Model Exploration and Production Agreement

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.

The amendments:
- Articles 5, 6, 7, 8, 9, 20, 21, 25, 27, 30, 36, 44 of the Model EPA and Annex D (Accounting and Financial Procedures) were amended by Decree no. 4918 dated 31 May 2019 issued in the Official Gazette.

- Articles 1,7,8,9,20,23,27,34,36 of the Model EPA were amended by Decree no. 9095 dated 29 April 2022.

Articles 2.5 – 4.1 – 4.3 of Annex D (Accounting and Financial Procedures) were amended by Decree no. 9095 dated 29 April 2022.

-Two new Annexes (Annex G [Form of Commitment to Drill an Exploration Well during the First Exploration Period] and Annex H [Form of Commitment to Drill an Exploration Well during the Second Exploration Period] were added to the Model EPA by Decree no. 9095 dated 29 April 2022.

PS: The Lebanese Petroleum Administration (LPA) will publish on its website, as soon as possible, the integral text of the Exploration and Production Model Agreement and its Annexes issued by Decree no. 43/2017 and as was amended by Decree 4918/2019 and Decree no. 9095/2022.

Click here to download Decree no. 4918 dated May 31, 2019.
Click here to download Decree no. 9095 dated 29 April 2022.
Click here to download Annex D of the Model EPA issued by Decree no. 4918 dated 31 May 2019.
Click here to download the amended Articles of Annex D by Decree no. 9095 dated 29 April 2022.