Congo passes new hydrocarbon code

Congo has adopted new hydrocarbon codes in a bid to attract foreign investment into the sector.

Reuters quoted Congo National Assembly president Aubin Minaku as saying: "The implementation of this law will allow (Congo) to assure the security of investments and to put in place a fiscal regime that permits the Congolese state to profit from its hydrocarbon resources so that those contribute in particular to growth and the fight against poverty."

Final text of the bill, which was approved by the National Assembly, has not been made public yet.

Once turned into law, the code will replace the African nation’s existing hydrocarbon law passed in 1981, which is deemed as an obsolete law.

At present, Congo pumps 25,000 barrels of oil per day which contributes about 11% of its export revenues.

Explorations off the Atlantic coast and near its eastern boundary with Uganda are likely to raise its oil production by considerable amounts.

Anglo-French oil and gas entity Perenco is the only active producer of oil in the country.

French Total and another company owned by Israel’s Dan Gertler are exploring for oil deposits near Lake Albert, which is located along the country’s border with Uganda.