Guyana Introducing New Fiscal Regime for Oil Contracts

According to recent reports, Guyana Vice President Bharrat Jagdeo announced on 3 November 2022 that the cabinet has approved the auctioning of 14 offshore oil blocks along with a new fiscal regime that will govern the award of the contracts with the successful bidders, as well as subsequent Public Sharing Agreements (PSAs). Under the new fiscal regime, 50/50 profit sharing will be retained, while the royalty rate is increased from 2% to 10% and the corporate tax rate is reduced from 12.5% to …