(1) The provisions of this Article shall apply notwithstanding any other provision of this Convention.
(2) An enterprise of a Contracting State which carries on activities offshore in the other Contracting State in connection with the exploration or exploitation of the seabed and subsoil and their natural resources in areas which are, in accordance with international law, under the jurisdiction of the other Contracting State shall, subject to paragraphs (3) and (5), be deemed, except as regards paragraph (2) of Article 14, to be carrying on in respect of those activities a business in that other Contracting State through a permanent establishment situated therein.
(3) The provisions of paragraph (2) shall not apply where the activities referred to therein are carried on in the areas specified in that paragraph for a period not exceeding a total of:
- (a) in the case of activities in connection with exploration, 90 days in any period of 12 months commencing or ending in the fiscal year concerned; and
- (b) in the case of activities in connection with exploitation, 30 days in any period of 12 months commencing or ending in the fiscal year concerned.
(4) However, for the purposes of paragraph (3), where an enterprise carrying on activities referred to in paragraph (2) in those specified areas is associated with another enterprise carrying on substantially similar activities there, the former enterprise shall be deemed to be carrying on all such activities of the latter enterprise except to the extent that those activities are carried on at the same time as its own activities. An enterprise shall be regarded as associated with another enterprise if one is controlled directly or indirectly by the other, or both are controlled directly or indirectly by a third person or persons.
(5) Profits derived by a resident of a Contracting State from the transportation of supplies or personnel to a location where activities in connection with the exploration or exploitation of the seabed and subsoil and their natural resources are being carried on in areas which are under the jurisdiction of a Contracting State or from the operation of tugboats and similar vessels in connection with such activities, shall be taxable only in the Contracting State of which he is a resident.