(1)  Where, at the expiration of the period specified in an instrument under subsection (1) of section 46 , only one application has been made under that subsection in respect of the block specified in the instrument, the Minister may reject the application or may, by instrument in writing served on the applicant, inform him that he is prepared to grant a licence to him in respect of that block.

(2)  Where, at the expiration of the period specified in an instrument under section 46 (1) , 2 or more applications have been made under that subsection in respect of the block specified in the instrument, the Minister may reject any or all of the applications but, if the Minister does not reject all of the applications, may –

(a) if only one application remains unrejected – by instrument in writing served on the applicant; or

(b) if 2 or more applications remain unrejected – by instrument in writing served on the applicant, or on one of the applicants, whose application has not been rejected and who has specified in his application an amount, or a rate of royalty that he would be prepared to pay that is not less than the amount, or the rate of royalty, specified in the application of any other applicant whose application has not been rejected –

inform the successful applicant that the Minister is prepared to grant to that applicant a licence in respect of that block, and that that applicant will be required to pay –

(c) the amount specified in the application; or

(d) royalty at the rate specified in the application; or

(e) royalty at the rate and the amount so specified –

as the case requires.

(3)  Where an application is made under section 46 (4) , the Minister may reject the application or may, by instrument in writing served on the applicant, inform the applicant –

(a) that he is prepared to grant to him a licence in respect of that block; and

(b) that the applicant will be required to pay –

(i) the amount specified in the application; or

(ii) royalty at the rate specified in the application; or

(iii) the amount, and royalty at the rate, specified in the application –

as the case may be.

(4)  The Minister may, by an instrument in writing served on an applicant under any of the preceding subsections, inform the applicant that he will be required to lodge a security for compliance with the conditions to which the licence, if granted, will from time to time be subject and with the provisions of this Part and of the regulations.

(5)  An instrument under any of the preceding subsections shall contain –

(a) a summary of the conditions subject to which the licence is to be granted; and

(b) a statement of the balance of the amount, if any, that the applicant will be required to pay in respect of the grant of the licence to him; and

(c) a statement to the effect that the application will lapse –

(i) if the applicant does not make a request under subsection (6) ; or

(ii) in a case where the instrument contains a statement referred to in paragraph (b) – if the applicant does not pay the balance of the amount referred to in that statement or enter into an agreement under section 109 in respect of that balance; or

(iii) in a case where the Minister informs the applicant that he will be required to lodge a security as mentioned in subsection (4) – if the applicant does not lodge that security with the Minister.

(6)  An applicant on whom there has been served an instrument under any of the preceding subsections may, within a period of 3 months after the date of service of the instrument on him, or within such further period, not exceeding 3 months, as the Minister, on application in writing served on him before the expiration of the first-mentioned period of 3 months, allows –

(a) by instrument in writing served on the Minister, request the Minister to grant to him the licence; and

(b) if the first-mentioned instrument contains a statement of the balance of an amount that the applicant will be required to pay in respect of the grant of the licence to him – pay that balance or enter into an agreement under section 108 in respect of that balance; and

(c) if the Minister has informed him that he will be required to lodge a security as mentioned in subsection (4) , lodge that security with the Minister.

(7)  Where an applicant on whom there has been served an instrument under subsection (1) , (2) , or (3) –

(a) has not made a request under subsection (6) ; or

(b) if the instrument contains a statement of the balance of an amount that the applicant will be required to pay in respect of the grant of a licence to him – has not paid that balance or entered into an agreement under section 109 in respect of that balance; or

(c) if the Minister has informed the applicant that he will be required to lodge a security as mentioned in subsection (4) , has not lodged that security with the Minister –

within the period applicable under subsection (6) , the application lapses at the expiration of that period.

(8)  Where the application of an applicant on whom an instrument has been served under subsection (2) lapses as provided by subsection (7) , subsection (2) applies in respect of the application or applications, if any, then remaining unrejected.