BP obtained the rights through a lease bidding process to explore and produce oil in Mississippi Canyon block 252 (block where the oil spill occurred). The US does not "sell" blocks (permanent transfer of rights), but leases them and profits from their lease. If oil is discovered on the lease, BP must share the gross revenues (royalty) with the US government. I also note that with BP's interest in Block 252 is 65%, Andarko (US company) is 25% and Mitsui Oil Exploration, (Japanese co) is 10%.
Kuwait also has exploration areas both offshore and onshore, which it solicits international oil companies to bid on, similar to the US. In case of discovery, the Operator (commonly operator group) will produce the oil and the Kuwait government will share in a portion of the gross revenues.
We do not sell offshore oil reserves, only exploration blocks, which have an exploration risk of not discovering any oil. In the case of no discoveries, the US does make a profit and the exploration rights revert back to the US.
The US is different from Kuwait, in that the US has no national oil company.
Kuwait Oil Company can solicit international companies to participate in service contracts where the company is paid for operating an ongoing producing field or area and does not share in the gross revenues (royalty). Typically, this arrangement is used for more mature producing fields.
I have included a link on the offshore contract terms, which can become quite involved. The fiscal terms almost always result in a "regressive" form of taxation- the more oil is produced (or gross revenue), the higher the government's share of oil and or revenues.
I included a link to the Society of Petroleum Engineers, which sells technical books, and I would recommend strongly the book "International Petroleum Fiscal Systems and Production Sharing Contracts" by Daniel Johnston.
subsidies
To protect domestic producers against international competition
Subsidies
There is a difference between international banking and domestic banking. International banking is banking among different countries. Domestic banking is banking among one country.
subsidies for domestic producers
An international business is one that operates in multiple countries. A domestic company operates in its original country without any ties to other countries.
A domestic company is one that operates in its country of origin and an international company is one that operates in multiple countries.
An important program geared toward international trade in wheat was the Export Enhancement Program (EEP), under which the government offered subsidies to domestic exporters.
domestic travel means that you are travelling in your own country, iinternational means that you are travelling to different countries.
1. "dumping of surplus goods" 2. High Tariffs on agriculture 3. Need for protectionism in third world and developing countries 4. Subsidies given to domestic producers therefore creating unfair subsidies
No. They are different countries, so it is international.
Developing countries can benefit from an expansion in international trade markets.