…Guyana gets 1% royalty, 53% profit sharing
Weeks after its own self-imposed deadline expired, the Guyana Government has begun the process of releasing the contracts between the state and other oil companies – beginning with Canadian company CGX Resources Incorporated.
Under the Article 11 ‘Cost Recovery and Production sharing’ heading of the contract, the Government agreed to a one per cent royalty. In addition, a 53 per cent share of profit oil and gas; after recoverable costs have been satisfied was negotiated. This is providing the company moves from exploration to production.
