PETROLEUM ACT 1998 - SECT 40 Factors determining grant of application

PETROLEUM ACT 1998 - SECT 40

    (1)     The Minister must grant a retention lease if—

        (a)     the applicant for the lease has provided all the information required by the Minister and has otherwise complied with section 39; and

        (b)     the applicant has complied with the conditions of its exploration permit and all applicable laws in relation to that permit; and

        (c)     the Minister is satisfied that the extraction of petroleum from the proposed lease area—

              (i)     was not commercially viable on the day the application for the lease was made; but

S. 40(1)(c)(ii) amended by No. 20/2020 s. 11(1)(a).

              (ii)     is likely to become commercially viable within the next 15 years; and

S. 40(1)(d) inserted by No. 20/2020 s. 11(1)(b).

        (d)     the Minister is satisfied that the applicant has addressed the matters raised in any submission received under section 39A or taken reasonable steps to do so; and

S. 40(1)(e) inserted by No. 20/2020 s. 11(1)(b).

        (e)     the Minister is satisfied that the applicant has addressed any prescribed factor or taken reasonable steps to do so.

    (2)     The Minister may grant a retention lease if—

S. 40(2)(a) amended by No. 20/2020 s. 11(2).

        (a)     subsection (1)(a), (c), (d) and (e) apply; and

        (b)     she or he is satisfied that there are special circumstances concerning the failure to comply with the conditions of the exploration permit, or with an applicable law, that justify the granting of the lease.

    (3)     The Minister must not grant a retention lease in any other circumstances.