PETROLEUM (SUBMERGED LANDS) ACT 1982 - SECT 37E
PETROLEUM (SUBMERGED LANDS) ACT 1982 - SECT 37E
37E—Notice of intention to cancel lease
(a) a
lessee has been given a notice of the kind referred to section 37H(3)(b)
during the term of the lease and has carried out, and has informed the
Minister of the results of, the re-evaluation required by the notice; and
(b) the
lessee has not made an application for the renewal of the lease; and
(c)
after consideration of the results of the re-evaluation referred to in
paragraph (a) and such other matters as the Minister thinks fit, the
Minister is of the opinion that recovery of petroleum from the lease area is
commercially viable,
the Minister may serve on the lessee and on such other persons as the Minister
thinks appropriate an instrument in writing—
(d)
informing the lessee or the other person that the Minister has formed that
opinion and that the Minister intends to cancel the lease; and
(e)
stating that the lessee or the other person may serve an instrument in writing
on the Minister within the period specified in the firstmentioned instrument,
not being a period ending earlier than one month after the date of service of
the firstmentioned instrument, setting out any matters that the lessee or the
other person, as the case may be, wishes to be considered.
(a) an
instrument under subsection (1) is served on a lessee; and
(b) the
lessee does not, within the period referred to in subsection (1)(e),
serve on the Minister an instrument setting out matters that the lessee wishes
to be considered or the Minister, after consideration of matters set out in an
instrument served on the Minister by the lessee within that period, determines
that the lease should be cancelled,
the Minister shall, by instrument in writing served on the lessee, cancel the
lease.
(3) The cancellation
of a lease under subsection (2) has effect—
(a) in a
case to which paragraph (b) does not apply—at the end of the period
of 12 months commencing on the date of service of the instrument of
cancellation; or
(b) in a
case where the lessee makes an application for a licence in respect of one or
more of the blocks comprised in the lease within the period referred to in
paragraph (a)—when the Minister grants, or refuses to grant, the
licence or when the application lapses, whichever first happens.
(4) Where a lease is
cancelled under subsection (2), the lease shall be deemed to continue in
force in all respects until the cancellation has effect in accordance with
subsection (3).