Legislation of the Contract for Production sharing in Iran

The contract for production participation is one of the major deals in the world oil industry. In the contract for the participation in the production of the foreign oil company, it has entered into a contract with the public sector of the host country and will take over the risk of oil operations If the contractor does not succeed in oil operations, he must abandon the area and not be eligible for his costs, but if he succeeds in contracting for the cost and risk he has incurred, he will be entitled to a share Despite the desirability of this kind of contract in many oil-rich countries, the deal is not particularly acceptable due to legal barriers. Accordingly, the present article seeks to review the legal status of this agreement in Iran and identify legal barriersof the oil produced in the name of oil.