New Software Release

Product details

Merak Fiscal Model Library is a world-class collection of standardized fiscal models that supports accurate economic results. The library contains more than 219 models, covering most petroleum-producing countries. These customizable models can be used with the Peep module in Merak planning, risk, and reserves software.

Merak Fiscal Model Library is available through an annual subscription, and custom fiscal model solutions are available through a custom license. The easy installation format enables direct loading to machines with the Peep module in Merak software and any current Merak Fiscal Model Library models and add-ins.

Key features of this release

Updated models

The Merak Fiscal Model Library 2018.3 release includes the following fiscal updates to models:

Argentina RT (2004)

• Update corporate income tax (CIT). CIT will be 34.9% effective from January 1, 2018; 34.75% effective from January 1, 2020 onwards.

Brazil PSC (2011)

• Updated model to extend the REPETRO until 2040. The impact of indirect taxes on capital investments is assumed to increase these costs by 6% while the exemption is in force.

Brazil PSC (2013) Presalt

• Updated model to extend the REPETRO until 2040. The impact of indirect taxes on capital investments is assumed to increase these costs by 6% while the exemption is in force.

Canada Alberta RT (2016)

• Updated model to delink the “Use Transitional Royalty” option from the four parameters of the Alberta Royalty Framework (ARF) (gas, gas measured depth, acid gas, and treat oil as field condensate).

Canada BC RT (2009)

• Enhanced the model to incorporate an option of treat oil as field condensate. Oil product and price tab can be used to input field condensate’s product and price to calculate revenue, royalty, and the taxes.
• Updated provincial tax to 12% effective January 1, 2018.
• Added new capability to track other Income sources for the project apart from the sales revenue generated from oil, gas, and NGLs.
• Corrected freehold final mineral tax. Producer cost of service (PCOS) volume will deduct from the initial freehold mineral tax to reach the final freehold mineral tax.

Canada Frontier RT (2009)

• Updated model to correctly calculate the prepayout royalties. The prepayout royalties increase by 1% every 18 months until the payout happens.

Canada Saskatchewan RT (2009)

• Updated model to correct the positioning and size of the parameters inside the EOR settings under “Prior and post April 1,2005” subheading.

US Model Default

• Updated model to allow the ad valorem tax credit to be deducted from severance tax for the state of Colorado.
• Enhanced depreciation add-in to allow the user to enter the evaluation date of the case after the capital investment date inside the depreciation add-in advanced settings.
• Made enhancement to correct the Manhandled calculations error while using the add and edit options under the opcost deductions for both severance and ad valorem tax.

US Alaska RT Prod (2007)

• Updated model in accordance with the 2017 Tax Cuts and Jobs Act. The following enhancements and updates are implemented in this model:
  • Updated federal income tax rate to 21% effective January 1, 2018.
  • Updated Federal Income Tax NOL to carry forward indefinitely and limited NOL carryforwards to 80% of taxable income (model default).
  • Updated Tangible Capital to use MACRS7 bonus depreciation rules introduced in the Tax Cuts and Jobs Act.
  • Updated Pipelines Capital depreciation to use MACRS15 bonus depreciation rules introduced in the Tax Cuts and Jobs Act

United Kingdom RT (1982)

• Updated model to calculate the ring fence expenditure supplement (RFES) in the same accounting year without scheduling it for next year. The RFES currently increases the value of net operating losses carried forward from one accounting period to the next period.