The new UK oil and gas upstream levy will hit Big Oil group cash flows by less than four percent, even at the most exposed end. That’s what BofA Global Research calculates, according to a new report from the company sent to Rigzone on Friday, which added that enhanced tax deductibility may further narrow the eventual impact. “After months of speculation and UK opposition parties calling for a windfall tax on upstream oil and gas, we believe … [Thursday’s] government announcement no longer constituted a surprise,” the BofA Global Research report stated. “In fact, we believe Big Oil’s investment cases will benefit from the removal of uncertainty alongside the crystallization of a relatively minor hit to financials,” the report added. BofA Global Research’s latest report on the windfall tax outlined that the company believed the UK’s fiscal changes translate into only minor financial […]