173Application for cash‑bid petroleum production licence over surrendered blocks or similar blocks

173 Application for cash‑bid petroleum production licence over surrendered blocks or similar blocks

(a) a petroleum production licence is surrendered or cancelled to the extent to which it relates to a block; or

(b) a petroleum production licence is terminated to the extent to which it relates to a block; or

(c) a petroleum exploration permit or petroleum retention lease is surrendered, cancelled or revoked to the extent to which it relates to a block—

(i) that, at the time of the surrender, cancellation or revocation, was, or was included in, a location; and

(ii) in which, in the opinion of the Minister, there is petroleum—

the Minister may, at any later time, by notice published in the Government Gazette—

(d) invite applications for the grant by the Minister of a petroleum production licence over that block; and

(e) specify a period within which applications may be made.

(2) A notice under subsection (1) must state that an applicant is required to specify—

(a) an amount that the applicant would be prepared to pay for the grant of the licence; or

(b) a rate of royalty that the applicant would be prepared to pay, if the licence were granted, being a rate exceeding 10% of the wellhead value of petroleum recovered.

(3) If the Minister, in a notice under subsection (1), states that an applicant must specify a rate of royalty referred to in subsection (2)(b), the Minister may, in that notice, also state that the applicant will be required to pay an amount specified in that notice for the grant of the licence.

(4) An application under this section must—

(a) be accompanied by details of the applicant's proposals for work and expenditure in relation to the area comprised in the block; and

(b) specify—

(i) the amount that the applicant would be prepared to pay for the grant of the licence; or

(ii) the rate of royalty referred to in subsection (2)(b) and the amount the applicant must pay for the grant of the licence (if any).