(1) This section applies if—
(a) a greenhouse gas assessment permit is in force; and
(b) one or more identified greenhouse gas storage formations are wholly situated in the permit area.
(2) If a single identified greenhouse gas storage formation extends to—
(a) only one block in the permit area; or
(b) 2 or more blocks in the permit area—
the permittee may, within the application period, apply to the Minister for the grant of a greenhouse gas holding lease over the block or blocks to which the identified greenhouse gas storage formation extends.
(3) If—
(a) 2 or more identified greenhouse gas storage formations, when considered together, extend to only one block in the permit area; and
(b) a vertical line would not pass through a point in each of those identified greenhouse gas storage formations—
the permittee may, within the application period, apply to the Minister for the grant of a greenhouse gas holding lease over the block to which the identified greenhouse gas storage formations, when considered together, extend.
(4) If—
(a) 2 or more identified greenhouse gas storage formations, when considered together, extend to—
(i) only one block in the permit area; or
(ii) 2 or more blocks in the permit area; and
(b) a vertical line would pass through a point in each of those identified greenhouse gas storage formations—
the permittee may, within the application period, apply to the Minister for the grant of a greenhouse gas holding lease over the block or blocks to which the identified greenhouse gas storage formations, when considered together, extend.
(5) If—
(a) 2 or more identified greenhouse gas storage formations, when considered together, extend to 2 or more blocks in the permit area; and
(b) a vertical line would not pass through a point in each of those identified greenhouse gas storage formations; and
(c) for each identified greenhouse gas storage formation, at least one of the blocks to which the identified greenhouse gas storage formation extends immediately adjoins a block to which the other, or another, of those identified greenhouse gas storage formations extends—
the permittee may, within the application period, apply to the Minister for the grant of a greenhouse gas holding lease over the blocks to which the identified greenhouse gas storage formations, when considered together, extend.
(6) For the purposes of subsection (5), a block immediately adjoins another block if the graticular section that constitutes or includes that block and the graticular section that constitutes or includes that other block—
(a) have a side in common; or
(b) are joined together at one point only.
(7) In this section, application period has the meaning given by section 335(2).