The Nigerian fiscal regime is still very competitive in the PIB period, compared with the countries in the Gulf Of Guinea and North Africa.
The PIB (Petroleum Industry Bill) is a comprehensive legislation that aims, in part, to increase Nigerian government take from exploitation of the country’s resources. International Oil Companies have balked at some of the fiscal provisions, arguing that they are less competitive than comparative fiscal regimes on the continent. But a Schlumberger report, released during the last edition of the Nigerian Association
Petroleum Exploration (NAPE) Conference in Abuja, suggests that the complaints are exaggerated. Whereas overall government take in Algeria and Angola each is about 90%, at $70 per barrel, the Nigerian government will receive at most 80% in the PIB era, according to the oil service company.
Highlights of the Schlumberger Report
Onshore and shallow water
Pre PIB PIB
PPT 85% NHT-50%, CITA -30%
Inland Basins
Pre PIB PIB
PPT 5% NHT 3-5%, CITA-30%
Under the PIB, a lot of tax is gone..
Gas
Pre PIB PIB
Gas Capex is Gas capex is charged
charged against against gas reserves
oil reserves
