0.625
%
Positive
16
mm boe
7
%
While the operating environment is broadly positive, we believe that the fact that persistent fiscal and current accounts deficits have not seen an increase in pressure on legislators to seek greater income from the hydrocarbon sector, means that our Outlook is Positive.
June 3, 2024
Africa - North
mm bbl
bcf
Northern Africa, bordering the North Atlantic Ocean and the Mediterranean Sea, between Algeria and Western Sahara.
Concession
Relatively simple Concession-based fiscal regime. Royalty rates vary by location and oil/gas, with lower rates for deep-water (>200m) operations. In addition to corporate income tax there is an additional profits tax (the National Solidarity Levy). State-owned L’Office national des Hydrocarbures et des Mines ("ONHYM") has the option to participate in an exploration agreement or commercial discovery development for an equity stake of up to 25%.
Morocco has ratified 72 investment treaties for the promotion and protection of investments and 62 economic agreements, including with the United States and most EU nations, that aim to eliminate the double taxation of income or gains. Morocco is the only country on the African continent with a Free Trade Agreement ("FTA") with a number of significant markets, eliminating tariffs on more than 95% of qualifying consumer and industrial goods. The Government of Morocco plans to phase out tariffs for some products through 2030.
Source: ESRI, Heritage Index, HMG Foreign & Commonwealth Office, US Department of State, International Trade Administration, International Law Review, Ernst & Young, Wood Makenzie & OGA data.
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