Investment in oil and gas upstream activities is very important for the exploration and development of oil and gas fields. Different and various laws and regulations deal with the investment in upstream operations. By reviewing these various laws and regulations, this research paper tries to discuss to what extent these laws and regulations have created legal confident for foreign investment upstream activities. In this paper first it is evidenced that the legal possibility of foreign investment in oil and gas upstream operations has not been very clear. Second, the requirements of upstream oil contracts, as a vehicle for investment in oil and gas fields, have not been provided in detail by the legislation. Third, it is not clear which authority has been authorized to outline such contracts requirements and whether it is the cabinet, economic council, ministry of oil or National Iranian Oil Company.
)