House of Reps Public Hearing 6 – Lekoil

  • 6 frontier basins should be specifically designated
  • OPLs located in water depths greater than 2000 metres in the Niger Dela be identified and designated as Frontier Areas
  • Grant exception for indigenous frontier operators from 5% flat royalty rate and windfall clawback of 0.05% per dollar above $60 oil price
  • 10 year royalty holidays for frontier basins should be placed in the law rather than granted at the discretion of the Commission
  • assessable tax for frontier operators to be a flat rate of 30%
  • allow indigenous operators in frontier basis to recover all of the signature bonuses and reduction of the production bonuses payable for frontier leases

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