(1) Where petroleum is
not being recovered in a licence area and the Minister is satisfied that there
is recoverable petroleum in that area, he may, by instrument in writing served
on the licensee, direct the licensee to take all necessary and practicable
steps to recover that petroleum.
(2) Where the Minister
is not satisfied with the steps taken or being taken by a licensee to whom a
direction has been given under subsection (1), the Minister may, by instrument
in writing served on the licensee, give to the licensee such directions as the
Minister thinks necessary for or in relation to the recovery of petroleum in
the licence area.
(3) Where petroleum is
being recovered in a licence area, the Minister may, for reasons that he
thinks sufficient, by instrument in writing served on the licensee, direct the
licensee to take all necessary and practicable steps to increase or reduce the
rate at which petroleum is being recovered in the licence area or from a
petroleum pool in the licence area to such rate as the Minister specifies in
the instrument.
(4) Where the Minister
is not satisfied with the steps taken or being taken by a licensee to whom a
direction has been given under subsection (3), the Minister may, by instrument
in writing served on the licensee, give to the licensee such directions as the
Minister thinks necessary for or in relation to the increase or reduction of
the rate at which petroleum is being recovered in the licence area or from a
petroleum pool in the licence area.
(5) Without limiting
the matters that may be taken into account by the Minister in determining
whether to give a direction under subsection (3) or (4), the Minister may take
into account matters relating to the effects on State revenue of the proposed
direction, but the Minister shall not give a direction under subsection (3) or
(4) if the direction would require action to be taken that is contrary to good
oil-field practice.
[Section 58 amended: No. 12 of 1990 s. 189.]