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RA 387 Article 78

Utilization of refining capacity.

Article 78

ART. 78. Utilization of refining capacity.—The holder of a Refining Concession shall have the preferential right to utilize his installations for the refining or manufacture petroleum produced by him from his concession, but is obligated to utilize any remaining capacity for the refining or manufacture, pro rata, of such other petroleum as may bi offered by others for refining or manufacture, and to charge without discrimination such rates as may have been approved by the Secretary of Agriculture and Natural Resources. When a refining concessionaire is also an exploitation concessionaire, the Secretary of Agriculture and Natural Resources may require that the royalty in kind due to the Government from the same concessionaire, or an equivalent amount of petroleum of the Government from other sources, be refined or manufactured, pro rata, with that owned by the refining concessionaire, up to the capacity of the installation; and in all cases petroleum owned by the Government shall have priority over all other petroleum for the utilization of the refining or manufacturing capacity in excess of that required to refine or manufacture petroleum owned by the refining concessionaire. Procedure for the determination of refining rates and the conditions governing the refining of petroleum other than that owned by the refining concessionaire shall conform to the Regulations.

Read the full instrument → · Open the chapter this section belongs to: CHAPTER VI →

Compiled from an official source version. Later amendments or repeals may not be reflected; the official text prevails. · Read the official text ↗

Source: Supreme Court E-Library, Republic of the Philippines. Philippine laws are public documents (works of the government).

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