Library / B 889 Federal Republic of Nigeria Official Gazette No. 189
B 889 Federal Republic of Nigeria Official Gazette No. 189

Page 27 of 29
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(c)  transfer all investable instruments under any existing memorandum
of understanding or any other agreement to the reserve fund;
(d)  transfer all development projects, schemes, assets and liabilities
under any existing memorandum of understanding or any other agreement
to the  trust; and
(e)  ensure the continued execution of all development projects or schemes
in paragraph (d) of this sub-regulation by the trust.
(2)  The licensee shall notify the Authority of the arrangements made
under this regulation.
42.—(1)
A holder of a petroleum prospecting licence or petroleum mining
lease who has established a host communities development trust that applies
to midstream designated facilities that ordinarily may have been the subject of
these Regulations shall —
(a)  not later than three months from the commencement of these
Regulations apply to the Authority to be exempted from establishing a Trust
and Fund for the midstream designated facilities; and
(b)  submit an annual report of its host communities activities in respect
of the midstream designated facilities in the preceding year accompanied
by the audited accounts of the trust to the Authority, not later than 31st May
of the particular year.
(2)  Where the holder of a petroleum prospecting licence or petroleum
mining lease divests its licence or lease in accordance with the Act and retains
its midstream facilities, it shall —
(a)  notify the Authority of the divestment; and
(b)  not later than three months from the conclusion of the divestment
incorporate a  trust for the midstream designated facilities in accordance
with these Regulations.
43.  The Authority may issue guidelines, frameworks, rules, templates
and directives for the effective implementation of these Regulations.
44.  In these Regulations —
“Act” means the Petroleum Industry Act, No. 6, 2021;
“advisory committee” means the host communities advisory committee
set up pursuant to section 249 of the Act;
“annual contribution” means at least 3% of a licensee’s actual annual
operating expenditure of the preceding financial year in the midstream
petroleum operations affecting the host communities for which the applicable
host communities development trust fund was established;
Exemptions
Authority
to make
guidelines,
etc
Interpretation