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Malaysia Upstream Fiscal and Regulatory Report: Government Focuses on Shallow-Water Exploration and Mature Field Development

Malaysia Upstream Fiscal and Regulatory Report: Government Focuses on Shallow-Water Exploration and Mature Field Development

Summary

“Malaysia Upstream Fiscal and Regulatory Report: Government Focuses on Shallow-Water Exploration and Mature Field Development”, presents the essential information relating to the terms which govern investment into Malaysia’s upstream oil and gas sector. The report sets out in detail the contractual framework under which firms must operate in the industry, clearly defining factors affecting profitability and quantifying the state’s take from hydrocarbon production. Considering political, economic and industry specific variables, the report also analyses future trends for Malaysia’s upstream oil and gas investment climate.

Scope

  • Overview of current fiscal terms governing upstream oil and gas operations in Malaysia
  • Assessment of the current fiscal regime’s state take and attractiveness to investors
  • Charts illustrating the regime structure, and legal and institutional frameworks
  • Detail on legal framework and governing bodies administering the industry
  • Levels of upfront payments and taxation applicable to oil and gas production
  • Information on application of fiscal and regulatory terms to specific licenses
  • Outlook on future of fiscal and regulatory terms in Malaysia
Reasons to buy
  • Understand the complex regulations and contractual requirements applicable to Malaysia’s upstream oil and gas sector
  • Evaluate factors determining profit levels in the industry
  • Identify potential regulatory issues facing investors in the country’s upstream sector
  • Utilize considered insight on future trends to inform decision-making


1. Table of Contents
1.1. List of Tables
1.2. List of Figures
2. Regime Overview
3. State Take Assessment
4. Key Fiscal Terms - Production Sharing Agreement
4.1. Royalties, Bonuses and Fees
4.1.1. Bonuses (Pre-1985 PSAs Only)
4.1.2. Royalty
4.2. Cost Recovery
4.2.1. Limit on Recovery
4.2.2. Recoverable Costs
4.2.3. Excess Cost Recovery (R/C PSA Only)
4.3. Profit Sharing
4.3.1. Revenue over Cost PSA
4.3.2. Deepwater PSA
4.3.3. Progressive Volume Based PSA
4.3.4. 1985 PSA
4.3.5. 1976 PSA
4.4. Research Cess
4.5. Oil Export Duty
4.6. Supplementary Payment
4.7. Direct Taxation
4.7.1. Petroleum Income Tax
4.7.2. Deductions and Depreciation
4.7.3. Investment Tax Allowance
4.8. Indirect Taxation
4.8.1. Import duties
4.8.2. Goods & Services Tax
4.9. State Participation
5. Key Fiscal Terms - Risk Service Agreements
5.1. Contractor Payment
5.1.1. Payment Ceiling
5.1.2. Cost Reimbursement
5.1.3. Remuneration Fee
5.2. Direct Taxation
5.2.1. Corporate Income Tax
5.3. Indirect Taxation
5.3.1. Import duties
5.4. Local Partner
6. Regulation and Licensing
6.1. Legal Framework
6.1.1. Governing Law
6.1.2. Contract Type
6.1.3. Title to Hydrocarbons
6.2. Institutional Framework
6.2.1. Licensing Authority
6.2.2. Regulatory Agency
6.2.3. National Oil Company
6.3. Licensing Process
6.3.1. Licensing Rounds
6.4. License Terms
6.4.1. Duration
6.4.2. Work Obligation
7. Outlook
8. Appendix
8.1. Contact Us
8.2. Disclaimer
1.1 List of Tables
Table 1: Regime Overview
Table 2: Cost recovery limit (%), R/C PSA
Table 3: Malaysia, Excess Cost Recovery Split (%), R/C PSA
Table 4: Malaysia, Profit-Sharing (%), R/C PSA
Table 5: Malaysia, Excess Cost Recovery Split (%), R/C PSA
Table 6: Malaysia, Gas Profit-Sharing (%), Deepwater PSA
Table 7: Malaysia, Profit-Sharing, 1985 PSA
Table 8: Malaysia, Supplementary Payment Rates (%), Deepwater PSA
Table 9: Malaysia, Petroleum Income Tax, 1976-2017
Table 10: Malaysia, Capital Allowances (%)
Table 11: Malaysia, PSA Duration (Years)
1.2 List of Figures
Figure 1: Regime Flow Chart - Production Sharing Agreement
Figure 2: Regime Flow Chart - Risk Service Agreement
Figure 3: Malaysia, Indicative NPV10/boe, IRR and State Take Comparison, Internal
Figure 4: Malaysia, Indicative NPV10/boe, IRR and State Take Comparison, Regional
Figure 5: Malaysia, Legal Framework
Figure 6: Malaysia, Institutional Framework

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