- 24 -
On February 9, 1976, the People's Assembly passed Law No. 15
of 1976. Article 1 authorizes the Minister of Petroleum to sign
the MCA. Article 2 gives several articles of the MCA, including
Article IV, the force of law prevailing over contrary
legislation.
President Sadat signed a decree promulgating Law No. 15 of
1976 on February 19, 1976. Law No. 15 of 1976 and the MCA were
published in the Egyptian Official Gazette on February 21, 1976,
in English and Arabic.
The minutes of the People's Assembly session in which
Egyptian Law No. 15 of 1976 was considered and approved reflect
no discussion of the tax aspects of the MCA. Nor does a report
prepared by the Industry and Motive Power Committee concerning
Law No. 15 of 1976 address such aspects. The report does note
that the Egyptian Government expects to receive an additional
$2.4 billion from the Amoco Egypt concessions over the next 20
years as a result of converting the 50/50 agreements to the
production sharing format.
The MCA in its English and Arabic versions was formally
executed by the EGPC, Amoco Egypt, and the Minister of Petroleum,
on behalf of the ARE, on February 24, 1976. The MCA became
effective as of July 1, 1975.
Page: Previous 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 NextLast modified: May 25, 2011