Block’s coordinates
Point
Longitude
Latitude
17°25’00’’ W
15°25’00’’ N
17°25’00’’ W
15°00’00’’ N
17°40’00’’ W
15°00’00’’ N
17°40’00’’ W
14°45’00’’ N
18°30’00’’ W
14°45’00’’ N
18°30’00’’ W
15°25’00’’ N
If La Société des Pétroles du Sénégal has complied with the project obligations, it shall be granted a renewal on two 2 occasions for an additional research period of 3 years for the first renewal and 2.5 years for the second renewal period.
If La Société des Pétroles du Sénégal discovers hydrocarbons within the contract area and concludes that the deposit is marketable, it shall submit to the Minister of Oil Operations an environmental impact study indicating any effects from the projected work on the environment, the conditions under which they satisfy the environment concerns and a preliminary plan of abandonment or restoration of the sites in question at the end of the exploitation.
La Société des Pétroles du Sénégal shall take all necessary steps to avoid that any hydrocarbons, sludge or any other product used in the oil operations may be wasted and may pollute the underground water, and ensure the protection of the environment, prevent accidents and limit the consequences thereof, and in particular, prevent, reduce and control the pollution of the environment and if applicable restore the sites and undertake the abandonment project upon completion.
La Société des Pétroles du Sénégal shall in particular make it known when implementing the oil operation to take all necessary measures for the protection of the environment, in accordance with the provisions of the international agreements related to the pollution of sea water by hydrocarbons and their implementing provisions.
La Société des Pétroles du Sénégal has the right to use water necessary for the oil operations, provided that such use does not damage the water supply of the inhabitants and the water points for livestock.
La Société des Pétroles du Sénégal is subject to corporate taxation as provided for in the General Tax Code and the Oil Code. The net profits derived by La Société des Pétroles du Sénégal from all of its oil operations in the territory of Senegal are subject to 25% tax on corporations calculated on net profits.
إنتاج حصة - ميزات النفط التكلفة (أساس الحساب، والقيود المفروضة على استرداد التكاليف - على سبيل المثال كنسبة مئوية من الدخل أو الإنتاج، والنفقات الرأسمالية رفع، وما إلى ذلك)
22.3. La Société des Pétroles du Sénégal and Petrotim Limited shall receive each calendar year, by way of compensation, a percentage of the total commercial production after deduction of the hydrocarbon share intended for the recovery of the oil costs of the said year, in accordance with the provisions of articles 22.1 and 22.2 above.
For this purpose, the residual production shall be shared by the government and Petrotim Limited by way of the daily oil
or gas production, in accordance with the following brackets:
· As regards the crude oil or gas equivalent:
Daily production (Barrels or gas State Petrotim Limited equivalent)
Less than 30,000: 35%/ 65%
30,001 to 60,000: 40%/ 60%
60,001 to 90,000: 50%/ 50^
90,001 to 120,000: 54%/ 46%
Above 120,000: 58%/ 42%
La Société des Pétroles du Sénégal, no later than the first day of each contract year, shall pay the following surface area
leasing amount:
a) 5 dollars per square kilometer and per year during the initial research period;
b) 8 dollars per square kilometer and per year during the first renewal period;
c) 15 dollars per square kilometer and per year during the second renewal period and during any extension provided for in this contract.
The surface area rents shall be determined for the entire year according to the extent of the contract area held by La Société des Pétroles du Sénégal as of the due date of said rents. In the event of a release during the contract year, no reimbursement of the already paid rents shall be made.
La Société des Pétroles du Sénégal may, employ on a priority basis, with equal qualifications, Senegalese citizens of and contribute to the training of this personnel in order to enable their promotion to any positions as qualified workers, specialty officials, clerks and managers. At the end of each year, La Société des Pétroles du Sénégal shall prepare a recruitment plan and a training plan to achieve an increased and broader participation of the Senegalese personnel in the oil operations.
In order to facilitate the employment of Senegalese personnel, la Société des Pétroles du Sénégal shall provide, in view of the satisfaction of its needs, for the training and the advanced training of its personnel employed for the Oil Operations.
La Société des Pétroles du Sénégal shall have the right to build all facilities necessary to the oil operations and in particular, but not limited to, any roads, pipelines, storage facilities, port facilities, both inside and outside the contract area.
Authorization for La Société des Pétroles du Sénégal's right to build infrastructure may be subject to the use by third parties of the surplus capacities of the said facilities, on condition that such use does not interfere with the oil operations and that said third parties pay a fair and equitable consideration to La Société des Pétroles du Sénégal.
La Société des Pétroles du Sénégal shall have the right to build all facilities necessary to the oil operations and in particular, but not limited to, any roads, pipelines, storage facilities, port facilities, both inside and outside the contract area.
In the event of any dispute arising between the government and La Société des Pétroles du Sénégal concerning this contract the parties shall attempt to resolve it out of court. If the parties are unable to settle the dispute out of court within 3 months, they shall submit the dispute to the International Centre for the Resolution of Investment Related Disputes, by arbitration in Paris, France, conducted in French in accordance with the Agreement for the Resolution of Investment related Disputes between Countries and Nationals of other Countries.
When one party is incapable of performing its contractual obligations due to force majeure (excluding payments owed) the nonperformance or delayed performance is not a violation of this contract. For the purposes of this contract, an event of force majeure may be considered any unforeseen event that is beyond the control of the party invoking it, such as earthquakes, riots, insurrections, civil troubles, sabotage, wars or conditions attributable to war.
No provision of law may directly or indirectly increase the charges to La Société des Pétroles du Sénégal under Chapter 7 of the Oil Code. The contract is defined by the laws and regulation in place on the date this contract was signed.