5.750
%
Neutral
108
mm boe
0
%
While French Guiana is viewed as an overseas department of France, we believe that the country has a different outlook on O&G exploration from France. This is offset to some extent by the fact that the French Government retains control of many of the laws. Nevertheless, recent moves have started to open clear water between the two, and the French Government are demonstrating that they are happy for that to continue. Consequently, we have lowered our risk premia to 5.75% and increased our outlook to Neutral.
January 2, 2024
Americas - South
mm bbl
bcf
Northern South America, bordering the North Atlantic Ocean, between Brazil and Suriname.
Concession
French Guiana’s upstream fiscal system is a very simple Concession regime, with only royalty (for onshore fields only) and corporate income tax payable.
In the early 21st century, five French overseas entities - French Guiana, Guadeloupe, Martinique, Mayotte, and Reunion - became French regions and were made part of France for all political and foreign matters.
Source: ESRI, Heritage Index, HMG Foreign & Commonwealth Office, US Department of State, International Trade Administration, International Law Review, Ernst & Young, Wood Makenzie & OGA data.
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