Romania Upstream Fiscal and Regulatory Report - Passage of Legislation Required to Bring Stability to Fiscal Regime

1 Table of Contents
1. Table of Contents 1
1.1. List of Tables 2
1.2. List of Figures 2
2. Regime Overview 3
3. State Take Assessment 5
4. Key Fiscal Terms 6
4.1. Royalties, Bonuses and Fees 6
4.1.1. Royalties 6
4.1.2. Drilling Permit Fees 7
4.2. Direct Tax 7
4.2.1. Corporate Income Tax 7
4.2.2. Deductions and Depreciation 7
4.2.3. Withholding Tax 7
4.3. Windfall Taxes (2013-2017) 7
4.3.1. Tax on Excess Revenue - Natural Gas 7
4.3.2. Special Tax on Revenues - Crude Oil 8
4.4. Indirect Taxation 8
4.4.1. Value Added Tax 8
4.4.2. Customs and Excise Duties 8
4.5. EU Emissions Trading Scheme 8
5. Regulation and Licensing 9
5.1. Legal Framework 9
5.1.1. Governing Law 9
5.1.2. Contract Type 9
5.1.3. Title to Hydrocarbons 9
5.2. Institutional Framework 10
5.2.1. Licensing Authority 10
5.2.2. Regulatory Agency 10
5.2.3. National Oil Company 10
5.3. Licensing Process 11
5.3.1. Licensing Rounds 11
5.3.2. Bidding 11
5.4. License Terms 12
5.4.1. Duration and Relinquishments 12
5.4.2. Work Obligation 12
6. Outlook 13
7. Appendix 14
7.1. Contact Us 14
7.2. Disclaimer 14

1.1 List of Tables
Table 1: Regime Overview 3
Table 2: Romania, Royalty Rates (%), Crude Oil and Condensate 6
Table 3: Romania, Royalty Rates (%), Natural Gas 6
Table 4: Bid Marking Scheme 11

1.2 List of Figures
Figure 1: Regime Flow Chart 4
Figure 2: Romania, Indicative NPV10/boe, IRR and State Take Comparison, Regional 5
Figure 3: Romania, Legal Framework 9
Figure 4: Romania, Institutional Framework 10