ABSTRACT
This chapter looks at the changes that have been announced in the Fiscal Review and the ensuing reforms with the intention of analysing the extent of the current regime's ability to capture economic rents and attain the objective set by the Fiscal Review. The simplification of the tax regime by the post-Fiscal review reforms was certainly a welcome development. The analysis of the model fields follows the guiding principles provided in the Fiscal Review, particularly the principles of taking costs and prices into account as well as flexibility. Regarding the model on which the analysis is based; the operational conditions for the base case assume model oil field scenarios at the post-exploration stage. The tax component of the model is made up of the ring fence corporation tax charged at 30% and the supplementary charge levied at 10%. The Revenue in the model is a product of price and production in any given year.
