Investigating the Nature of Reciprocal Trade in the Oil contracts

Abstract

Buy-back Contract in Iran, is legally a type of contractor agreement under which foreign party undertakes operation or recycling of an oil or gas field with his own capital. In return, the national oil company agrees to pay back the whole expenses of the foreign party with specific interests, in equal installments and necessarily by the oil and gas produced from that operational filed. Since the time of first contract concluded in 1995, oil and gas industry of Islamic Republic of Iran, in up-stream projects have had the third generation of these contracts on the agenda. The aim of the present research is to review and study these contracts, which highlighting the importance of this case, by a descriptive-analytical method analyze the condition of up-stream contracts in the oil industry of Iran