87Royalty not payable in certain cases

#### 87 Royalty not payable in certain cases 87 Royalty not payable in certain cases > > (1) Royalty under this Act is not payable in respect of— > > > > > (a) petroleum that the Minister is satisfied was unavoidably lost before the quantity of that petroleum was ascertained, or > > > > > (b) petroleum that is used by the holder of the petroleum title for the purposes of operations authorised by the title, or > > > > > (c) petroleum that, with the approval of the Minister, is flared or vented in connection with operations for the recovery of petroleum. > > > (2) If petroleum that has been recovered by the holder of a petroleum title is, with the approval of the Minister, returned to a natural reservoir, royalty is not payable in respect of that petroleum by reason of that recovery, but this subsection does not affect the liability of that or any other holder of a petroleum title to pay royalty in respect of petroleum that is recovered from that natural reservoir. > > > (3) The Chief Commissioner is to remit the interest or penalty tax on any royalty that ceases to be payable because of a decision of the Minister under this section. > > **s 87:** Am 2014 No 37, Sch 4.6 \[5\].