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
Page 29 of 35
Page 29 of 35
(5) The report shall contain -
(a)
a description of the disruptive act;
(b)
the area of the licensee’s operations affected
by the disruptive act;
(c)
the extent of damage to the licensee’s facilities
used
in
midstream
or
downstream
petroleum
operations;
(d)
an estimate of the value of petroleum liquids
spilled or natural gas released as a result of the act;
(e)
the estimated cost of repair of damage to the
licensee’s facilities used in midstream or downstream
petroleum operations, and where the damage
requires a replacement of the facility, the estimated
cost of the replacement;
(f)
in case of a shut-down of the licensee’s
operations, the operating expenditures incurred during
the shutdown period; and
(g)
the reductions that will be obtained in taxation
as a result of additional costs that may be charged for
tax purposes, and a cash flow illustrating how the total
costs under sub-regulation (d), (e) and (f) of this
regulation, less the tax recovery under this regulation.
(6)
The damage calculated shall not include loss of profits
or other losses not specifically included in this regulation.
(7)
The Authority shall, on the basis of the joint investigation
team report, determine whether the disruptive act was due
to technical or natural cause or third-party interference and
establish the costs and tax recovery and any adjustment
required in the cash flow.
39(1)
Where
a
licence
is
assigned,
transferred
or
surrendered, revoked, terminated or expired in accordance with
the Act, the licensee shall fulfil its surviving obligations and where
these obligations have been complied with, the licensee shall
have no further obligations either partly or wholly with respect to
the area that was surrendered.
Cessation of
licensee’s interests
RegulationsPDF29