Research Article
Juridical Review of Validity of the Gross Split Sharing Contract Agreement in Oil and Gold Business Activities
@INPROCEEDINGS{10.4108/eai.17-7-2019.2303329, author={M. Nabil Widhiantono and Achmad Busro and Ery Agus Priyono}, title={Juridical Review of Validity of the Gross Split Sharing Contract Agreement in Oil and Gold Business Activities}, proceedings={Proceedings of the 1st International Conference on Science and Technology in Administration and Management Information, ICSTIAMI 2019, 17-18 July 2019, Jakarta, Indonesia}, publisher={EAI}, proceedings_a={ICSTIAMI}, year={2021}, month={1}, keywords={production sharing contract legal terms of agreement principle of proportionality}, doi={10.4108/eai.17-7-2019.2303329} }- M. Nabil Widhiantono
Achmad Busro
Ery Agus Priyono
Year: 2021
Juridical Review of Validity of the Gross Split Sharing Contract Agreement in Oil and Gold Business Activities
ICSTIAMI
EAI
DOI: 10.4108/eai.17-7-2019.2303329
Abstract
This study aims to determine the validity status of the PSC Gross Split Scheme agreement following the Minister of Energy and Mineral Resources (ESDM) Regulation No. 8 of 2017 which regulates the refund of operating costs for the construction including goods, equipment, and land purchased by the Contractor that has been acquired becomes state property in conflict with Government Regulation (PP) No. 35 of 2004. The method used in this study is a normative legal method with descriptive research specifications, and qualitative analysis methods. This study concluded that the agreement did not meet the requirements of halal causes and still contains the principle of proportionality. The impact of not fulfilling the validity of the agreement will impact on the status of the agreement becomes null and void.