Case Study: the Government of Ireland boosts offshore oil and gas exploration with Wood Mackenzie fiscal consulting

How the government of Ireland encouraged oil and gas exploration

The Government of Ireland sought to unlock its offshore oil and gas potential but faced a challenge in attracting investment due to its high-cost exploration environment and uncertain success rates. It commissioned Wood Mackenzie's Consulting team to conduct a review of its fiscal terms to ensure they were appropriate and competitive for future licensing rounds, striking a crucial balance between risk and reward.

Leveraging its Fiscal Service and Global Economic Model, Wood Mackenzie conducted stakeholder interviews, quantitative scenario analysis, and benchmarking against peer nations. The resulting recommendations included strengthening fiscal terms for new licenses to increase the state's share of revenue. This renewed regime successfully boosted interest and investment in Ireland's offshore, as demonstrated by a subsequent successful licensing round.

Government of Ireland