Library / Midstream Petroleum (Host Communities Development Trust) Regulations 2024
Midstream Petroleum (Host Communities Development Trust) Regulations 2024

Page 19 of 29
B 907
29.—(1)
The capital fund and administrative cost fund shall be managed
by the Board of Trustees and licensee respectively, who shall ensure that any
payment into and out of the accounts shall be in accordance with the Act and
the host communities development plan approved by the Authority.
(2)  The Board of Trustees and licensee in administering the capital fund
and administrative cost fund shall —
(a)  act with honesty and fairness;
(b)  act with skill, care and diligence;
(c)  act in the interest of the host communities;
(d)   act with independence, objectivity and in accordance with the Act;
(e)  apply the sums in accordance with the host communities development
plan and the Act;
(f )  not participate in any business relationship or accept any gift that
may affect its independence or objectivity;
(g)  disclose any conflict of interest; and
(h)  keep proper account and accurate records.
30.  The reserve fund shall be managed by the Fund Manager in
accordance with the provisions of the Act and these Regulations, provided
that where requested by the licensee and the Board of Trustees, the Fund
Manager shall disburse the funds for utilisation.
31.—(1)
The licensee shall submit its annual report to the Authority in
relation to the Fund, not later than 31st May of the particular year.
(2)  The annual report shall include —
(a)  an audited financial account of the Fund detailing amongst others,
payments into and out of the funds and the purposes for which such payments
were made;
(b)  any approved withdrawals outside of the approved host communities’
development plan and the basis for such withdrawals; and
(c)  any other information as may be prescribed by the Authority from
time to time.
32.—(1)
The Board of Trustees shall, within one month of the
establishment of the Fund, appoint the Fund Manager on the recommendation
of the management committee.
(2)  A person shall not be appointed as a Fund Manager in respect of the
reserve fund unless —
(a)  it is incorporated under the Companies and Allied Matters Act;
(b)  the total market value of assets managed by the Fund Manager is
not less than 5 years projected value of the value of the Reserved Fund;
Management
of the
Capital Fund
and the
Administrative
Cost Fund
Management
of the
Reserve
Fund
Annual
report on
the Fund
Appointment
of the Fund
Manager