Ministry offers MET deduction for some Khanty-Mansi oil fields

MOSCOW, Oct 29 (PRIME) -- The Finance Ministry has drafted a bill to deduct a mineral extraction tax (MET) for oil fields in some regions of the Khanty-Mansi Autonomous District, as seen by PRIME on Tuesday in the draft published on the website for disclosure of draft regulatory acts.

The MET will be deducted from January 1, 2020 through December 31, 2029 for the companies that obtained their licenses before January 1, 2018 and whose fields have initial recoverable oil reserves of 1 billion tonnes or more or 450–500 million tonnes as of January 1, 2018. The deduction should raise oil production of the fields by 100 million tonnes, the bill’s note said.

In order to compensate shortfalls in budget revenue, the ministry plans to introduce MET of 385 rubles per 1,000 cubic meters of associated gas.

Previously, Rosneft asked the government for tax exemptions for the Priobskoye field amounting to 46 billion rubles per year, similar to a 35 billion ruble annual tax exemption for the Samotlor oilfield. Kommersant business daily reported in August that the Finance Ministry may raise MET for oil and introduce MET for associated gas for the entire sector to compensate budget shortfalls from the exemptions.

(63.8700 rubles – U.S. $1)

End

äîëëàðîâ çà áàððåëü.