Chad: oil royalties, taxes and pipeline transit
- Main law
- Law No. 006/PR/2007 of 2 May 2007 on hydrocarbons 1
- Royalty, most production sharing contracts
- 14.25% 1
- Royalty, 1988 conventions
- 12.50% 1
- Corporate tax, concessions from 2015
- 35% to 75% 1
- Tax oil, production sharing contracts
- 40% to 60% 1
- Crude production, 2023
- 55,482,951 barrels 1
- Crude exports, 2023
- 48,151,720 barrels 1
- Extractive revenue, 2023
- 1,159.32 billion FCFA 1
- EITI validation score
- 64.5 points, Fairly low (12 October 2022) 2
Two fiscal regimes
Companies established in Chad before 2007 operate under a concession regime. They pay a production royalty, usually in kind, plus corporate profit tax 2. Companies established from 2007 operate under production sharing contracts 2.
Law No. 006/PR/2007 of 2 May 2007 on hydrocarbons introduced production sharing contracts with their own fiscal regime 1. Under those contracts, tax oil is the equivalent of corporate tax in the concession regime. It is calculated on the contractor's share of profit oil 1.
Under concessions, corporate tax is paid in cash at a contractual rate. The 2023 EITI report puts the range at 40% to 75% before 2015 and 35% to 75% from 2015. Tax oil under production sharing contracts ranges from 40% to 60% 1.
Royalty rates
The 2023 Chad EITI report lists the following royalty rates on crude oil. Gas royalties range from 5% to 10% 1.
Who collects
The Ministry of Finance and Budget recovers petroleum taxes and customs duties and manages extractive revenue in the budget through the DGI, the DGDDI and the DGTCP 1. The state oil company SHT manages the State's stakes in the oil consortia 1.
Part of the State's oil revenue in 2023 was received in kind. That crude was exported or delivered to the N'Djamena refinery company SRN 1. The report lists 10.72 million barrels of such exports and 4.00 million barrels of SRN deliveries 1.
Laws 016/PR/2000 and 002/PR/14 govern how revenue is shared. Royalties go 50% to priority investments and 45% to state operating costs. Dividends go 50% to priority investments and 50% to state operating costs 2.
Chad-Cameroon pipeline transit
Chadian crude is exported through a pipeline that runs to the Kome-Kribi 1 terminal off Cameroon. Exports began on 3 October 2003, according to Cameroon's pipeline monitoring committee CPSP 3.
In its August 2004 letter, the CPSP said COTCO paid Cameroon's transit fees directly to the Public Treasury. The fees were calculated on the quantities of crude lifted 3.
On the Chad side, the 2023 EITI report records 34.27 billion FCFA of TOTCO access rights paid to the State 1. It lists TOTCO and COTCO transport costs of US$62.80 million, or 37.95 billion FCFA, deducted from the State's in-kind crude sales 1.
As reported by Aristide Nguemadji of Tchadinfos on 28 May 2026, citing EcoMatin, Cameroon collected more than 12.2 billion FCFA in transit fees from January to April 2026 on 16.10 million barrels 4. The same report put the fee at about US$1.32 a barrel in recent years and the pipeline at more than 1,070 km, with 890 km in Cameroon 4.
Chad EITI figures for 2023
The Chad 2023 EITI report was published in December 2025. The Independent Administrator, Enerteam, signed its letter on 30 December 2025 1.
| Item, 2023 | Figure |
|---|---|
| Total budgetary extractive revenue | 1,159.32 billion FCFA 1 |
| Royalties and oil participations repatriated to the Treasury single account | 189.83 billion FCFA 1 |
| TOTCO access rights | 34.27 billion FCFA 1 |
| Crude production | 55,482,951 barrels 1 |
| Crude exports | 48,151,720 barrels 1 |
| Unexplained reconciliation gap | 2.82 billion FCFA, 0.30% 1 |
Chad in the EITI
Chad scored 64.5 points, rated Fairly low, in Validation under the 2019 EITI Standard. The result was announced on 12 October 2022 2.
The EITI international secretariat says the oil sector made up 14.5% of GDP and more than 70.9% of exports in 2020 2.
Common questions
What royalty does Chad charge on crude oil?
Most production sharing contracts pay 14.25%. Older 1988 conventions pay 12.50% and one contract pays 16.00%, according to the 2023 Chad EITI report 1.
Who collects Chad's oil revenue?
The Ministry of Finance and Budget collects through the DGI, the DGDDI and the DGTCP. SHT manages the State's stakes in oil consortia 1.
What does the Chad-Cameroon pipeline charge?
Chad received 34.27 billion FCFA in TOTCO access rights in 2023 1. Tchadinfos reported a Cameroon transit fee of about US$1.32 a barrel in recent years 4.
How much oil did Chad produce in 2023?
Chad produced 55,482,951 barrels of crude and exported 48,151,720 barrels in 2023 1.
Rules and fees change. Check the official site linked above before you apply or pay. Spotted an error? Email hello@petroleumlevies.org with the official link.
Sources
- ITIE Tchad: Chad 2023 EITI Report (December 2025)
- EITI: Chad country page (accessed 20 October 2026)
- SNH, CPSP: Lettre du CPSP No. 8 (August 2004)
- Tchadinfos: Pipeline Tchad-Cameroun, droits de transit percus par le Cameroun pour les 4 premiers mois de 2026, by Aristide Nguemadji (28 May 2026)
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