Interest Recovery. Interest on loans obtained by CONTRACTOR from Affiliates or parent companies or from third party non-affiliates at rates not exceeding prevailing commercial rates for capital investment in Petroleum Operations may be recoverable as Operating Costs. Details of any financing plan and amounts must be included in each Year's Budget of Operating Costs for the prior approval of PERTAMINA. All other financing must also be approved by PERTAMINA.
Interest Recovery. Interest on loans obtained by a contractor at rates not exceeding prevailing commercial interest rates on loans for capital investments in development of petroleum pools may be recoverable as an operating cost provided the Joint Authority has given its approval. The Joint Authority may give its approval if it is satisfied that recovery of interest is necessary to ensure the financial viability of the project.
Interest Recovery. Subject to and in accordance with the Hydrocarbons Law, any interest on loans obtained by the Contractor from Affiliated Companies shall not be recoverable as a Petroleum Operations Cost, nor shall it be deductible for tax purposes when estimating any Income Tax liabilities of the Contractor. Any interest on loans obtained by the Contractor from Persons other than Affiliated Companies for investments in Petroleum Operations shall not be recoverable as a Petroleum Operations Cost but shall be deductible for tax purposes, when estimating any Income Tax liabilities of the Contractor provided that the rate of interest and the terms of repayment have been approved by the Ministry in advance.
Interest Recovery. Interest on loans obtained by a Party from Affiliated Companies, or parent companies, or from third parties non-affiliated may not be recoverable as Petroleum Operations Expenditures, except for the three percent (3%) interest, but the interest may be deductible from income for the purposes of calculating CONTRACTOR's Income Tax. The interest on said loans cannot be over the prevalent commercial rates for Petroleum Operations investments. Details of any sums to be financed shall be included in each year's Budget of Petroleum Operations Expenditures for the review of the MINISTRY. Notwithstanding anything to the contrary contained herein or in any law regulation rule order or decree of the STATE, non-resident lenders shall not be subject to withholding tax or other income tax.
Interest Recovery. Subject to and in accordance with the Hydrocarbons Law, any interest on loans obtained by the Contractor from Affiliated Companies or from Persons other than Affiliated Companies for investments in Petroleum Operations shall be recoverable and at a rate of interest not greater than LIBOR plus 3.5% as a Petroleum Operations Cost and shall be deductible for tax purposes, when estimating any Income Tax liabilities of the Contractor provided that the rate of interest and the terms of repayment have been approved by the Ministry in advance.
Interest Recovery. The interest will be computed based on the outstanding ledger balance on monthly basis. This interest amount will be debited to the SLCF account itself thereby recovering the interest component of the EMI. Excess funds over and above the EMI deposited by the Borrower(s) into the account (‘Excess Fund’) will result in saving of interest as the account will compute interest only on the net debit/ledger balance on a daily basis. This interest offset enables the customer to reduce the interest paid and thereby resulting in a reduced tenure of the SLCF. If the Borrower(s) had not deposited any funds into the SLCF account for EMI recovery, then the interest debited will show as an unauthorised overdraft and the account will be shown as a delinquent account. Notwithstanding anything contained herein above in the event the Excess Fund in the SLCF account is more than the ‘Threshold Limit’ then the Bank may at its sole discretion charge Non-utilisation/Commitment fee as particularly mentioned in Annexure A herein. The Borrower(s) acknowledges that the Bank has discretion to change Non-utilisation/Commitment fee or Threshold Limit basis internal review with prior notification to the customer.
