OpenLegislation

Section 1 Royalty exemption for petroleum from certain new offshore fields.C2C1

England, Wales and Scotland

(1)

Petroleum won and saved from a relevant new field shall be disregarded in determining whether any and, if so, what—

(a)

payments of royalty; and

(b)

deliveries of petroleum,

are to be made as consideration for the grant of a licence to which this section applies.

(2)

This section applies to any licence granted under section 2 of the M1Petroleum (Production) Act 1934 which incorporates all or any of—

(a)

the model clauses set out in Schedule 5 to the M2Petroleum (Production) Regulations 1982 (production licences for seaward areas); or

(b)

the model clauses referred to in section 19(1)(a), (d) or (e) of the M3Oil and Gas (Enterprise) Act 1982 (corresponding licences issued in accordance with previous legislation),

including, in a case within paragraph (a) above, any licence granted after the passing of this Act.

(3)

In this section “petroleum” has the same meaning as in the F1Part I of the Petroleum Act 1998and, subject to subsection (4) below, “relevant new field” has the meaning given in section 36 of the M4Finance Act 1983 (increased oil allowance for certain new fields).

(4)

If any enactment passed after the said Act of 1983 extends the meaning of relevant new field for the purposes of the said section 36 that extension shall also have effect for the purposes of this section.

Annotations

Textual amendments

F1

Words in s. 1(3) substituted (15.2.1999) by 1998 c. 17, s. 50, Sch. 4 para. 18 (with Sch. 3 para. 5(1)); S.I. 1999/161, art. 2(1)

Marginal citations

M1

1934 c. 36.

M2

S.I. 1982/1000.

M3

1982 c. 23.

M4

1983 c. 28.

Modifications

C1

S. 1 amended (15.2.1999) by 1998 c. 17, s. 49, Sch. 3 Pt. II para. 8(1); S.I. 1999/161, art. 2(1) (with Sch. 3 para. 5(1))

C2

S. 1 extended by Petroleum Royalties (Relief) and Continental Shelf Act 1989 (c. 1, SIF 86), s. 2