Energy, Mining and Infrastructure Vietnam Client Alert Draft Model PSC and Partnership with PetroVietnam November 2012 This Alert notes two new developments. The first relates to a new draft on Model Petroleum Product Sharing Contracts and the second relates to a recent call from PetroVietnam for investment partnership in a number of projects. Draft Decree Amending Model PSC The Ministry of Industry and Trade in Vietnam (“MOIT”) recently posted on their website1 a draft decree replacing Decree No. 139/2005/ND-CP on the Should you wish to obtain further Issuance of a Model Contract for Petroleum Product Sharing Contracts information or want to discuss any (“PSCs”). A new model PSC will be issued once this draft decree is issues raised in this alert with us, please contact: officially enacted by the Government. Currently, the MOIT is in the process of collecting comments from the public on the draft decree before they Frederick Burke finalize it and submit to the Government for final approval. +84 8 3520 2628
[email protected] The new model PSC contains various amendments to the current model PSC issued under Decree No. 139/2005/ND-CP. A number of amendments Simon Taylor are made to update the model PSC with new regulations in petroleum +84 4 3936 9404
[email protected] industry, including the changes in tax and fee regime and the transfer of the role of the petroleum management body to the MOIT. A number of Dang Chi Lieu other changes have been made to the clauses on, among others, term +84 4 3 936 9341
[email protected] extension, work programs and budgets, the participation of PetroVietnam, assignment, abandonment, termination, stabilization, operator, confidentiality, and bonuses and payments to PetroVietnam.