Part 8

Oil activities
Chapter 2

Basic definitions

“Associated companies”
271
1
For the purposes of this Part two companies are associated with one another if—
a
one is a 51% subsidiary of the other,
b
each is a 51% subsidiary of a third company,
c
one is owned by a consortium of which the other is a member,
d
one has control of the other, or
e
both are under the control of the same person.
2
For the purposes of this section—
a
a company is owned by a consortium if at least 75% of the company's ordinary share capital is beneficially owned by other companies each of which beneficially owns at least 5% of that capital, and
b
the other companies each owning at least 5% of that capital are the members of the consortium.
3
In this section “control” has the same meaning as in Part 10 (close companies) (see sections 450 and 451).