Statoil wants answers on law

STATOIL was seeking clarification on Tanzania’s new petroleum law and wanted to learn how it would affect companies like itself already operating in the nation, local commercial manager Oivind Holm Karlsen said yesterday. “We need to go through the law to make sure we have a common understanding of what it is,” Karlsen said. “We need to understand what is the implication and how will the production-sharing agreements that we already have be honoured in light of that law.” Parliament passed the petroleum legislation in July, after repeated delays, ushering in a royalty regime in which energy companies pay 12.5 percent for onshore oil and gas production and 7.5 percent for offshore. – Bloomberg