Angola: Government to give natural gas exploration companies tax exemption

26 March 2009

Luanda, Angola, 26 March – The Angolan government plans to apply tax exemption to companies that explore natural gas and plans to put pressure on oil companies to contract more Angolan workers, newspaper Jornal de Angola reported Wednesday.

On Tuesday, the Angolan parliament approved a legislative authorisation for the government to approve tax exemption for companies that explore natural gas, a move that aims to encourage investment in the country, which has no domestic market for gas.

As part of these measures, Sonangás, a subsidiary of state company Sonangol, is due to grant 10-year licenses to ENI Angola Exploration BV, Gas Natural West Africa SL, Galp Exploração Petrolifera and Exem Energy BV.

The parliament also approved new measures aimed at increasing the total number of Angolan workers in the oil sector, by boosting the government’s “angolanisation” policy.

The new measures require oil companies to contribute to a special fund that will be used for training and development of Angolan staff, although state newspaper Jornal de Angola did not report how much the contribution would be. (macauhub)