OMV Petrom and Exxon do not want to be subject to the financial tax provisions of the Offshore Law, OUG 114/2018, on Income Tax. Companies want to sell the Black Sea gas freely, at the prices and quantities determined by them, and by using any procedures chosen by the two companies to select buyers and conclude contracts, regardless of the buyer’s identity or location.

According to a document obtained by financialintelligence.ro, OMV Petrom and Exxon have proposed to the Romanian authorities a draft discussion, an addendum to the Concession Agreement for Exploration, Development and Exploitation of Petroleum in the XIX Neptun perimeter. The two companies want the Romanian state not to apply the financial-tax provisions of the Offshore Law or GEO 114/2018, but the stability regime established through the Emergency Ordinance no. 160/1999 on the establishment of measures to stimulate the activity of oil agreement holders and their subcontractors, operating in offshore oil fields, including areas with a depth of more than 100 meters.

According to the document, if OMV Petrom or Exxon are obliged to pay any additional amount, they will be entitled to “a financial compensation from the Romanian state having an amount equal to the overall economic impact”, the quoted document shows.

At the same time, long-term stable royalties are required and the possibility of unrestricted marketing with regard to the pricing of sales, including the export of hydrocarbons, except when required by EU mandatory regulations.