The Exploration and Production Agreement (EPA) is a contract between the State and Oil and Gas Companies, providing the companies with the right to explore, develop and produce oil and gas in Lebanon’s Exclusive Economic Zone.
The EPA extends over the exploration, appraisal, development and production periods up until decommissioning and accounts in complementarity with the full legal and regulatory framework for the necessary legal provisions in relation to petroleum activities.
Lebanon’s model EPA adopts a production-sharing system with royalty and taxes.
Subject to the Council of Ministers approval, the Minister of Energy and Water will sign EPAs with the winning consortia on the awarded blocks. P.S: Kindly note that Articles 5, 6, 7, 8, 9, 20, 21, 25, 27, 30, 36, 44 and Annex D (Accounting and Financial Procedures) were amended by Decree no. 4918 dated May 31, 2019 issued in the Official Gazette, Annex of issue no.29 dated June 6, 2019. Until the LPA publishes the full compiled Model EPA,
Click here to download the amended Articles and Annex D.
Click here to download the integral text of Articles 27 and 36 of the amended EPA