318CA

Petroleum lease holder’s obligation to negotiate

In force

(1)

The petroleum lease holder must, after receiving the copy of the application, use reasonable attempts to reach a coordination arrangement with the applicant about the following matters that provides the best resource use outcome without significantly affecting the parties’ rights or interests—

(a)

coal or oil shale mining and any incidental coal seam gas mining under the proposed mining lease;

(b)

petroleum production under the petroleum lease for the land.

Note—

For the extent to which coal seam gas production is permitted under the coal or oil shale mining lease, see part 8, division 1.

(2)

However, the obligation under subsection (1) applies only to the extent that a coordination arrangement is commercially and technically feasible for the petroleum lease holder.

Note—

For confidentiality obligations of tenure holders or persons who have applied for a tenure, see part 10.

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