Legal and contractual review of the supervision of the Iranian government as the owner of the reservoir over international oil companies

Upstream oil contracts, like any other contract, are made up of at least two parties. The parties to the upstream oil contracts consist of a reservoir government or the National Oil Company and the International Oil Company. Each party tries to get the most points and interest from the mentioned contracts. Investors or international oil companies try to recoup the costs incurred along with their expected profits during the contract period, and instead the National Oil Company or the reservoir (employer) government tries to maintain production in addition to maintaining production. And to prevent serious damage to the oil reservoir, to manage the amount of revenues from oil revenues in such a way that the contractor or the international oil company does not have any revenue and on the other hand, the interests of the country owning the reservoir are preserved. This concern has caused the model of upstream oil contracts to move from concessions and participation in production to service contracts. In this regard, the employer or the government that owns the reservoir, in order to preserve the natural resources and to monitor the performance and expenses of the International Oil Company, shall include supervisions in the upstream contracts in its favor. Examining the employer supervision in Iran's cross-selling oil contracts and the new Iranian oil contracts called IPC will lead to a better understanding of the effectiveness of these conditions to protect the country's interests. Employer supervision in cross-selling contracts is significantly better than Iran's new oil contracts.