Nigeria LNG (Fiscal Incentives, Guarantees and Assurances) Act

ARRANGEMENT OF SECTIONS

SECTION

I. Pioneer status.

1. Tax relief period.
2. Liability to companies tax.
3. Dollar accounting.
4. Interest on loans.
5. Withholding tax on interest, dividends, etc.
6. Exemption from customs duties.
7. Restriction on set off of capital allowance.
8. Guarantees and assurances.
9. Interpretation.
   II. Short title.

SCHEDULES

FIRST SCHEDULE

Early termination of tax relief period

SECOND SCHEDULE

Guarantees and assurances to Nigeria LNG limited and its shareholders

An Act to confer pioneer status on the Nigeria LNG Limited and to exempt the company from certain taxes, customs duties, other levies and the provisions of
the Pre-Shipment Inspection of Imports Act and to provide for the guarantees and assurances by the Federal Government to the company and its shareholders.

[1990 No. 39.]

[24th April, 1989]

[Commencement.]

1. Pioneer status

1. Tax relief period

Notwithstanding the provisions of section 10 of the Industrial Development (Income Tax Relief) Act, the tax relief period of the Company shall commence on the production
day of the Company and shall continue for a period of ten years, so however that the tax relief period shall terminate at the first anniversary date after the first five years when the
cumulative average sales price of liquefied natural gas reaches US 3 dollars/mmbtu as calculated in the First Schedule to this Act in accordance with which such calculation
shall only be made annually at each anniversary date.