Petroleum (Submerged Lands) Act 1982

Where—

an application has been made under section 37A; and

the applicant has furnished any further information as and when required by the Minister under section 37A(3); and

the Minister is satisfied that recovery of petroleum from the area comprised in the blocks specified in the application—

is not, at the time of the application, commercially viable; and

is likely to become commercially viable within the period of 15 years after that time, the Minister shall, by instrument in writing served on the applicant, inform the applicant that the Minister is prepared to grant to the applicant a lease in respect of the block or blocks specified in the application.

Where an application has been made under section 37A and—

the applicant has not furnished any further information as and when required by the Minister under section 37A(3); or

the Minister is not satisfied as to the matters referred to in subsection (1)(c) in relation to the blocks specified in the application, the Minister shall, by instrument in writing served on the applicant, refuse to grant a lease to the applicant.

An instrument under subsection (1) shall contain—

a summary of the conditions subject to which the lease is to be granted; and

a statement to the effect that the application will lapse if the applicant does not make a request under subsection (4) in respect of the grant of the lease.

An applicant on whom there has been served an instrument under subsection (1) may, within a period of one month after the date of service of the instrument, or within such further period, not exceeding one month, as the Minister, on application in writing served on the Minister before the end of the firstmentioned period of one month, allows, by instrument in writing served on the Minister, request the Minister to grant the lease to the applicant.

Where an applicant on whom there has been served an instrument under subsection (1) has made a request under subsection (4) within the period applicable under subsection (4), the Minister must grant to the applicant a retention lease in respect of the block or blocks specified in the instrument.

Where an applicant on whom there has been served an instrument under subsection (1) has not made a request under subsection (4) within the period applicable under subsection (4), the application lapses upon the expiration of that period.

On the day on which a lease granted under this section in respect of a block or blocks comes into force, the permit in respect of the block or blocks ceases to be in force in respect of those blocks.