albania 2010 eiti report

8/10/2019 Albania 2010 EITI Report

1/26

May 2012 Fair Links SARL RCS Paris 501 284 764 Page 1 of 26

Republic of Albania

Extractive Industries Transparency Initiative

EITI Report 2010

42 Avene Mon!aigne

75008 Paris " FRA#C$

"

1 %e&&on S!ree!

Lon&on '1(1() " *+

)e,e-.er 2012

For &is,ssion /r/oses ony

Fair Links SARL RCS Paris 501 284 764 Page 1


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423 avene Mon!aigne

75008 Paris " FRA#C$e 091 44 07 00 00

Fa: 091 44 07 00 10

;e A.anian $:!ra,!ive


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(in USD)

CompaniesAlbpetrol

(company)tate

Companies

!

tate

Companies

!

Albpetrol

1" i#nature bonuses 400 000 400 000 "

2" Royalties (from private companies) 18 4== 2=8 18 801 781 02 489

2" Royalties(from Albpetrol) 7 655 487 8 805 46= 1 14= =829

$" %are of production of Albpetrol 24 474 0=0 24 46 0=0 11 000

&" Corporate profit tax (from private companies) " " "

&" Corporate profit tax (from Albpetrol) 2 644 811 2 415 480 22= 1

'" ividends " " "

" *t%er si#nificant payments to t%e tate (from private companies) 100 000 100 000 "

" *t%er si#nificant payments to t%e tate (from Albpetrol) 1 84= 455 1 860 01 10 5589

+" *t%er si#nificant payments to local aut%orities (from private companies) " " "+" *t%er si#nificant payments to local aut%orities (from Albpetrol) " " "

Total in , &$ &+$ $-- $2 $-2 +&$ (1 2$$ .2) 11 000

2010eclared data

(in Leks)

Companies tate /ariation

1" i#nature bonuses 1 =82 =02 2 =82 7=2 === 8=09

2" urface fees 2= 6=8 = 22 201 55 7 4=7 08

$" Royalties 282 41 274 2=0 7= =2 8 26 6589

&" Corporate profit tax 218 171 2= 215 084 788 086 451

'" *t%er si#nificant payments to t%e tate 7 6=4 676 7 6=4 676 "

" *t%er si#nificant payments to local aut%orities 6 8= =06 5 640 640 1 25 266

Total in es 12 -'& $.0 10 $&& 1-$ 2 '10 20+

2010eclared data

Executive summary

;is $


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Table of contents

etter of presentation of t%e Report 2

Executive summary &

1" resentation of t%e Albanian extractive sector +

1"1" T%e oil and #as sector +111 ;e /o!en!ia of !;e oi an& gas se,!or 7112 ;e ins!i!!iona fra-eork of !;e oi an& gas se,!or 711 ;e /riva!e a,!ors of !;e oi an& gas se,!or 8

1"2" T%e minin# sector -121 ;e /o!en!ia of !;e -ining se,!or 8122 ;e ins!i!!iona fra-eork of !;e -ining se,!or 812 ;e /riva!e a,!ors of !;e -ining se,!or 8

2" Companies and benefit streams selected for t%e EITI Report 2010 10

2"1" T%e oil and #as sector 10211 Co-/anies 10212 (enefi! s!rea-s 10

2"2" T%e minin# sector 11221 Co-/anies 11222 (enefi! s!rea-s 11

2"$" T%e adopted reportin# templates 12

$" T%e nature and extent of our 3or as an Independent Administrator 1$

&" T%e final reconciliation of data for t%e oil4 #as and minin# sectors 1&

&"1" T%e oil and #as sector 1&

&"2" T%e minin# sector 1'

&"$" 5ain conclusions 1+

'" 5ain comments and recommendations 1-

'"1" (efinition of an adapted cope 1-

'"2" tren#t%enin# access to reliable data 1-

'"$" Treatment of declarations from local aut%orities 1.

'"&" Evolution of t%e cope for future EITI Reports 1.


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Abbreviations

tate a#enciesA+(# #a!iona Agen,y of #a!ra Resor,es

M$$ Minis!ry of $,ono-y3 ra&e an& $nergy

Extractive sector

+g +iogra-s

M C.i, -e!ers

Cf C.i, fee!

M,f Miion ,.i, fee!

PSA Pro&,!ion S;aring Agree-en!

*t%ers

AL($


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11;e /riva!e a,!ors of !;e oi an& gas se,!or


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Fair Links SARL RCS Paris 501 284 764 Page =

(era. as !;e ony in&s!ria ,o-/any e:!ra,!ing ,o//er in 2010 (era. ;o&s /ro&,!ion i,en,es for !;e

-ines of Mnee3 Lak Ros;i3 +ar-a an& Fs; Arres3 a o,a!e& in !;e /rovin,e of Pke24

#o -e&i- or s-a"

s,ae -ining ,o-/anies ere e:!ra,!ing ,o//er in 2010

#i,ke is -os!y e:!ra,!e& in !;e for- of iron"ni,ke an& ni,ke sii,a!e3 in !;e regions of )evo3 Pogra&e,3

Li.raG;& an& +kes25


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rivate

minin#

6

7uarry

companies

19 Signa!re (onsese:/ora!ion /;ase9

9 Roya!ies&o-es!i, saese:/or! saes9

tate

49 Cor/ora!e Profi! a:

29 Srfa,e fees

59 ?!;er signifi,an! /ay-en!s !o !;e S!a!e

69 ?!;er /ay-en!s !o o,a a!;ori!ies

ocal

aut%orities

22 ;e -ining se,!or

221Co-/anies

..+.+.

Large5sca!e ining sector

;e AL($ro/ ;as &e,i&e& !o ,onsi&er ,o-/anies .ase& on !;eir /o!en!ia eve of

,on!ri.!ion !o !;e S!a!e revenes ;is see,!ion ;as !;erefore .een i-i!e& !o ,o-/anies i!; an anna

!rnover2

s/erior !o 500 +*S) 50 MLeks9

;is a//roa,; ;as e& !o !;e a-.i!ios see,!ion of 8 -e&i- an& s-a"s,ae -ining ,o-/anies an&

15 Earry ,o-/anies a in /ro&,!ion94

222

(enefi! s!rea-s

;e AL($ro/ ;as &e,i&e& !;a! ?!;er signifi,an!

revenes/ay-en!s !o !;e S!a!eD i!; a -a!eriai!y !;res;o& se! a! 50 +*S) N5 MLeksO6

/er ann-3 /er

,o-/any9 an& ?!;er signifi,an! revenes/ay-en!s !o o,a a!;ori!iesD i!; a -a!eriai!y !;res;o& se! a!

5 +*S) N500 +LeksO7

/er ann-3 /er ,o-/any9 s;o& aso .e &e,are& .y S!a!e agen,ies an& e:!ra,!ive

,o-/anies

;e 6 .enefi! s!rea-s see,!e& for !;e -ining se,!or for !;e $


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2 ;e a&o/!e& re/or!ing !e-/a!es

;e re/or!ing !e-/a!es se& for &a!a &is,osre .y S!a!e agen,ies an& e:!ra,!ive ,o-/anies ;ave .een

&esigne& .y s3 in ,onsi&era!ion of !;e S,o/e &efine& .y !;e AL($ro/ ;ey ;ave

.een &ire,!y &is!ri.!e& .y s !o !;e S!a!e agen,ies an& o,a a!;ori!ies &e,aring on .e;af of !;e S!a!e ofA.ania3 an& !o !;e 6= e:!ra,!ive ,o-/anies in,&e& in !;e S,o/e of !;is $


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$" T%e nature and extent of our 3or as an Independent Administrator

'e ;a& !;e !ask of ,oe,!ing3 re,on,iing i&en!ifi,a!ion an& reso!ion of !;e -ain &is,re/an,ies9 an&

,o-/iing !;e !a: ,oe,!ion &e,are& .y !;e S!a!e of A.ania an& !;e !a: /ay-en!s &e,are& .y !;e e:!ra,!ive

,o-/anies3 on !;e .asis of !;e S,o/e of !;e $ro/ n&er i!s soe res/onsi.ii!y3 on !;e .asis of

!;e Pe!roe- La3 !;e Mining La an& !;e a: La 'e ;ave ,onsi&ere& !;e ,o-/re;ensiveness of !;e

.enefi! s!rea-s in,&e& in !;e S,o/e of !;is Re/or!

'e ;ave aso &is,sse& !;e is! of e:!ra,!ive ,o-/anies !o .e see,!e& for !;e $


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(in USD)

CompaniesAlbpetrol

(company)tate

Companies

!

tate

Companies

!

Albpetrol

1" i#nature bonuses 400 000 400 000 "

2" Royalties (from private companies) 18 4== 2=8 18 801 781 02 489

2" Royalties(from Albpetrol) 7 655 487 8 805 46= 1 14= =829

$" %are of production of Albpetrol 24 474 0=0 24 46 0=0 11 000

&" Corporate profit tax (from private companies) " " "

&" Corporate profit tax (from Albpetrol) 2 644 811 2 415 480 22= 1

'" ividends " " "

" *t%er si#nificant payments to t%e tate (from private companies) 100 000 100 000 "

" *t%er si#nificant payments to t%e tate (from Albpetrol) 1 84= 455 1 860 01 10 5589

+" *t%er si#nificant payments to local aut%orities (from private companies) " " "

+" *t%er si#nificant payments to local aut%orities (from Albpetrol) " " "

Total in , &$ &+$ $-- $2 $-2 +&$ (1 2$$ .2) 11 000

2010eclared data

&" T%e final reconciliation of data for t%e oil4 #as and minin# sectors

41 ;e oi an& gas se,!or

;e re,on,iia!ion of &a!a for !;e oi an& gas se,!or3 /resen!e& ;ereaf!er3 is .ase& on !;e &e,ara!ions re,eive&

fro- !;e 8 oi an& gas ,o-/anies ;aving !rans-i!!e& ,o-/e!e $


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18

..8

o!a fis,a revenes fro- !;e oi an& gas se,!or i n 2010 $


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&18

&08

1.8

Me&i- an& s-a"s,ae -ining se,!or 4 ,o-/anies9

Large"s,ae -ining se,!or 6 ,o-/anies9

Qarries se,!or 14 ,o-/anies9

0428

..4-8

o!a fis,a revenes fro- !;e -ining se,!or $


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4 Main ,on,sions

T%e follo3in# observations are based on t%e information made available to us to t%is date by t%e

A9EITI :orin# ;roup4 t%e tate of Albania and t%e extractive companiesor oil4 #as and minin# companies in t%e EITI declaration process4

alon# 3it% t%e declarations of any ?*t%er si#nificant payment to t%e tate@ allo3 us to

reasonably conclude t%at t%is EITI Report covers t%e most si#nificant fiscal contributions of t%e

extractive sector to t%e tate of Albania=

(v)

T%e declarations of t%e oil and #as companies and lar#e!scale minin# companies in production%ave been attested by t%eir external auditors4 ensurin# t%e reliability and compre%ensiveness

of t%e data t%ey %ave disclosed=

(vi) T%e disa##re#ated reconciliation of t%e declarations submitted by t%e tate of Albania and t%e

oil4 #as and minin# companies did not reveal any si#nificant inconsistency=

(vii) T%e private oil and #as companies %ave declared &$"' 5, (&"& 9illion es) of payment to

t%e tate of Albania (1. 5,4 or 1". 9illion es) and to Albpetrol (2&"' 5,4 or 2"' 9illion

es)=

(viii)T%e minin# companies %ave declared 1$ 5es ("2 5,) of payment to t%e tate of

Albania"


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'" 5ain comments and recommendations

51 )efini!ion of an a&a/!e& S,o/e

ro/ !o a&a/! !;e S,o/e of f!re Re/or!s !o !;e reai!ies an& goas of !;e

$an& n-eros a,!ors !o !;e S!a!e revenes

52 S!reng!;ening a,,ess !o reia.e &a!a

)es/i!e ,ear an& &e!aie& ins!r,!ions for ,o-/e!ing !;e re/or!ing !e-/a!es3 a signifi,an! n-.er of&e,ara!ions fro- S!a!e agen,ies3 -ore s,ar,ey fro- e:!ra,!ive ,o-/anies3 ere es!a.is;e& on a,,ra .asis

$:!ensive orking sessions ;ave .een n&er!aken an& a signifi,an! n-.er of ,orre,!ive &e,ara!ions ;ave

.een nee&e& !o i-i! !;e -os! signifi,an! &is,re/an,ies ;is reveae& !;e &iffi,!ies of so-e S!a!e agen,ies in

a,,essing reia.e &a!a es!a.is;e& on ,as; .asis ;is e-/;asises !;e nee& !o s!reng!;en !;e infor-a!ion an&

-oni!oring /ro,e&res of !;e S!a!e on !;e !a:es effe,!ivey ,oe,!e& fro- !;e e:!ra,!ive ,o-/anies3

s/e,ifi,ay .! no! e:,sivey in !;e ,on!e:! of an $enera )ire,!ora!e of Cs!o-s9 as e as i!;in !;e -aHor e:!ra,!ive ,o-/anies oi3 gas

an& arge"s,ae -ining9 s;o& ;e/ !o a&&ress !;is &iffi,!y ;e organisa!ion of a !;orog; $


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Fair Links SARL RCS Paris 501 284 764 Page 1=

5 rea!-en! of &e,ara!ions fro- o,a a!;ori!ies

;e AL($ro/ ,onsi&ers !;e fis,a ,on!ri.!ion of e:!ra,!ive ,o-/anies !o o,a

a!;ori!ies !;rog; nia!era &e,ara!ions .y !;ese o,a a!;ori!ies ony

54 $vo!ion of !;e S,o/e for f!re $ro/ reEires !;a! !;e &e,ara!ions fro- a arge"s,ae

-ining ,o-/anies in /ro&,!ion an& in e:/ora!ion9 .e a!!es!e& .y !;eir e:!erna a&i!ors3 in or&er !o fr!;er

s!reng!;en !;e reia.ii!y an& ,o-/re;ensiveness of $


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Annex 1< ist of companies from t%e oil and #as sector

selected for t%e EITI Report 2010

rivate companies in production (2)

"

(ankers Pe!roe-

"S!rea- ?i J >as

ational company (in production)

"

A./e!ro

rivate companies in exploration ()

"


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Annex 2< ist and definitions of t%e benefit streams of t%e

oil and #as sector selected for t%e EITI Report 2010

1

Lis! of .enefi! s!rea-s

Brom Albpetrol (')

"

Roya!ies

"Cor/ora!e /rofi! !a:

"

)ivi&en&s

"

?!;er signifi,an! /ay-en!s !o !;e S!a!e

"

?!;er /ay-en!s !o o,a a!;ori!ies

Brom companies in production and in exploration ()

"

Signa!re .onses

"Roya!ies

"

S;are of /ro&,!ion ao,a!e& !o !;e #a!iona ?i

Co-/any

"

Cor/ora!e /rofi! !a:

"


"?!;er /ay-en!s !o o,a a!;ori!ies

2

)efini!ions of .enefi! s!rea-s

i#nature bonuses

Signa!re .onses are o,,asionay &e!er-ine& .ase& on ,on!ra,! nego!ia!ions9 /on !;e gran!ing of an

e:/ora!ion or e:/oi!a!ion /er-i! i!;in !;e ,on!e:! of !;e s/e,ifi, ,on!ra,!a !er-s an& ,on&i!ions

Royalties

Roya!ies are a//ie& !o !;e !a:a.e vae or fis,a vae9 of saes

%are of roduction of t%e ational *il Company

A./e!ro3 !;e #a!iona ?i Co-/any3 is en!i!e& !o a s;are of !;e /ro&,!ion ;is s;are is &efine&

,on!ra,!ay3 .ase& on &ee-e& /ro&,!ion /re"e:is!ing /ro&,!ion9 an& in,re-en!a /ro&,!ion

/ro&,!ion isse& fro- ,on!ra,!ors inves!-en!9 an& /ai& in kin& or in ,as;ividends (for Albpetrol only)

)ivi&en&s ,orres/on& !o !;e /rofi!a.ii!y of !;e #a!iona ?i Co-/any !;a! is re&is!ri.!e& !o !;e S!a!e as

!;e soe s;are;o&er ;e eve of )ivi&en& is &e!er-ine& .y !;e .oar& of !;e ,o-/any

Corporate rofit Tax

Cor/ora!e /rofi! !a: is ,a,a!e& on !;e .asis of !a:a.e /rofi! of !;e ,o-/any

*t%er si#nificant payments to t%e tate

For e:;as!iveness /r/oses3 ,o-/anies s;o& &e,are any /ay-en! -a&e !o !;e S!a!e !;a! !;ey o&

,onsi&er as signifi,an! 503000 *S) /er ann-9

*t%er payments to local aut%orities

For e:;as!iveness /r/oses3 ,o-/anies s;o& &e,are any /ay-en! -a&e !o !;e o,a a!;ori!ies

,on!y3 &is!ri,!3 -ni,i/ai!y3 ,o--ne9 !;a! !;ey o& ,onsi&er as signifi,an! 53000 *S) /er ann-3s,; as $nviron-en!a ,i!y !a:9


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Annex $< ist of companies from t%e minin# sector selected

for t%e EITI Report 2010

ar#e!scale minin# sector in production (2)

"

A.anian C;ro-e s;/k C;ro-i!e9

"(erA.a s;/k Co//er9

ar#e!scale minin# sector in exploration (')

"

$-/ire Mining C;ro-i!e9

" @a. Resor,es C;ro-i!e9

"

(akan Resor,es Co//er an& ni,ke9

"

Cogar Mining Co//er9

"ire: $:/ora!ion Co//er9

"

5edium and small!scale minin# sector ($-)

"

Afri-i " k C;ro-i!e9

"A."CanaH C;ro-i!e9

"

AgeH s;/k C;ro-i!e9

"

A!eani s;/k C;ro-i!e9

"

(y!y,i C;ro-i!e9

"$gi"+ C;ro-i!e9

"

$i&on " 06 C;ro-i!e9

"

$rnisi s;/k C;ro-i!e9

"Fa.rika e Pasri-i! !e +ro-i! C;ro-i!e9

"

Fori&a s;/k C;ro-i!e9

"

>en!ari C;ro-i!e9

"

>Honi s;/k C;ro-i!e9

"

%er.i C;ro-i!e9

"


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Annex &< ist and definition of t%e benefit streams from t%e

minin# sector selected for t%e EITI Report 2010

1

Lis! of .enefi! s!rea-s

Brom companies in production ()

"

Signa!re .onses

"Srfa,e fees

"

Roya!ies

"


"


"?!;er /ay-en!s !o o,a a!;ori!ies

Brom companies in exploration (&)

"

Signa!re .onses

"Srfa,e fees

"


"

?!;er /ay-en!s !o o,a a!;ori!ies

2

)efini!ions of .enefi! s!rea-s

i#nature bonuses

Signa!re .onses are o,,asionay &e!er-ine& .ase& on ,on!ra,! nego!ia!ions9 /on !;e gran!ing of an

e:/ora!ion or e:/oi!a!ion /er-i! i!;in !;e ,on!e:! of !;e s/e,ifi, ,on!ra,!a !er-s an& ,on&i!ions

urface fees

Srfa,e fees are !a:es /aya.e .y ;o&ers of -ining e:/ora!ion or /ro&,!ion i,en,es on !;e .asis of !;e

geogra/;i,a area

Royalties

Roya!ies are a//ie& !o !;e !a:a.e vae or fis,a vae9 of saes

Corporate rofit Tax

Cor/ora!e /rofi! !a: is ,a,a!e& on !;e .asis of !a:a.e /rofi! of !;e ,o-/any

*t%er si#nificant payments to t%e tate

For e:;as!iveness /r/oses3 ,o-/anies s;o& &e,are any /ay-en! -a&e !o !;e S!a!e !;a! !;ey o&

,onsi&er as signifi,an! 503000 *S) /er ann-9

*t%er payments to local aut%orities

For e:;as!iveness /r/oses3 ,o-/anies s;o& &e,are any /ay-en! -a&e !o !;e o,a a!;ori!ies

,on!y3 &is!ri,!3 -ni,i/ai!y3 ,o--ne9 !;a! !;ey o& ,onsi&er as signifi,an! 53000 *S) /er ann-3

eg $nviron-en!a ,i!y !a:9


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Annex '< ist of reportin# tate a#encies and local aut%orities

tate a#encies

Brom t%e oil and #as sector (&)

"

A./e!ro3 &e,aring

Signa!re .onses /ro&,!ion i,en,es9

S;are of /ro&,!ion ao,a!e& !o !;e

#a!iona ?i Co-/any

?!;er signifi,an! revenes

503000 *S) or 5 MLeks9

"

#a!ion Agen,y of #a!ra Resor,es A+(#93

&e,aring

Signa!re .onses e:/ora!ion /er-i!s9


503000 *S) or 5 MLeks9

">enera )ire,!ora!e of a:es3 &e,aring

Roya!ies &o-es!i, saes9


)ivi&en&s for- A./e!ro


503000 *S) or 5 MLeks9

"

>enera )ire,!ora!e of Cs!o-s3 &e,aring

Roya!ies e:/or! saes9


503000 *S) or 5 MLeks9

"

Brom t%e minin# sector (&)

"

#a!ion Agen,y of #a!ra Resor,es A+(#93

&e,aring

Signa!re .onses


503000 *S) or 5 MLeks9

">enera )ire,!ora!e of a:es3 &e,aring

Roya!ies &o-es!i, saes9



503000 *S) or 5 MLeks9

"

>enera )ire,!ora!e of Cs!o-s3 &e,aring

Roya!ies e:/or! saes9


503000 *S) or 5 MLeks9

"

Minis!ry of $,ono-y3 ra&e an& energy

M$$93 &e,aring

Srfa,e fees


503000 *S) or 5 MLeks9

ocal aut%orities

A!! of the f!o"ing !oca! authorities ha#e &een asked to dec!are 78ther significant re#enues9( ;.*** Leks)

Brom t%e oil and #as sector (1')

"(era!

"

(EiGe

"

)evo

"$.asan

"

%as no &e,ara!ion re,eive&

no -a!eria i-/a,!9

"

+rHe

"

+kes no &e,ara!ion re,eive&

no -a!eria i-/a,!9

"

Li.raG;&

"Ma! no &e,ara!ion re,eive&

no -a!eria i-/a,!9

"Pogra&e,

"

Pke

"

S;ko&er no &e,ara!ion

no -a!eria i-/a,!9

"

Skra/ar

"ro/oHe

"

Kore

Brom t%e minin# sector (1')

"(era!

"

(EiGe

"

)evo

"$.asan

"

%as no &e,ara!ion re,eive&

no -a!eria i-/a,!9

"

+rHe

"

+kes no &e,ara!ion re,eive&

no -a!eria i-/a,!9

"

Li.raG;&

"Ma! no &e,ara!ion re,eive&

no -a!eria i-/a,!9

"Pogra&e,

"

Pke

"

S;ko&er no &e,ara!ion

no -a!eria i-/a,!9

"

Skra/ar

"ro/oHe

"

Kore


26/26

42 Avene Mon!aigne

75008 Paris " FRA#C$

"

1 %e&&on S!ree!

Lon&on '1(1() " *+

albania 2010 eiti report

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