1. Around the World in 50 Minutes: The MENA Region
Prof. Dr. Nayla Comair-Obeid
CIArb President

2. Around the World in 50 Minutes: The MENA Region
Oil and Gas Exploration in Lebanon: A Roadmap
Challenges to the Lebanese extraction industry
Treaty protection
Update on the MENA Region: 2014 – present

3. Oil and Gas in Lebanon: A Roadmap

4. Oil and Gas in Lebanon: A Roadmap
Timeline
2010
First discoveries in the Levantine basin
Offshore Petroleum Resources Law
2012
First seismic studies
Lebanese Petroleum Administration established
2013
First pre-qualification round
2013 – January 2017
Stalled process
2017
Re-opening: Second pre-qualification round

5. Oil and Gas in Lebanon: A Roadmap
2017 and beyond
28 April 2017: Initially planned date for the announcement of pre-qualified companies
15 Sept 2017: Closing submission for tenders
15 Nov 2017: Signing of Exploration and Production Agreements
Five-year exploration phase
Mid 2020’s: Production to commence

6. Oil and Gas in Lebanon: A Roadmap
The Legal Framework
2010 Offshore Petroleum Resources Law
Tender Protocol
Exploration and Production Agreement (EPA)
Regulations: PAR

7. Oil and Gas in Lebanon: A Roadmap
Exploration and Production Agreement (EPA)
Parties
Consortium of three Right Holders
Duration
Five-year exploration phase and 25-year production phase
Revenue sharing scheme
Royalties of 4% on gas and 5-12% on oil
Cost recovery as determined by tender
Profits as determined by tender

8. Oil and Gas in Lebanon: A Roadmap
EPA (cont’d)
Minimum performance requirements
Local content requirements
Stabilization clause
Protection against changes in law
Dispute Resolution
Expert determination and ICC arbitration

9. The Lebanese setting for treaty protection

10. Treaty protection
The Lebanese treaty protection and arbitration regime encompasses:
52 BITs
The ICSID Convention and New York Convention on the enforcement of arbitral awards
BIT standard protections and specific provisions on compensation for losses due to:
war
armed conflict
other situations involving civil unrest

11. Update on the MENA Region: 2014 – present

12. The MENA Region: 2014 – present
2015: Iranian Petroleum Contract (IPC) model
2016: Discovery of extensive Egyptian hydrocarbon resources in Zohr and Nooros fields
2017: Aramco public offering

13. Thank you!