“This year we will complete and possibly adopt a new bill on royalties. Romania will levy royalties for all its natural resources starting next year,” Ponta said.
In 2004, Romania has implemented a set of fixed royalty fees for oil and gas companies ranging between 3.5% and 13% of the production value. The fees were stated in the sale contract of oil and natural gas company OMV Petrom (SNP.RO) and are applicable until December 31, 2014.
However, according to Ponta, the new royalty rates might apply to Petrom earlier, depending on the results of negotiations.
Government representatives said the country’s mineral resources authority ANRM would decide if royalty rates for shale gas would be lower than those for conventional gas.
At the beginning of the year, Ponta said the Government planned to increase royalty rates applied to oil and natural gas producers sooner than 2015, adding the matter would also be discussed with the general manager of Austrian group OMV, owner of Petrom.
Minister-delegate for Energy Constantin Nita said at that time royalty rates for oil and natural gas should be raised to at least 20%-30%.
Romania collects mining and oil royalties of about 1 billion lei (EUR0.225 billion) yearly.
The main local oil and gas companies are OMV Petrom, Rompetrol (owned by KazMunaiGaz from Kazakhstan), Lukoil (Russia), MOL (Hungary), Eni (Italy) and Romgaz Medias. (EUR1=RON4.4298)