Financial stability in oil and gas investment contracts

Abstract

The operations, because conditions are constantly changing, so that countries announce or introduce financial changes, for example, but not limited to: a new financial system for new investment operations, or modification of the existing incentive system, or higher taxes, or introducing Incentives to stimulate investment late in the useful life of fixed assets, or to try to issue of financial stability is of great importance in oil and gas investment close tax loopholes, etc.

   Although the same incentives are prevalent around the world, financial

stability tends to be the dominant feature of oil and gas investment contracts signed in developing countries; It generally refers to the main incentives that lead host country governments to review their tax system; It also analyzes the reasons why investors ask for stability provisions in their contracts, why the governments of these countries offer them, and what are the appropriate mechanisms for that?