Vol. 470 No. 4
307 Cecilia Keaveney asked the Minister for Transport, Energy and Communications the incentives to begin exploration, if any, which will be given to petroleum exploration companies currently showing an interest in the report entitled A Regional Evaluation and Geophysical Data Package for the Rockall Trough Offshore Ireland; and if he will make a statement on the matter. [19099/96]
Licences awarded under the Exploration Licensing Round in the Rockall Trough will benefit from the attractive features applicable to frontier exploration licences, as set out in the 1992 Licensing Terms for Offshore Oil and Gas Exploration and Development. These include the conditions that there is no obligation to drill a well during the first phase of the licence, reasonable rentals will be payable by the licensees, there is no provision for production royalties or State participation and a licence will be of 16 years duration. In addition the Finance Act, 1992, provides that a discovery made by the year 2013 under a licence in this round will qualify for a special rate of 25 per cent corporation profits tax. I am satisfied that the incentives in place are sufficiently attractive to encourage companies to apply for exploration licences under the round.
