Section 39G - Petroleum (Offshore) Act 1982 - Grant or refusal of renewal of lease

39GGrant or refusal of renewal of lease

Start here

Get a plain-English read of 39G

Turn the raw legal text into a practical explanation grounded in Petroleum (Offshore) Act 1982.

39G Grant or refusal of renewal of lease

(1) Where—

(a) an application for the renewal of a lease has been made under section 39F, and

(b) any further information required by the Minister under section 39F (4) has been furnished in accordance with that subsection, and

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

(i) is not, at the time of the application, commercially viable, and

(ii) is likely to become commercially viable within the period of 15 years after that time,

the Minister—

(d) shall, if the conditions to which the lease is, or has from time to time been, subject and the provisions of this Part and of the regulations have been complied with, or

(e) may, if—

(i) any of the conditions to which the lease is, or has from time to time been, subject or any of the provisions of this Part and of the regulations has not been complied with, and

(ii) the Minister is, nevertheless, satisfied that special circumstances exist that justify the granting of the renewal of the lease,

by instrument in writing served on the person who is then the lessee, inform the person that the Minister is prepared to grant to the person the renewal of the lease.

(2) Subject to subsection (3), where an application for the renewal of a lease has been made under section 39F and—

(a) any further information required by the Minister under subsection 39F (4) has not been furnished in accordance with that subsection, or

(b) the Minister is not satisfied as to the matters referred to in subsection (1) (c), or

(c) any of the conditions to which the permit is, or has from time to time been, subject or any of the provisions of this Part and of the regulations has not been complied with and the Minister is not satisfied that special circumstances exist that justify the granting of the renewal of the lease,

the Minister shall, by instrument in writing served on the person who is then the lessee, refuse to grant the renewal of the lease.