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Mozambique 2017-2018 EITI Report English

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Mozambique 2017-2018 EITI Report English 8th Report Years 2017 and 2018 28.02.2020 Extractive Industries Transparency Initiative │I2A Consultoria e Serviços Contents Executive Summary .......................................................................................................................11 1 Introduction ...................................................................................................................................12 1.1 Scope of Work and Methodology ..........................................................................................13 1.2 Brief description of the 2016 Standard ..................................................................................14 2 Profile of Mozambique ...................................................................................................................17 2.1 Description of the Extractive Industry ....................................................................................21 2.2 Mining Area ............................................................................................................................22 2.3 Hydrocarbon Area ..................................................................................................................24 3 Legal and Regulatory Framework ...................................................................................................27 3.1 Main legal instruments ..........................................................................................................27 3.2 Mozambique Tax System .......................................................................................................30 3.3 Description of the main National Tax .....................................................................................31 Corporate Income Tax (IRPC) .........................................................................................................31 Personal Income Tax (IRPS) ............................................................................................................32 Value Added Tax (IVA) ....................................................................................................................33 Excise Duty .....................................................................................................................................34 Customs Duties ..............................................................................................................................34 Stamp Duty .....................................................................................................................................35 Inheritance and Donation Tax ........................................................................................................35 National Reconstruction Tax (IRN) .................................................................................................35 Fuel tax ...........................................................................................................................................36 3.4 Description of the main Municipal Tax ..................................................................................36 Personal Municipal Tax (IPA) ..........................................................................................................37 Property Tax (IPRA) ........................................................................................................................37 SISA Municipal Tax .........................................................................................................................37 Vehicle Municipal Tax (IAV) ............................................................................................................38 Improvement Contribution ............................................................................................................38 3.5 Specific tax, fees and contributions of the Extractive Industry ..............................................38 3.5.1 Mining Area ....................................................................................................................39 Tax on Mining Production (IPM) ....................................................................................................39 Surface Tax (ISS) .............................................................................................................................40 Mining Resource Income Tax (IRRM) .............................................................................................40 Specific rules on income tax ...........................................................................................................41 Tax Benefits ....................................................................................................................................42 3.5.2 Hydrocarbon Area ..........................................................................................................44 2 Extractive Industries Transparency Initiative │I2A Consultoria e Serviços Petroleum Production Tax (IPP) .....................................................................................................44 Specific rules on income tax ...........................................................................................................45 Production Sharing .........................................................................................................................45 Tax Benefits ....................................................................................................................................45 Other Fees ......................................................................................................................................46 3.5.3 Other Extractive Industry Payments and Contributions .................................................46 4 Licensing Process ...........................................................................................................................49 4.1 Mining Area ............................................................................................................................50 4.1.1 Description of the mining titles ......................................................................................51 4.2 Hydrocarbon Area ..................................................................................................................53 4.2.1 Description of the concession agreements ....................................................................54 4.2.2 Public Tender History .....................................................................................................55 4.2.3 Publication of agreements .............................................................................................58 5 Exploration and Production............................................................................................................59 5.1 Information on prospecting and research activities ..............................................................59 Area A5-A .......................................................................................................................................59 Area A5-B .......................................................................................................................................60 Area Z5-C ........................................................................................................................................61 Area Z5-D .......................................................................................................................................61 Area PT5-C ......................................................................................................................................62 5.2 Production data......................................................................................................................63 5.3 Export data .............................................................................................................................65 5.4 Internal consumption data .....................................................................................................68 6 State participation in the Extractive Industry .................................................................................69 6.1 Mining Area ............................................................................................................................69 Regulator ........................................................................................................................................69 State Commercial Representation .................................................................................................69 6.2 Hydrocarbon Area ..................................................................................................................71 Regulator ........................................................................................................................................71 State Commercial Representation .................................................................................................72 ENH Subsidiaries ............................................................................................................................72 ENH Affiliates.................................................................................................................................75 General - IGEPE ..............................................................................................................................75
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