The Angolan government is finalising a review of the law on tax incentives and marginal oil discoveries to allow wells containing around 4 billion barrels to be drilled, the Secretary of State for Oil, Paulino Jerónimo said on Friday in Luanda.
At the end of a meeting with business owners on the programme for production support, diversification of exports and substitution of imports (Prodesi), the Secretary of State also said that under existing contracts the marginal discoveries are not economically viable, hence the creation of tax incentives for their development.
Jerónimo, quoted by Angolan news agency Angop, said the proposed review of the law should be presented to the Council of Ministers in February.
He said that the oil sector is also working on the legislation related to leaving facilities at the end of the exploration period of the fields and on the legislation that allows approval of contracts in the oil sector to be accelerated as well as reducing the time forbids for oil blocks.
Prodesi is intended to synchronise private sector and state initiatives to facilitate business requirements, reduce costs, identify business opportunities, attract investors, and promote financial products that can help national banks. (macauhub)