PETROLEUM AND GAS (PRODUCTION AND SAFETY) ACT 2004 - SECT 175AC Deciding application

PETROLEUM AND GAS (PRODUCTION AND SAFETY) ACT 2004 - SECT 175AC

175AC Deciding application

(1) After receiving an application to change a production commencement day to a new day, the Minister must decide whether or not to make the change.

(2) The Minister may, if the holder of the lease agrees in writing, change the production commencement day for the lease to another day.

(3) In deciding the application, the Minister must consider—

(a) whether the holder has substantially complied with the lease; and

(b) whether petroleum production under the lease will be optimised in the best interests of the State; and

(c) the public interest.

(4) The Minister may refuse the application if the Minister reasonably believes—

(a) a relevant arrangement relating to the lease is not an arms-length commercial transaction; or

(b) supply under the arrangement is unlikely to be carried out.

(5) If the Minister decides to change the production commencement day to a new day, the Minister must amend the lease to give effect to the change.

Note—

A change in the production commencement day may require a later development plan for the lease to be lodged—see section 159 .

(6) The Minister may not decide to change the production commencement day to a day that is earlier than the day the decision is made.

(7) The holder of the petroleum lease is taken not to be in breach of the holder’s obligation under section 154 (1) before the first of the following happens—

(a) the Minister decides whether to change the production commencement day to a new day, and the decision is not appealed or, if there is an appeal, the appeal is finalised;

(b) the Minister changes the production commencement day with the agreement of the lessee under subsection (2) .