EGPC has implemented a number of changes in the management of operator payments, such that there has been a improvement in the situation. However, there is still a feeling that as there is no mechanism for automatic payments for crude lifted, and that payment is still subject to whimsy.
April 17, 2023
Africa - North
Northern Africa, bordering the Mediterranean Sea, between Libya and the Gaza Strip, and the Red Sea north of Sudan, and includes the Asian Sinai Peninsula.
Oil and gas exploration and production companies operating in Egypt will be subject to the provisions of the Egyptian income tax law, except as otherwise provided in the concession agreement, where EGPC assumes liability for their respective payment.
Egypt has passed several regulatory reform laws, including a new investment law in 2017; a “new company” law and a bankruptcy law in 2018; and a new customs law in 2020. These laws aim to improve Egypt’s investment and business climate and help the economy realize its full potential. The 2017 Investment Law is designed to attract new investment and provides a framework for the government to offer investors more incentives, consolidate investment-related rules, and streamline procedures. The 2020 Customs Law is likewise meant to streamline aspects of import and export procedures, including through a single-window system, electronic payments, and expedited clearances for authorised companies.
Source: ESRI, Heritage Index, HMG Foreign & Commonwealth Office, US Department of State, International Trade Administration, International Law Review, Ernst & Young, Wood Makenzie & OGA data.
© 2021 Oil & Gas Advisors Limited
Website by Rugby Web Design