Library / Page 1 of 35 MIDSTREAM PETROLEUM HOST COMMUNITIES DEVELOPMENT TRUST REGULATIONS, 2024
Page 1 of 35 MIDSTREAM PETROLEUM HOST COMMUNITIES DEVELOPMENT TRUST REGULATIONS, 2024

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Page 20 of 35 
 
include 
capital 
expenditures, 
impairment, 
depreciation 
or 
amortisation.  
 
(8) The Fund shall consist of - 
(a) sums accruing to the trust from donations, gifts, grants, or honoraria; 
and  
(b) interest, revenue, or profits accruing to the reserve fund. 
 
(9) The licensee  shall submit to the Authority, its annual audited report 
not later than 31st May of the particular year and the report shall 
include the details of the licensee’s annual operating expenditure in 
the preceding financial year in the petroleum operations affecting the 
host communities for which the Fund was established. 
 
 
(10) The licensee may, subject to obtaining the approval of the 
Authority, discontinue contribution to the reserve fund or disengage 
the fund manager or decline to hire a fund manager in order to reduce 
expenditures, where the available funds for administration are 
insufficient to fund ongoing operations.  
 
(11). The licensee shall, in support of its application for approval to 
discontinue contribution to the reserve fund, disengage the fund 
manager or decline to hire a fund manager, provide to the Authority 
such additional information as it may direct. 
 
 
25. The Board of Trustees shall in each year allocate from the host 
communities development trust , a sum equivalent to- 
 
(a) 
75% to the capital fund out of which the Board of Trustees 
shall make disbursements for projects in each of the host communities 
as may be determined by the management committee in furtherance 
of the objectives set out in section 234 of the Act, provided that any 
sums not utilised in a given financial year shall be rolled over and 
utilised in subsequent year; 
(b) 
20% to the reserve fund, which sums shall be invested for the 
utilisation of the host communities development trust whenever there 
is a cessation in the contribution payable by the licensee; and  
Allocation of Fund