focused days of learning and application
The timings provided are estimates and may vary depending on the number of participants and the discussions taking place during the sessions. They are indicative only and do not constitute a binding commitment.
Day 1
Upstream Petroleum Agreements
- Petroleum licensing systems
- Concessions, PSCs and service contracts
- Parties and their objectives
- Contract life cycle
- Coffee break
- Contract life cycle (continued)
- Key legal and fiscal frameworks
- Exercise: Comparing agreement types
Day 2
Inside the Production Sharing Contract
- Work programmes and commitments
- Cost recovery and cost oil limits
- Profit oil sharing mechanisms
- Coffee break
- Profit oil sharing mechanisms (continued)
- Government participation
- Taxes, bonuses and royalties
- Worked example: PSC entitlement calculation
Day 3
Joint Operating and Related Agreements
- Joint operating agreements
- Operating committees and voting
- Farm-in and farm-out agreements
- Unitisation and pre-emption
- Coffee break
- Unitisation and pre-emption (continued)
- Accounting procedures
- Case study: A farm-out negotiation
Day 4
Administration and Compliance
- Reporting obligations
- Cost audits and disputes
- Local content and training obligations
- Environmental and decommissioning requirements
- Coffee break
- Environmental and decommissioning requirements (continued)
- Contract amendments
- Workshop: Administering a PSC
Day 5
Negotiation and Dispute Resolution
- Negotiation strategies for upstream agreements
- Stabilisation and renegotiation
- Arbitration and dispute resolution
- Coffee break
- Arbitration and dispute resolution (continued)
- Relationship management with governments
- Energy transition and future agreements
- Capstone: Negotiating PSC terms
FAQ
Frequently asked questions
What does Production Sharing Contracts and Upstream Agreements (OG-030) cover?
This course covers Oil and Gas through a structured five-day outline focused on practical application, discussion, and implementation planning.
When is the next available session?
The next scheduled session starts on 2 - 6 November 2026. See the course schedules section for the available dates and delivery formats.
Who should attend this course?
Commercial and contracts professionals in upstream companies, Government and national oil company officials, Legal advisers in the energy sector
Is bilingual course delivery available?
Yes. All course materials and presentations are provided in English, while bilingual explanation and discussion support may be available depending on the selected location and trainer availability. For example, when attending a course in Istanbul, you may request a Turkish-speaking trainer to explain the English course content in Turkish. Arabic explanation support may also be requested at this location. Other languages are available in selected cities. You can choose your preferred language support as an optional preference during registration.
How can I register for a session?
Use any Register button next to the available course dates to open the participant registration page and submit your booking request for the selected session.
Is this course available online as well as classroom-based?
Check the course schedules section for currently published classroom and Online / Live sessions.
Where are classroom sessions delivered?
Current classroom venues include London, Istanbul, Rome, Kuala lumpur, Frankfurt, Geneva, Dubai.
How long is the training programme?
The programme runs for five days from 09:00 to 14:00, which gives 25 contact hours, including a daily 30-minute break (22.5 hours of instruction).
Quick request
Send quick request
Send a fast enquiry about this course and the academy team will get back to you.
Get a quotation
Request a formal quotation
Choose an available date and venue, add your participants, and we will email a formal quotation for Production Sharing Contracts and Upstream Agreements to your business address.