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Incentives The Decree on investment deduction for marginal gas accumulations on the Continental Shelf (Regeling investeringsaftrek marginale gasvoorkomens continentaal plat) became in force on 16th of September 2010. This measure aims to encourage the mining industry to develop marginal gas fields on the Dutch Continental shelf which otherwise would not have been drilled. Licensees and co-licences may charge 25% of the amount of investment for the appointed marginal fields or prospects against the result subject to legal payment of the State Profit Share under the Mining Act. The applications for marginal fields will be reviewed against the following three parameters: Technically producible volume of gas, well productivity and transport distance to a platform. Since the Decree became in force 27 applications have been filed (12 in 2012) by nine different licences. In 2012 eight applications have been treated, one was rejected and five applications have been approved. Two applications are tentatively rejected. The five approved cases expect to discover and develop 4.5 billion Sm3 of gas (technically recoverable). At the same time and with the same purpose an agreement became into force between the Minister of Economic Affairs and the mining companies active on the Continental Shelf. This covenant includes a voluntarily procedure to stimulate mining companies holding permits for gas production on the Continental shelf to either actively use the permit areas (and parts thereof) within a reasonable time for exploration and exploitation operations, or make them available to others. The first of July 2011 for all production licences the areas classified as ‘inactive’ were published. During the following nine months the main licence holder (operator) and during the subsequent three month the other licensees were in the position to submit a work plan for these ‘inactive’ areas. Since July 1st 2012 third parties are also invited to submit work plans. In 2012 a work plan was submitted by a third part for a part of the production licence F3b (GDF-Suez). This work plan is under review with the ministry. If the plan is accepted, the part of the production licence F3b classified as ‘inactive’ will be transferred to the new applicant. The actual status of production licence areas, based on the above mentioned covenant, is published on www.nlog.nl. On this web site the activity level in onshore licence areas are published as well. This onshore classification is according to article 32a of the Mining Act. 23PDF Image | Natural resources and geothermal energy in the Netherlands
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