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Petroleum and Gas (Production and Safety) Act 2004
sec.90Deciding potential commercial area application
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### sec.90 Deciding potential commercial area application
The Minister may declare an area the subject of the application to be a potential commercial area only if satisfied—
the area is no more than is needed to cover the maximum extent of a natural underground reservoir identified in the report; and
petroleum production or storage in the area to be declared, is not, and will not soon be, commercially viable, but is likely to become viable within 15 years.
See section 85 .
Also, the area declared must form a single parcel of land.
In deciding the application, regard must be had to whether the conditions of the relevant authority to prospect have been substantially complied with.
On refusal of the application, the applicant must be given an information notice about the decision to refuse.
To remove any doubt, it is declared that the declaration may be made even if the authority to prospect has been continued in force under section 83 or 119 .
s 90 amd 2010 No. 31 s 427 sch 2 ; 2011 No. 2 ss 121 , 122 sch ; 2019 No. 17 s 301
(sec.90-ssec.1) The Minister may declare an area the subject of the application to be a potential commercial area only if satisfied— the area is no more than is needed to cover the maximum extent of a natural underground reservoir identified in the report; and petroleum production or storage in the area to be declared, is not, and will not soon be, commercially viable, but is likely to become viable within 15 years. See section 85 .
(sec.90-ssec.2) Also, the area declared must form a single parcel of land.
(sec.90-ssec.3) In deciding the application, regard must be had to whether the conditions of the relevant authority to prospect have been substantially complied with.
(sec.90-ssec.4) On refusal of the application, the applicant must be given an information notice about the decision to refuse.
(sec.90-ssec.5) To remove any doubt, it is declared that the declaration may be made even if the authority to prospect has been continued in force under section 83 or 119 .
- (a) the area is no more than is needed to cover the maximum extent of a natural underground reservoir identified in the report; and
- (b) petroleum production or storage in the area to be declared, is not, and will not soon be, commercially viable, but is likely to become viable within 15 years.