The Tax Authority (AT) has moved ahead with the coercive collection of taxes from Galp for failing to pay the tax granted on the sale of its shares to Abu Dhabi National Oil Company (ADNOC) on time.

The information is contained in a statement issued by the Tax Authority reacting to reports that Galp has taken Mozambique to the international court to settle a dispute over the deduction of capital gains.

Mozambique is demanding a transaction tax of almost 176 million dollars. To this amount must be added 160 million dollars in deferred payments on the operation. Galp does not agree with the demands contained in the AT's Binding Opinion.

The document states that Galp was given ten days to present a suitable guarantee, but what it presented was not to the AT's liking. The AT asked for a new guarantee, but Galp was once again disappointed. Galp was given a new deadline of five days, but nothing has changed.