With the closure of the first offshore licensing round on 12 October 2017, two bids have been submitted to the Lebanese Petroleum Administration (LPA) by a consortium made up of three companies, Total S.A, Eni International, and JSC Novatek. One bid was submitted on block 4 and another on block 9, which is one of the three southern blocks.
These bids follow the much anticipated enactment of the Petroleum Tax Law by the Lebanese Parliament on 19 September 2017, which provides for a new tax regime and completes the required legal framework governing the offshore oil and gas sector in Lebanon.
The next step will involve the submission of an evaluation report by the LPA to the Minister of Energy and Water by 13 November 2017. This evaluation will be pursuant to the methodology outlined in the tender protocol (Decree 43/2017). The final decision and the signing of the Exploration and Production Agreements (EPA) with the selected bidder will follow thereafter.
*For background on this topic, please see our posts from 4 January 2017, 4 April 2014, 8 January 2014, 5 October 2013, 4 September 2013, and 2 May 2013.
** For further legal updates, please contact our Oil & Gas team at email@example.com