7A. Petroleum pool extending into 2 licence areas

    (1) The provisions of this section have effect for the purposes of this Act (including any Act with which this Act is incorporated) and of licences (whether granted before or after the commencement of this section).

    (2) 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.

    (3) 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 (4).

    (4) The proportions to be determined for the purposes of subsection (3) 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.

    (5) Where a petroleum pool is partly in a licence area and partly in another area in which the licensee has authority under another written law or a law of another State 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 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 the licence area, having regard to the nature and probable extent of the pool, and that proportion shall be determined in accordance with subsection (6).

    (6) The proportion to be determined for the purposes of subsection (5) may be determined

    (a) in the case of a licensee having authority under another written law, by agreement between

    (i) that licensee;

    (ii) the Minister; and

    (iii) 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 that licensee, the Minister, or the Minister of the Crown (if any) referred to in subparagraph (iii); or

    (b) in the case of a licensee having authority under a law of another State, by agreement between

    (i) that licensee;

    (ii) the Minister; and

    (iii) the State Minister administering the law of the other State,

    or, in the absence of agreement, may be determined by the Supreme Court on the application of that licensee, the Minister or the State Minister referred to in subparagraph (iii).

    (7) Where

    (a) a petroleum pool is partly in a licence area and partly in another area, whether in the State or not, in respect of which another person has authority, whether under this Act or another written law or under the law of another State, to explore for or recover petroleum;

    (b) a unit development agreement in accordance with section 69 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 referred to in paragraph (b).

    (8) In this section

    (a) 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;

    (b) a reference to a State shall be read as including a reference to the Northern Territory; and

    (c) a reference to the Supreme Court of a State shall be read as a reference to the Supreme Court of the State, or of one of the States, in which the petroleum pool is wholly or partly situated.

    [Section 7A inserted by No. 12 of 1990 s.7.]



Note: This is not an authorised version. The only authorised version is the hardcopy (printed) version published under authority of the Government Printer, available from the State Law Publisher, 10 William St Perth W.A. 6000.