(1)  A permittee whose permit is in force in respect of a block that constitutes, or the blocks that constitute, a location may, within the application period, make an application to the Minister for the grant of a lease in respect of that block, or in respect of one or more of those blocks, as the case may be.

(2)  An application under subsection (1) –

(a) shall be in accordance with an approved form; and

(b) shall be made in an approved manner; and

(c) shall be accompanied by particulars of –

(i) the proposals of the applicant for work and expenditure in respect of the area comprised in the blocks specified in the application; and

(ii) the commercial viability of the recovery of petroleum from the area comprised in the blocks specified in the application at the time of the application, and particulars of the possible future commercial viability of the recovery of petroleum from that area; and

(d) may set out any other matters that the applicant wishes to be considered; and

(e) shall be accompanied by a fee of $600.

(3)  The Minister may, at any time, by instrument in writing served on the applicant, require the applicant to furnish, within the time specified in the instrument, further information in writing in connection with the application.

(4)  The application period in respect of an application under this section by a permittee is –

(a) the period of 2 years after the date on which the block that constitutes the location concerned was, or the blocks that constitute the location concerned were, declared to be a location; or

(b) such other period, not less than 2 years or more than 4 years after that date, as the Minister on application in writing by the permittee, served on the Minister before the end of the first-mentioned period of 2 years, allows.