New Software Release

Merak Fiscal Model Library 2019.4 Now Available

Tuesday, 07 January 2020

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 2019.4 release includes the following fiscal updates to models:

 

Australia Extended PRRT (2012)

  • This model is updated in accordance with the new law “TREASURY LAWS AMENDMENT (2019 PETROLEUM RESOURCE RENT TAX REFORMS NO. 1) BILL 2019.”  

  • No change for exploration expenditure incurred prior to 1 July 2019, and more than five years prior to a production license being applied for, which continues to be subject to an uplift rate equal to the GDP factor.

  • Exploration expenditure incurred prior to 1 July 2019 and no more than five years prior to a production license being applied for is subject to an uplift rate equal to the LTBR+15 percentage points.

  • Exploration expenditure incurred on or after 1 July 2019 until the financial year ten years after the year in which the expenditure is incurred is subject to an uplift rate equal to the LTBR+5 percentage points; thereafter, an uplift rate equal to the GDP factor.

Canada Alberta RT (2009)

  • Job Creation Tax Cut (Alberta Corporate Tax Amendment) is implemented in the model. The new provision tax rates are 11% post July 2019, 10% effective January 2020, 9% effective January 2021 followed by 8% from January 2022.

Canada Alberta RT (2016)

  • Job Creation Tax Cut (Alberta Corporate Tax Amendment) is implemented in the model. The new provision tax rates are 11% post July 2019, 10% effective January 2020, 9% effective January 2021 followed by 8% from January 2022.

Canada Alberta Oil Sands RT (2009)

  • Job Creation Tax Cut (Alberta Corporate Tax Amendment) is implemented in the model. The new provision tax rates are 11% post July 2019, 10% effective January 2020, 9% effective January 2021 followed by 8% from January 2022.

Canada Saskatchewan RT (2009)

  • Provincial Tax rates are updated to 11.5% from year July 2017 and 12% from year 2018 onwards.

Canada Nova Scotia RT (2009)

  • Provincial tax rates are updated to 16% from year 2014.

Canada NFLD RT (2003)

  • Provincial tax rates are updated to 15% from year 2016.

Mexico PSC (2014)

  • Minimum Work Program capital provision is implemented in the model. Work program capital and uplift rates can be defined through the case side settings and this capital will be uplifted as per the uplift rate defined. The capital will be treated as recoverable cost.

Mexico RT (2014) Deep water

  • Minimum Work Program capital provision is removed from the model as this is not the part of hydrocarbons law Round 1 Deepwater CNH-R01-L04/2015.

Norway RT (1975)

  • Special Petroleum Tax value is updated in the model as 55% for year 2018 and 56% for year 2019. The income tax rate values are updated as 23% for year 2018 and 22% for year 2019.

  • SPT allowances rate has also been updated as 21.2% for year 2018 and 20.8% for year 2019.

India RSC (2017)

  • The model name is changed from India RSC Onshore (2017) to India RSC (2017) as this model represents both onshore and offshore petroleum fiscal regime.

  • A bug is fixed where the income tax periodicity is changed from annual to monthly. Earlier, the sum of the income tax deduction inputs was not matching the total income tax deduction variable when report was viewed in the Peel module real settings.

  • Enhanced reports have been provided for the government and contractor revenue share rate to validate the hydrocarbons revenue share rate.

Indonesia PSC (2017)

  • A bug is fixed where the Peep module calculated the working interest value twice for the company sunk cost variable.

Merak Fiscal Model Library add-on library enhancements and fixes

Slb.Merak.Fml.PeepAddin.AustraliaPRRT.dll

  • This model is updated in accordance with the new law “TREASURY LAWS AMENDMENT (2019 PETROLEUM RESOURCE RENT TAX REFORMS NO. 1) BILL 2019.”

  • No change for exploration expenditure incurred prior to 1 July 2019, and more than five years prior to a production license being applied for, which continues to be subject to an uplift rate equal to the GDP factor.

  • Exploration expenditure incurred prior to 1 July 2019 and no more than five years prior to a production license being applied for is subject to an uplift rate equal to the LTBR+15 percentage points.

  • Exploration expenditure incurred on or after 1 July 2019 until the financial year ten years after the year in which the expenditure is incurred is subject to an uplift rate equal to the LTBR+5 percentage points; thereafter, an uplift rate equal to the GDP factor.