Commonwealth Consolidated Acts Commonwealth Consolidated Acts(1) The Joint Authority may grant a petroleum retention lease subject to whatever conditions the Joint Authority thinks appropriate.
(2) The conditions (if any) must be specified in the lease.
(2A) Subsection (1) does not apply to a petroleum retention lease granted under section 152A.
Lease to which Royalty Act applies
(3) A petroleum retention lease to which the Royalty Act applies is subject to a condition that the lessee will comply with the provisions of the Royalty Act.
Note: The Royalty Act applies to a small number of North West Shelf titles.
(4) Despite subsection (2), the condition mentioned in subsection (3) does not need to be specified in the lease.
Re - evaluation of commercial viability
(5) A petroleum retention lease is subject to a condition that if the Titles Administrator gives the lessee a written notice requesting the lessee to:
(a) re - evaluate the commercial viability of petroleum production in the lease area (otherwise than by the drilling of wells); and
(b) inform the Titles Administrator in writing of the results of the re - evaluation;
the lessee must comply with the request within:
(c) the period of 90 days after the notice is given; or
(d) such longer period as the Titles Administrator allows.
(6) The Titles Administrator may allow a longer period under paragraph (5)(d) only on written application made by the lessee within the period of 90 days mentioned in paragraph (5)(c).
(7) If a petroleum retention lessee has complied with a subsection (5) request during the term of the lease, the Titles Administrator must not give the lessee a further subsection (5) request during that term.
(8) Despite subsection (2), the condition mentioned in subsection (5) does not need to be specified in the lease.
Work to be carried out by lessee
(9) Any or all of the following conditions may be specified in a petroleum retention lease:
(a) conditions requiring the lessee to carry out work in, or in relation to, the lease area;
(b) conditions about the amounts that the lessee must spend in carrying out such work;
(c) conditions requiring the lessee to comply with directions that:
(i) relate to the matters covered by paragraphs (a) and (b);
(ii) are given in accordance with the lease.
(10) Subsection (9) does not limit subsection (1), (13) or (20).
Declared petroleum retention leases--approval of key petroleum operations
(11) A declared petroleum retention lease is subject to the condition that the lessee will not carry on key petroleum operations under the lease unless the responsible Commonwealth Minister has approved the operations under section 137.
(12) Despite subsection (2), the condition mentioned in subsection (11) does not need to be specified in the lease.
(13) If, under section 137, the responsible Commonwealth Minister approves the carrying on of one or more key petroleum operations under a declared petroleum retention lease, the responsible Commonwealth Minister may, by written notice given to the lessee, vary the lease by imposing one or more conditions to which the lease is subject.
(14) A variation of a declared petroleum retention lease under subsection (13) takes effect on the day on which notice of the variation is given to the lessee.
(15) A condition imposed under subsection (13) may require the lessee to ensure that:
(a) all wells; or
(b) one or more specified wells;
made in the lease area by any person engaged or concerned in operations authorised by the lease are made in a manner, and to a standard, that will facilitate the plugging or closing off of the wells in a way that restores or maintains the suitability of a part of a geological formation for the permanent storage of greenhouse gas substances.
(16) Subsection (15) does not limit:
(a) subsection (13); or
(a) a declared petroleum retention lease is subject to a condition; and
(b) the condition was imposed under subsection (13);
the responsible Commonwealth Minister may, by written notice given to the lessee, vary or revoke the condition.
(18) A variation of a declared petroleum retention lease under subsection (17) takes effect on the day on which notice of the variation is given to the lessee.
(19) Subsection (18) does not limit section 264.
Petroleum retention leases obtained as a result of a change to the boundary of the coastal waters of a State or Territory
(20) The Joint Authority may, by written notice given to the lessee of a petroleum retention lease granted under section 152A, vary the lease by imposing one or more conditions to which the lease is subject.
(21) A notice under subsection (20) must be given within 14 days after the grant of the lease.
(22) A variation under subsection (20) takes effect on
the day on which notice of the variation is given to the lessee.