Algeria's new fiscal regime on hydrocarbons will be "sensitive" to the size and profitability of foreign partners' investments, Algerian oil minister Chakib Khelil said Thursday.
"We think we have an attractive fiscal regime," said Khelil at a US-Africa oil
conference sponsored by the Corporate Council on Africa. The regime "varies with field size" and with "terms of investment and profitability.," he added.
Royalties will be collected in cash, he said. The tax regime is also designed to encourage diversification and reinvestment, Khelil said.
Algeria passed the most recent amendments to its hydrocarbons law in August. The goverment included a windfall oil tax estimnated to range between 5% and 55% of profits.
(Dow Jones Newswires, 30/11/2006)