(1)  In this section, a reference to the original licence is a reference to the licence first-mentioned in subsection (2) .

(2)  Where a licence is in force in respect of 2 or more blocks (not being blocks that form, or form part of, a location), the licensee may make an application to the Minister for the grant to him of 2 or more licences in respect of the blocks that were the subject of the original licence in exchange for the original licence.

(3)  An application under subsection (2) shall –

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

(b) be made in an approved manner; and

(c) specify the number of licences required; and

(d) specify the block or blocks that were the subject of the original licence in respect of which each licence is sought; and

(e) be accompanied by a fee of $300.

(4)  The Minister may, by instrument in writing served on a licensee who has made an application under this section, require him to lodge, in respect of a licence to be granted to him under this section, a security for compliance with the conditions to which the licence is from time to time subject and with the provisions of this Part and of the regulations.

(5)  Where a licensee –

(a) has made an application under this section; and

(b) if the Minister has required the licensee to lodge a security as mentioned in subsection (4) , has lodged that security with the Minister –

the Minister shall grant to the licensee production licences for petroleum in accordance with the application.

(6)  A licence granted on an application made under this section –

(a) remains in force, subject to this Part, but notwithstanding section 52 , for the remainder of the term of the original licence; and

(b) shall be granted subject to conditions corresponding as nearly as practicable to the conditions to which the original licence was subject.

(7)  Where licences are granted on an application made under this section –

(a) the licence is, by force of this subsection, determined; and

(b) the determination has effect on and from the day on which those licences come into force.