Western Australian Current Acts Western Australian Current Acts (1A) In this section
—
Joint Authority has the meaning given in the
Commonwealth Act section 7.
(1) Where a well-head
is situated in a licence area or in an area in respect of which an access
authority is in force (in this subsection called an access authority area )
and the well from that well-head is inclined so as to enter a petroleum pool,
being a pool that does not extend to that licence area or access authority
area, at a place within an adjoining licence area of the same licensee or
registered holder of the access authority, any petroleum recovered through
that well shall be deemed to have been recovered in that adjoining licence
area under the licence in respect of that area.
(2) Where a petroleum
pool is partly in one licence area and partly in an adjoining licence area of
the same licensee and petroleum is recovered from that pool through a well or
wells in one or both of the licence areas, there shall be deemed to have been
recovered in each of the licence areas, under the licence in respect of that
area, such proportion of all petroleum so recovered as may reasonably be
treated as being derived from that area, having regard to the nature and
probable extent of the pool, and the respective proportions shall be
determined in accordance with subsection (3).
(3) The proportions to
be determined for the purposes of subsection (2) may be determined by
agreement between the licensee and the Minister or, in the absence of
agreement, may be determined by the Supreme Court on the application of the
licensee or the Minister.
(4) Where a petroleum
pool is partly in a licence area and partly in an area (in this subsection
referred to as the Commonwealth licence area ) in which the licensee has
authority under the Commonwealth Act to explore for, or recover, petroleum,
and petroleum is recovered from that pool through a well or wells in the
licence area, the Commonwealth licence area or both, there shall be deemed to
have been recovered in the licence area such proportion of all petroleum so
recovered as may reasonably be treated as being derived from that area, having
regard to the nature and probable extent of the pool, and that proportion
shall be determined in accordance with subsection (5).
(5) The proportion to
be determined for the purposes of subsection (4) may be determined by
agreement between the licensee, the Joint Authority and the Minister or, in
the absence of agreement, may be determined by the Supreme Court on the
application of the licensee, the Joint Authority or the Minister.
(6) Where a petroleum
pool is partly in a licence area and partly in an area (in this subsection
called the other licence area ) in which the licensee has authority, under a
corresponding law, to explore for or recover petroleum, and petroleum is
recovered from that pool through a well or wells in the licence area, the
other licence area or both, there shall be deemed to have been recovered in
the licence area such proportion of all petroleum so recovered as may
reasonably be treated as being derived from that area, having regard to the
nature and probable extent of the pool, and that proportion shall be
determined in accordance with subsection (7).
(7) The proportion to
be determined for the purposes of subsection (6) may be determined by
agreement between the licensee, the Minister and the Minister administering
the corresponding law or, in the absence of agreement, may be determined by
the Supreme Court on the application of any of those persons.
(7A) If a petroleum
pool is partly in a licence area and partly in another area (in this
subsection called the other area ) in which the licensee has authority, under
another written law, to explore for or recover petroleum, and petroleum is
recovered from that pool through a well or wells in the licence area, the
other area or both, there is taken to have been recovered in the licence area
such proportion of all petroleum so recovered as may reasonably be treated as
being derived from that area, having regard to the nature and probable extent
of the pool, and that proportion is to be determined in accordance with
subsection (7B).
(7B) The proportion to
be determined for the purposes of subsection (7A) may be determined by
agreement between the licensee, the Minister and, if the other written law is
administered by a Minister of the Crown other than the Minister, that Minister
of the Crown or, in the absence of agreement, may be determined by the Supreme
Court on the application of any of those persons.
(8) Where —
(a) a
petroleum pool is partly in a licence area and partly in another area, being
an area which is outside the adjacent area and in which the licensee has,
under the Commonwealth Act or a corresponding law, authority to explore for,
or recover, petroleum; and
(b)
petroleum is recovered from that pool; and
(c) the
Supreme Court of another State or of the Northern Territory makes a
determination, under the Commonwealth Act or a corresponding law, of the
proportion of the petroleum recovered from that pool that is, for the purposes
of the Commonwealth Act or the corresponding law, to be deemed to have been
recovered from the other area,
the Supreme Court
shall not make a determination under this section that is inconsistent with
the determination of the Supreme Court of the other State or of the Northern
Territory.
(8A) If —
(a) an
agreement is in force to explore for, or recover, petroleum between —
(i)
a licensee, the Joint Authority and the Minister in
relation to a petroleum pool that is partly in the licence area and partly in
another area (the other area ) in which the licensee has authority under the
Commonwealth Act; or
(ii)
a licensee, the Minister and the Minister administering a
corresponding law in relation to a petroleum pool that is partly in the
licence area and partly in another area (the other area ) in which the
licensee has authority under the corresponding law; or
(iii)
a licensee, the Minister and, if the other written law
mentioned in this subparagraph is administered by a Minister of the Crown
other than the Minister, that Minister of the Crown in relation to a petroleum
pool that is partly in the licence area and partly in another area (the other
area ) in which the licensee has authority under another written law;
and
(b) the
agreement contains a provision (the apportionment provision ) that provides
that, for the purposes of this section, there is taken to be recovered in the
licence area a specified proportion of all of the petroleum recovered from the
petroleum pool; and
(c)
assuming that petroleum were recovered from the part of the seabed that is
within the areal and vertical extents specified in the agreement, the
specified proportion would be consistent with such proportion of all petroleum
so recovered as may reasonably be treated as being derived from the licence
area, having regard to the nature and probable extent of the petroleum in that
part of the seabed; and
(d) the
agreement contains a provision to the effect that if it becomes apparent that
the areal and vertical extents of the petroleum pool, as specified in the
agreement, comprise or are likely to comprise more than one petroleum pool,
the apportionment set out in the apportionment provision will apply to the
petroleum recovered from any or all of those petroleum pools, regardless of
their location but within those areal and vertical extents; and
(e)
after the time of the making of the agreement, it becomes apparent that the
areal and vertical extents of the petroleum pool, as specified in the
agreement, comprise, or are likely to comprise, 2 or more petroleum pools; and
(f)
petroleum is recovered from any of those petroleum pools through a well or
wells in the licence area, the other area or both,
then —
(g) for
the purposes of this Act, there is taken to have been recovered in the licence
area such proportion of all petroleum so recovered as is specified in the
apportionment provision; and
(h)
subsection (4), (6) or (7A), as the case requires, does not apply to any of
those petroleum pools.
(8B) The question of
whether there is or was a petroleum pool covered by subsection (8A)(a) is to
be determined on the basis of information known at the time of the making of
the relevant agreement referred to in that provision.
(8C) The question of
whether subsection (8A)(c) applies is to be determined on the basis of
information known at the time of the commencement of the apportionment
provision.
(8D) The location of
any of the 2 or more petroleum pools mentioned in subsection (8A)(e) is
immaterial.
(8E) If —
(a) at a
particular time after the commencement day, a petroleum pool is partly in a
licence area and partly in another area (the other area ) in which the
licensee has authority under the Commonwealth Act, a corresponding law or
another written law to explore for, or recover, petroleum; and
(b) at
that time, an agreement is made between —
(i)
if the licensee has authority under the Commonwealth Act
— the licensee, the Joint Authority and the Minister; or
(ii)
if the licensee has authority under a corresponding law
— the licensee, the Minister and the Minister administering the
corresponding law; or
(iii)
if the licensee has authority under another written law
— the licensee, the Minister and, if the other written law is
administered by a Minister of the Crown other than the Minister, that Minister
of the Crown;
and
(c) the
agreement specifies a part of the seabed by reference to its areal and
vertical extents; and
(d) the
areal and vertical extents of the specified part consist of —
(i)
the whole or a part of the licence area; and
(ii)
the whole or a part of the other area;
and
(e) the
areal and vertical extents of the specified part include the petroleum pool;
and
(f) the
agreement contains a provision (the apportionment provision ) that provides
that, for the purposes of this section, there is taken to be recovered in the
licence area a specified proportion of all of the petroleum recovered from the
specified part; and
(g)
assuming that petroleum were recovered from the specified part, the specified
proportion would be consistent with such proportion of all petroleum so
recovered as may reasonably be treated as being derived from the licence area,
having regard to the nature and probable extent of the petroleum in the
specified part; and
(h)
petroleum is recovered from the specified part through a well or wells in the
licence area, the other area or both,
then —
(i)
for the purposes of this Act, there is taken to have been
recovered in the licence area such proportion of all petroleum so recovered as
is specified in the apportionment provision; and
(j)
subsection (4), (6) or (7A), as the case requires, does not apply to a
petroleum pool located in the specified part.
(8F) The question of
whether there is or was a petroleum pool covered by subsection (8E)(a) at a
particular time is to be determined on the basis of information known at that
time.
(8G) The question of
whether subsection (8E)(g) applies is to be determined on the basis of
information known at the time of the commencement of the apportionment
provision.
(8H) In subsection
(8E)(a) —
commencement day means the day on which the
Petroleum Legislation Amendment Act 2017 section 28 comes into operation.
(9) Where —
(a) a
petroleum pool is partly in a licence area and partly in another area, whether
in the adjacent area or not, in respect of which another person has authority,
whether under this Act, another written law, the Commonwealth Act or a
corresponding law, to explore for or recover petroleum; and
(b) a
unit development agreement in accordance with section 59 is in force between
the licensee and that other person; and
(c)
petroleum is recovered from that pool through a well or wells in the licence
area, the other area or both,
there shall be deemed
to have been recovered in the licence area such proportion of all petroleum so
recovered as is specified in, or determined in accordance with, the agreement.
(10) In this section a
reference to a licence, a licensee or a licence area shall be read as
including a reference to a permit and a lease, a permittee and a lessee or a
permit area and a lease area.
[Section 9 amended: No. 12 of 1990 s. 163; No. 7
of 2017 s. 28.]