PETROLEUM (SUBMERGED LANDS) ACT 1982 - SECT 37H
PETROLEUM (SUBMERGED LANDS) ACT 1982 - SECT 37H
37H—Conditions of lease
(1) A lease may be
granted subject to such conditions as the Minister thinks fit and are
specified in the lease.
(2) The conditions
referred to in subsection (1) may include conditions with respect to work
to be carried out by the lessee in or in relation to the lease area during the
term of the lease, or amounts to be expended by the lessee in the carrying out
of such work, or conditions with respect to both of those matters, including
conditions requiring the lessee to comply with directions given in accordance
with the lease concerning those matters.
(3) A lease shall be
deemed to contain—
(a) a
condition that the lessee will comply with the provisions of this Act; and
(b) a
condition that the lessee will, within the period of 3 months after the
receipt of a written notice from the Minister requesting the lessee to do so
or within such further period as the Minister, on application in writing
served on the Minister before the end of the firstmentioned period, allows,
re-evaluate the commercial viability of petroleum production in the lease area
(otherwise than by the drilling of wells) and inform the Minister in writing
of the results of the re-evaluation
(4) Where a lessee has
complied with a notice of the kind referred to in paragraph (3)(b) during
the term of the lease, the Minister shall not give to the lessee during that
term a further notice of that kind