(1) From the commencement, a mineral hydrocarbon mining lease holder may—(a) mine for coal seam gas in the area of the mining lease; and(b) use the coal seam gas mined for any purpose allowed under the lease, including, for example, any of the following uses allowed under the lease—(i) a use that, under section 318CN, may be made of incidental coal seam gas by a coal or oil shale mining lease holder;(ii) a commercial use that may be made of coal seam gas by a petroleum lease holder.
(2) However, the mining and the carrying out of a use mentioned in subsection (1)(b) is subject to—(a) section 318CO, as deferred under section 749; and(b) section 318CU; and(c) the following provisions of the Petroleum and Gas (Production and Safety) Act—(i) chapters 6, 9, 10 and 11;(ii) chapter 8, parts 1 and 2;(iii) chapters 12 to 14 to the extent they apply for the provisions mentioned in subparagraphs (i) and (ii).
(3) To remove any doubt, it is declared that—(a) subsection (1) applies despite—(i) section 318CN(1), (2) and (3); or(ii) the Petroleum Act 1923, section 150; or(iii) the Petroleum and Gas (Production and Safety) Act, sections 800 and 802; and(b) the rights under subsection (1) may be exercised—(i) even though the holder does not hold a petroleum tenure that allows the rights to be exercised; and(ii) independently of any right the holder has under the lease to mine coal.