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| Brazil-Russia Lula Oil Field Treaty; [REJECTED] | |
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| Tweet Topic Started: May 31 2015, 05:11 PM (60 Views) | |
| Koning | May 31 2015, 05:11 PM Post #1 |
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Brazil-Russia Lula Oil Field Treaty THE RUSSIAN FEDERATION AND THE FEDERATIVE REPUBLIC OF BRAZIL COME TOGETHER TO SIGN THE BRAZIL-RUSSIA LULA OIL FIELD TREATY OF 2018 SEC 1: DEFINING OF TERMS I. In the interest of furthering diplomatic and bilateral relations between the Government of the Federative Republic of Brazil and the Russian Federation both parties come together for the signing of this bilateral agreement governing oil production within the Lula Oil Field constituted as located in the Santos Basin, 250 kilometres (160 mi) off the coast of Rio de Janeiro, Brazil. II. The geographical composition and exact location of the petroleum field is defined as lying below 2,000 metres (6,600 ft) of water and then 5,000 metres (16,000 ft) of salt, sand and rocks. The field was discovered in a geological formation known as the Pre-salt layer. SEC 2: TERMS OF LEASE I. The Federative Republic of Brazil in whose territory the Lula Oil Field exists and specifically the Petrobas corporation who owns all tertiary and ownership rights to the Lula Oil Field hereby leases the Lula Oil Field for a period of 25 years time in with all exploration and excavation rights transferred in a general lease to Rosneft Corporation which is a sole subsidiary corporation of the Russian Federation for the period of 25 years in which time revenues will be divided in a 60/40 arrangement. II. The 60/40 arrangement is defined as 60% and 40% with 60% of revenues given to Petrobas each fiscal year and 40% remaining given to Rosneft. Revenues defined as all income generated from petroleum originating in the Lula oil field and sold on a regional and global basis. III. All employment and personnel within the Lula Oil Field shall adhere to a 75/25 arrangement with 75% of all labor coming from the Russian Federation and the remaining 25% of all labor coming from skilled workers within the Federative Republic of Brazil for the duration of the lease. Labor defined as all individual employed within the oil fields for petroleum related activities with employees employed by their respective national company and all human resources for nationals handled by their respective country. IV. In exchange for the terms of lease the Russian Federation is responsible for the export of all petroleum product after refinement at Brazilian refineries and the introduction of petroluem product to global markets through partners in the shipping industry that regularly ship Rosneft oil product on a global distribution platform with all distributive patterns handled exclusively by the Russian Federation under the overall 60/40 profit sharing arrangement. SEC. 3: Renewal I. Lease shall be valid for 25 years after which shall be automatically renewed for an additional 25 years unless Rosneft or Petrobas submits a request for review. II. Request for review must be submitted six months before the planned automatic renewal and must be reviewed by a grievance board of 20 consisting of 10 Petrobas and 10 Rosneft members who will evaluate other alternatives to the 25 years including the ending of cooperation between the signatory parties mentioned within this agreement. III. The dissolution or anullment of this contract before 25 years will result in the renumeration of remaining parties up to 75% of total assets with a cap on 40% interest of total assets at time of dissolution. All remaining assets and employees in the Lula Oil Field at time of dissolution or annulment will be granted safe transit home to the country of origin with renumeration for lost business being paid immediately within two months of anullment with interest assessed by the remaining party in accordance with losses anticipated by shareholders. IV. Notification of any expansion of this agreement must be made at least a year in advance to allow for planning for petroluem cooperation. This lease remains valid for 25 years and any expansion is to remain separate from this agreement forming in a new agreement that has the option of referencing this agreement as a way of linking them together by mutual interest. SEC 4. Enactment I. Shall be considered binding with all clauses activated immediately upon signing for 25 years time by the signatories selected by the Federative Republic of Brazil and the Russian Federation until such time that it is renewed automatically or dissolved. |
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| Koning | May 31 2015, 05:13 PM Post #2 |
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Signed![]() Vladimir Putin President of the Russian Federation Dmitry Medvedev Prime Minister of the Russian Federation |
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| Gabe | May 31 2015, 05:25 PM Post #3 |
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Signed Marina Silva President of Brazil |
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| Jos1311 | Jun 1 2015, 06:27 AM Post #4 |
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Head Admin
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REJECTED - Block containing the field was auctioned years ago, and agreements for the development of the field already signed, therefore this cannot suddenly be granted to other parties. |
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6:36 AM Jul 11
