PETROLEUM AND GEOTHERMAL ENERGY RESOURCES ACT 1967 - SECT 56

PETROLEUM AND GEOTHERMAL ENERGY RESOURCES ACT 1967 - SECT 56

56 .         Determination of permit as to blocks not taken up by licensee

        (1)         Subject to subsection (2), where —

            (a)         a permittee or the holder of a drilling reservation, as the case requires, who may make an application under section 50 in respect of a block does not, within the application period, make the application; or

            (b)         all applications made by a permittee or the holder of a drilling reservation, as the case requires, under that section in respect of a block have lapsed,

                the permit or drilling reservation is determined as to that block and the determination has effect —

            (c)         in a case referred to in paragraph (a) — upon the expiration of the application period; and

            (d)         in a case referred to in paragraph (b) —

                  (i)         upon the expiration of the application period; or

                  (ii)         upon the lapsing of the last of the applications referred to in that paragraph,

                whichever is the later.

        (1a)         Subject to subsection (2), where all applications made by a lessee under section 50A in respect of a block have lapsed, the lease is determined as to that block and the determination has effect upon the lapsing of the last of those applications.

        (2)         Where a permittee, the holder of a drilling reservation or lessee makes an application for a secondary licence —

            (a)         the permit, drilling reservation or lease is determined as to any blocks forming part of the location concerned that are not the subject of that application or of any application for a primary licence or for the variation of such a licence; and

            (b)         the determination has effect upon the making of the application.

        (3)         Subject to subsection (4), where a block or blocks constituting or forming part of a location is or are no longer the subject of a permit, drilling reservation or lease, the Minister shall, by instrument published in the Gazette —

            (a)         in a case where that block or those blocks constitutes or constitute that location, revoke the declaration made under section 47 in respect of that location; or

            (b)         in a case where that block or those blocks forms or form part of that location, revoke the declaration made under section 47 in respect of that location to the extent that it relates to that block or those blocks.

        (4)         Subsection (3) does not apply in relation to a block —

            (a)         in respect of which an application for the grant of a lease or licence has been made, being an application that has not lapsed and in relation to which a decision has not been made by the Minister; or

            (b)         in respect of which a lease or licence is in force.

        (5)         Where a lease is granted in respect of a block or blocks forming part of a location, the Minister shall, by instrument published in the Gazette , revoke the declaration made under section 47 to the extent that it relates to the block or blocks that is or are not within the lease area.

        (6)         Where —

            (a)         the Minister refuses to grant a lease in respect of a block or blocks constituting or forming part of a location; and

            (b)         the reason, or one of the reasons, for the refusal is that the Minister is not satisfied as to the matter referred to in section 48B(1)(c)(ii),

                the Minister shall, by instrument published in the Gazette , revoke the declaration made under section 47 in respect of that location.

        (7)         This section does not apply in relation to a permit if —

            (a)         the permit has been granted on the basis that an area (the relevant area ) is within the inshore area; and

            (b)         as a result of a change to the boundary of the offshore area, the relevant area —

                  (i)         ceases to be within the inshore area; and

                  (ii)         falls within the offshore area;

                and

            (c)         immediately before the change, the relevant area was a part of the permit area.

        (8)         For the purposes of subsection (7) —

            (a)         section 6A is to be disregarded; and

            (b)         it is immaterial whether the change occurred before, at or after the commencement day.

        (9)         In subsection (8)(b) —

        commencement day means the day on which the Petroleum Legislation Amendment Act 2017 section 18 comes into operation.

        [Section 56 amended: No. 12 of 1990 s. 42; No. 78 of 1990 s. 7; No. 7 of 2017 s. 18.]