Offshore Minerals Act 1999 (NSW)

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An Act relating to exploration for, and the recovery of, minerals (other than petroleum) in the first 3 nautical miles of the territorial sea in respect of New South Wales; to amend other Acts consequentially; and for related purposes.

Chapter 1IntroductionPart 1.1Legislative formalities and background1Name of Act

This Act is the Offshore Minerals Act 1999.

2Commencement

This Act commences on a day or days to be appointed by proclamation.

3Commonwealth–State agreement (the Offshore Constitutional Settlement)(1)

The Commonwealth and the States have agreed that:

  • (a)

    Commonwealth offshore mining legislation should be limited to the area that is outside State coastal waters, and

  • (b)

    the States should share, in the manner provided by the Offshore Minerals Act 1994 of the Commonwealth, in the administration of the Commonwealth offshore mining legislation, and

  • (c)

    State offshore mining legislation should apply to State coastal waters beyond the baseline for the territorial sea (that is, the first 3 nautical miles of the territorial sea), and

  • (d)

    the Commonwealth and the States should try to maintain, as far as practicable, common principles, rules and practices in regulating and controlling offshore mining beyond the baseline of Australia’s territorial sea.

Note 1—

So far as the agreement relates to petroleum, it is reflected in this State’s legislation by the Petroleum (Offshore) Act 1982.

Note 2—

Some sections of the Commonwealth Act contain provisions that are not relevant to the operation of this Act. To keep uniformity between this Act and the Commonwealth Act the numbers of the sections that are not relevant have not been used in the numbering of this Act.

(2)

Other Acts that provide background in this State to the agreement (commonly referred to as the “Offshore Constitutional Settlement”) are:

  • (a)

    the Seas and Submerged Lands Act 1973, the Coastal Waters (State Powers) Act 1980, the Coastal Waters (State Title) Act 1980 and the Offshore Petroleum Act 2006 of the Commonwealth, and

  • (b)

    the Petroleum (Offshore) Act 1982 of this State.

Note 1—

The Seas and Submerged Lands Act 1973:

  • declares and enacts that the sovereignty in respect of the territorial sea and the associated airspace, seabed and subsoil is vested in and exercisable by the Crown in right of the Commonwealth, gives the Governor-General power to declare, by Proclamation, the limits of the territorial sea, declares and enacts that the sovereignty in respect of waters of the sea that are on the landward side of the baseline of the territorial sea (but not within the limits of a State) and in respect of the associated airspace, seabed and subsoil is vested in and exercisable by the Crown in right of the Commonwealth, declares and enacts that the sovereign rights of Australia as a coastal State in respect of the Continental Shelf of Australia (for the purpose of exploring it and exploiting its natural resources) are vested in and exercisable by the Crown in right of the Commonwealth,

  • gives the Governor-General power to declare, by Proclamation, the limits of the Continental Shelf of Australia.

Note 2—

The Coastal Waters (State Powers) Act 1980 was enacted following a request from the Parliaments of all the States under section 51 (xxxviii) of the Commonwealth Constitution and provides that the legislative powers exercisable under the Constitution of each State extend to the making of certain laws that would operate offshore.

Note 3—

The Coastal Waters (State Title) Act 1980 vests in each State certain property rights in the seabed beneath the coastal waters of the State.

Note 4—

The Offshore Petroleum and Greenhouse Gas Storage Act 2006 of the Commonwealth and the Petroleum (Offshore) Act 1982 of this State make provision, based on the agreement referred to in subsection (1), for the licensing regime that applies to the exploration for and recovery of petroleum in coastal waters and offshore areas of this State.

Part 1.2InterpretationDivision 1General4Notes in the text

Notes in this Act are provided to assist understanding and do not form part of the Act.

5Interpretation

In this Act:

appropriate application fee means the application fee determined from time to time by the Minister, with the concurrence of the Treasurer, for the purposes of the provision in which that term appears.

approved means approved by the Minister under section 41.

associate has the meaning given by section 26 (1).

associated agent of a holder has the meaning given by section 26 (3).

associated agent of an associated contractor has the meaning given by section 26 (4).

associated contractor of a holder has the meaning given by section 26 (2).

associated employee of a holder has the meaning given by section 26 (5).

associated employee of an associated contractor has the meaning given by section 26 (6).

block means a portion of the coastal waters constituted according to section 17.

caveat on a licence means a caveat against:

  • (a)

    the registration of dealings in relation to the licence, or

  • (b)

    the registration of a person as a holder of the licence under section 340.

Chief Commissioner means the Chief Commissioner of State Revenue.

coastal waters has the meaning given by section 16 (1) and (2).

Commonwealth Act means the Offshore Minerals Act 1994 of the Commonwealth.

Commonwealth Minister means a Minister of State for the Commonwealth.

compliance inspection has the meaning given by section 377.

confidential information has the meaning given by section 27.

confidential sample has the meaning given by section 28.

consent area means the block or blocks specified in a special purpose consent.

dealing in a licence means a transaction that creates, transfers, affects or otherwise deals with an interest in the licence and includes:

  • (a)

    a transfer of the licence, and

  • (b)

    a transfer of a share in the licence,

but does not include a document that comes within section 337 (1) other than a document by which a block or a licence is surrendered.

discrete area has the meaning given by section 21.

document file means a document file kept for the purposes of Part 3.1.

exploration has the meaning given by section 23.

holder of a licence has the meaning given by section 25 (1).

hydrocarbon means a hydrocarbon whether in a gaseous, liquid or solid state.

inspector means an inspector appointed under section 421.

interest, in relation to a licence, includes:

  • (a)

    an equitable interest in the licence, and

  • (b)

    a security interest in the licence.

licence means:

  • (a)

    an exploration licence, or

  • (b)

    a retention licence, or

  • (c)

    a mining licence, or

  • (d)

    a works licence.

licence area means the block or blocks covered by a licence.

licence holder has the meaning given by section 25 (1).

mineral has the meaning given by section 22.

offshore exploration or mining activities means:

  • (a)

    the exploration for minerals in coastal waters, or

  • (b)

    the recovery of minerals from coastal waters, or

  • (c)

    activities carried out in coastal waters under a works licence.

offshore mining register means the register kept for the purposes of Part 3.1.

petroleum means:

  • (a)

    a hydrocarbon or a mixture of hydrocarbons, or

  • (b)

    a mixture of one or more hydrocarbons and one or more of the following:

    • (i)

      hydrogen sulphide,

    • (ii)

      nitrogen,

    • (iii)

      helium,

    • (iv)

      carbon dioxide.

primary payment period for the provisional grant or provisional renewal of a licence means the period of 30 days after the day on which the applicant is given a written notice:

  • (a)

    in the case of the grant of an exploration licence, under section 66, and

  • (b)

    in the case of the renewal of an exploration licence, under section 110, and

  • (c)

    in the case of the grant of a retention licence, under section 147, and

  • (d)

    in the case of the renewal of a retention licence, under section 169, and

  • (e)

    in the case of the grant of a mining licence, under section 210, and

  • (f)

    in the case of the renewal of a mining licence, under section 246, and

  • (g)

    in the case of the grant of a works licence, under section 279, and

  • (h)

    in the case of the renewal of a works licence, under section 296.

provisional holder means a person who has been provisionally granted a licence.

recovery has the meaning given by section 24.

registered means registered in the offshore mining register.

reserved block means a block that is declared to be reserved under section 18.

responsible Commonwealth Minister means the Commonwealth Minister who is responsible for the administration of the Commonwealth Act.

sample of the seabed or subsoil includes a core or cutting from the seabed or subsoil.

secondary payment period for the provisional grant or provisional renewal of a licence means the period of 30 days after the day on which an extension of the primary payment period for the grant or renewal concerned ends.

share in a licence has the meaning given by section 6 (1), (2) and (3).

special purpose consent means a consent granted under Part 2.6.

standard block has the meaning given by section 19.

State Minister means:

  • (a)

    a Minister of State for a State, or

  • (b)

    a Minister of State for the Northern Territory.

successor licence to a licence has the meaning given by section 8.

surrender day for an exploration licence means:

  • (a)

    the day on which the initial term of the licence ends, or

  • (b)

    a day on which the term of a renewal of the licence ends.

tender block has the meaning given by section 20.

transfer:

  • (a)

    when used in relation to a licence, has the meaning given by section 7 (1), and

  • (b)

    when used in relation to a share in a licence, has the meaning given by section 7 (2) and (3).

vary a licence condition includes revoke or suspend.

6Shares in a licence(1)

A person has a share in a licence if the person is the holder, or one of the holders, of the licence.

(2)

If a holder is entitled to a particular percentage of the value of the rights conferred by a licence, that percentage is the holder’s share in the licence.

Note—

A sole holder has a 100% share in the licence.

(3)

If:

  • (a)

    a person is a registered holder of a licence, and

  • (b)

    the person is shown in the offshore mining register as being entitled to a specified percentage of the value of the rights conferred by the licence,

the person’s share in the licence is taken to be the percentage specified in the register.

7Transfer of a licence(1)

For the purposes of this Act, a licence is transferred if:

  • (a)

    the licence has only one holder and the holder transfers the whole of his or her interest in the licence to another person or other persons, or

  • (b)

    the licence has 2 or more holders and the holders all transfer the whole of their interests in the licence to another person or other persons.

(2)

For the purposes of this Act, a share in a licence is transferred if:

  • (a)

    the licence has only one holder and the holder transfers a part of the holder’s share in the licence to another person or other persons, or

  • (b)

    the licence has 2 or more holders and:

    • (i)

      some, but not all, of the holders transfer the whole of their shares in the licence to another person, or

    • (ii)

      some or all of the holders transfer a part of their shares in the licence to another person.

(3)

The other person referred to in subsection (2) (b) may be an existing licence holder.

8Successor licences(1)

If:

  • (a)

    a mining licence takes effect immediately after an exploration licence expires, and

  • (b)

    the holder of the mining licence immediately after it takes effect was the holder of the exploration licence immediately before it expired,

the mining licence is a successor licence to the exploration licence.

(2)

If:

  • (a)

    a retention licence takes effect immediately after an exploration licence expires, and

  • (b)

    the holder of the retention licence immediately after it takes effect was the holder of the exploration licence immediately before it expired,

the retention licence is a successor licence to the exploration licence.

(3)

If:

  • (a)

    a mining licence takes effect immediately after a retention licence expires, and

  • (b)

    the retention licence took effect immediately after an exploration licence expired, and

  • (c)

    the holder of the mining licence immediately after it takes effect was the holder of the retention licence immediately before it expired, and

  • (d)

    the holder of the retention licence immediately after it took effect was the holder of the exploration licence immediately before it expired,

the mining licence is a successor licence to the exploration licence and the retention licence.

9Section number not used

See note 2 to section 3 (1).

10Position on the Earth’s surface(1)

The position of a point, line or area on the Earth’s surface is to be worked out for the purposes of this Act and subordinate instruments by reference to the Geocentric Datum of Australia within the meaning of the Surveying and Spatial Information Act 2002.

(2)

In subsection (1):

subordinate instrument means:

  • (a)

    the regulations, and

  • (b)

    an instrument made under this Act or the regulations.

11Section number not used

See note 2 to section 3 (1).

12Power to revoke and amend instruments(1)

A provision of this Act that confers a power to do something in writing is also taken to confer the power to revoke or amend the written document by which that thing is done.

(2)

The power to revoke or amend:

  • (a)

    must also be exercised in writing, and

  • (b)

    is subject to the same procedural requirements as the original power, and

  • (c)

    is subject to the same conditions as those that governed the exercise of the original power.

Division 2Basic concepts13–15Section numbers not used

See note 2 to section 3 (1).

16Coastal waters, and effect of change in baseline(1)

Subject to this section, the coastal waters of the State are so much of the area described in Schedule 1 as is constituted by the first 3 nautical miles of the territorial sea from the baseline.

(2)

The coastal waters do not include any waters that are inside the baseline.

(3)

If:

  • (a)

    a licence has been granted on the basis that an area is within coastal waters, and

  • (b)

    there is a change to the baseline or, because new data is obtained or existing data is reconsidered, the location of the baseline is reassessed, and

  • (c)

    as a result of the change to, or reassessment of the location of, the baseline, the area ceases to be within coastal waters,

this Act applies as if the area were still within coastal waters.

(4)

Subsection (3) continues to apply to the area only while the licence (and any successor licence) remains in force.

(5)

If:

  • (a)

    a licence under the Commonwealth Act has been granted on the basis that an area is within the offshore area under the Commonwealth Act, and

  • (b)

    there is a change to the baseline or, because new data is obtained or existing data is reconsidered, the location of the baseline is reassessed, and

  • (c)

    as a result of the change to, or reassessment of the location of, the baseline, the area:

    • (i)

      ceases to be within the offshore area under the Commonwealth Act, and

    • (ii)

      falls within coastal waters,

this Act does not apply to the area.

(6)

Subsection (5) continues to apply to the area only while the licence under the Commonwealth Act (and any successor licence within the meaning of that Act) remains in force.

(7)

This section has effect subject to section 172A of the Mining Act 1992.

(8)

In this section:

baseline means the baseline adjacent to the coast of the State (including the coast of any island forming part of the State) as for the time being determined under section 7 (2) (b) of the Seas and Submerged Lands Act 1973 of the Commonwealth.

Note—

Generally the baseline is the lowest astronomical tide along the coast but it also includes lines enclosing bays and indentations that are not bays and straight baselines that depart from the coast. See Australia’s territorial sea baseline published 1988 by the Australian Government Printing Service.

17Blocks

This is how a block is constituted in coastal waters:

  • (a)

    assume that there is laid over the coastal waters a grid constituted by:

    • (i)

      lines running along meridians drawn through each degree of longitude and the minutes between those degrees, and

    • (ii)

      lines running along parallels drawn through each degree of latitude and the minutes between those degrees,

  • (b)

    take a bounded space defined by the grid,

  • (c)

    the seabed and subsoil within the coastal waters that is under that space is a block.

18Reserved block(1)

Subject to subsection (2), the Minister may declare that a block in coastal waters is a reserved block.

Note 1—

A reserved block may be put up for tender by the Minister publishing in the Gazette a tender block licence notice (see sections 74 and 218).

Note 2—

Section 8 (c) of the Interpretation Act 1987 allows a single declaration under this subsection to be made in respect of 2 or more blocks.

(2)

A declaration under subsection (1) must not be made in relation to a block if:

  • (a)

    a licence over that block is in force, or

  • (b)

    an application for a licence over that block has been made and has not been determined.

(3)

A declaration under subsection (1) must be made by notice published in the Gazette.

19Standard block

A standard block is a block that is not the subject of a declaration under section 18 (1).

20Tender block

A tender block is a block that is the subject of a tender block licence notice published by the Minister under section 74 or 218.

21Discrete area(1)

A group of blocks forms a discrete area if the area formed by the blocks is continuous.

(2)

Two blocks that are joined at one point only do not form a continuous area.

22Minerals(1)

A mineral is a naturally occurring substance or a naturally occurring mixture of substances.

Note—

This Act does not apply to petroleum (see section 35).

(2)

Without limiting subsection (1), a mineral may be in the form of sand, gravel, clay, limestone, rock, evaporites, shale, oil-shale or coal.

23Exploration(1)

For the purposes of this Act, exploration for minerals includes any activity that is directly related to the exploration for minerals.

(2)

For the purposes of this Act, exploration does not include the exploration for minerals of the subsoil of coastal waters that is carried out by means of underground mining from land in the State if that exploration is carried out in accordance with the Mining Act 1992.

24Recovery(1)

For the purposes of this Act, recovery of minerals includes any activity that is directly related to the recovery of minerals.

(2)

For the purposes of this Act, recovery does not include the recovery of minerals from the subsoil of coastal waters that is carried out by means of underground mining from land in the State if that recovery is carried out in accordance with the Mining Act 1992.

25Licence holder(1)

References in this Act to the holder of a licence or the licence holder are references to the person whose name is entered in the offshore mining register as the person who holds the licence.

Note 1—

This Act is based upon the grant and registration of licences.

Note 2—

If a licence is granted to a person, that person’s name is entered in the register (see section 333).

Note 3—

The entry in the register in relation to a licence will be varied if there is a change in the holder of the licence (see section 338 (4)).

(2)

A licence may be held by more than one person.

26Associates(1)

For the purposes of this Act, the following are the associates of a licence holder:

  • (a)

    associated contractors of the holder,

  • (b)

    associated agents of the holder,

  • (c)

    associated agents of associated contractors,

  • (d)

    associated employees of the holder,

  • (e)

    associated employees of associated contractors.

(2)

A person is an associated contractor of the holder if:

  • (a)

    the person enters into an agreement with the holder for carrying out activities under the licence, or

  • (b)

    the person enters into an agreement with a person who is an associated contractor under paragraph (a) or this paragraph for carrying out activities under the licence.

(3)

A person is an associated agent of the holder if the person is the agent of, or acts on behalf of, the holder in relation to carrying out activities under the licence.

(4)

A person is an associated agent of an associated contractor if the person is the agent of, or acts on behalf of, the associated contractor in relation to carrying out activities under the licence.

(5)

A person is an associated employee of the holder if the person is employed by the holder and, in the course of that employment, carries out activities under the licence.

(6)

A person is an associated employee of an associated contractor if the person is employed by the associated contractor and, in the course of that employment, carries out activities under the licence.

27Confidential information(1)

For the purposes of this Act, information is confidential information if:

  • (a)

    a licence holder has given it to the Minister, and

  • (b)

    it is in a record, return, report or document, and

  • (c)

    it relates to activities authorised by the licence, and

  • (d)

    it relates to an area of the seabed or subsoil that is covered by the licence or a successor licence to the licence.

(2)

However, if:

  • (a)

    a person is required to give the Minister a report in relation to particular blocks, and

  • (b)

    the person gives the Minister a report that relates not only to those blocks but also to other blocks, and

  • (c)

    the Minister is required to make the report available under section 376,

the information that relates to those other blocks is not confidential information.

(3)

A reference in this section to information given to the Minister by a licence holder includes a reference to a return or other information relating to royalty under this Act that is obtained by the Minister, or a delegate of the Minister, from a tax officer (within the meaning of the Taxation Administration Act 1996).

28Confidential sample

For the purposes of this Act, a sample is a confidential sample if:

  • (a)

    a licence holder has given it to the Minister, and

  • (b)

    it was recovered in the course of activities authorised by the licence, and

  • (c)

    it was recovered from an area of the seabed or subsoil that is covered by the licence or a successor licence to the licence.

Part 1.3Administration of the Commonwealth–State offshore area29Definitions

In this Part:

associated revenue Act has the same meaning as in the Commonwealth Act.

Commonwealth–State offshore area means the Commonwealth–State offshore area in respect of the State within the meaning of section 13 of the Commonwealth Act.

30Minister as member of Joint Authority, or as Designated Authority(1)

The Minister may perform any function that the Minister has under the Commonwealth Act or an associated revenue Act:

  • (a)

    as a member of the Joint Authority for the Commonwealth–State offshore area provided for by section 32 (2) of the Commonwealth Act, or

  • (b)

    as the Designated Authority for that area provided for by section 29 (2) of that Act.

(2)

The Minister must perform any such function that the Minister is required to perform by the Commonwealth Act or an associated revenue Act.

31State officer acting under delegation

An officer or temporary employee within the meaning of the Public Sector Management Act 1988 to whom a delegation is made under section 419 of the Commonwealth Act may perform any function that the officer or employee has under that delegation and must perform any such function that the officer or employee is required to perform under the Commonwealth Act.

32–34Section numbers not used

See note 2 to section 3 (1).

Part 1.4Application of this Act35Act does not apply to exploration for or recovery of petroleum

This Act does not apply to the exploration for or recovery of petroleum.

Note 1—

For “petroleum” see section 5.

Note 2—

Offshore petroleum exploration and mining are regulated by the Offshore Petroleum and Greenhouse Gas Storage Act 2006 of the Commonwealth and the Petroleum (Offshore) Act 1982 of this State.

36Section number not used

See note 2 to section 3 (1).

37Act applies to all individuals and corporations(1)

This Act applies to all individuals, including:

  • (a)

    individuals who are not Australian citizens, and

  • (b)

    individuals who are not resident in New South Wales.

(2)

This Act applies to all corporations, including:

  • (a)

    corporations that are not incorporated in New South Wales, and

  • (b)

    corporations that do not carry on business in New South Wales.

Chapter 2Regulation of offshore exploration and miningPart 2.1General38General prohibition on exploring and mining without appropriate authorisation

A person must not:

  • (a)

    explore for minerals in coastal waters, or

  • (b)

    recover minerals from coastal waters,

unless the exploration or recovery is authorised by a licence or special purpose consent granted under this Act.

Maximum penalty: $30 000.

Note—

A works licence may be necessary because “exploration” includes activities that are directly related to exploration (see section 23 (1)) and “recovery” includes activities that are directly related to recovery (see section 24 (1)).

38AExploration and mining in waters subject to fishing closures

Despite:

  • (a)

    the grant of a licence or special purpose consent, or

  • (b)

    any provision of this Act,

offshore exploration or mining activities may be carried out under the licence or consent in waters the subject of a fishing closure under the Fisheries Management Act 1994 only with the written consent of the Minister administering that Act, who may:

  • (c)

    refuse consent, or

  • (d)

    give consent subject to such terms and conditions as he or she specifies in the consent.

38BProtecting the environment to be taken into account(1)

In deciding whether or not to grant or renew a licence, or to extend the term of a licence, the Minister is to take into account the need to conserve and protect:

  • (a)

    the flora, fauna, fish, fisheries and scenic attractions in the area concerned, and

  • (b)

    the features of Aboriginal, archaeological, historical or geological interest of the area.

(2)

The Minister may cause such studies (including environmental impact studies) to be carried out as the Minister considers necessary to enable such a decision to be made.

38CInclusion of conditions for protecting the environment

The conditions subject to which a licence is granted or renewed must, if the Minister considers it appropriate, include conditions relating to the conservation and protection of:

  • (a)

    the flora, fauna, fish, fisheries and scenic attractions in the area concerned, and

  • (b)

    the features of Aboriginal, archaeological, historical or geological interest of the area.

39Licences and consents available under this Act

This Act provides for the grant of:

  • (a)

    exploration licences (see Part 2.2), and

  • (b)

    retention licences (see Part 2.3), and

  • (c)

    mining licences (see Part 2.4), and

  • (d)

    works licences (see Part 2.5), and

  • (e)

    special purpose consents (see Part 2.6).

Note 1—

An exploration licence is designed to cover the exploration phase of a project and authorises:

  • exploration, and

  • the recovery of mineral samples.

Note 2—

A retention licence is designed to ensure the retention of rights pending the transition of a project from the exploration phase to the commercial mining phase and authorises:

  • exploration, and

  • the recovery of minerals but not as part of a commercial mining operation.

Note 3—

A mining licence is designed to cover the commercial mining phase of a project and authorises:

  • exploration, and

  • full commercial recovery.

Note 4—

A project might make use of any of the following 3 licence arrangements:

  • an exploration licence leading to a mining licence,

  • an exploration licence leading to a retention licence and then a mining licence,

  • a mining licence (without progressing through an exploration/retention licence stage).

Note 5—

A licence is granted over a particular area (constituted by blocks).

The licence holder may need to carry out engineering or other activities outside the licence area. If so, the licence holder or someone else must obtain a works licence to carry out those activities.

Note 6—

If a person wants to carry out:

  • a scientific investigation, or

  • a reconnaissance survey, or

  • the collection of only small amounts of minerals,

in coastal waters, the person must obtain a special purpose consent under Part 2.6 to carry out the activity.

Note 7—

Even though a person has a licence or special purpose consent, the person must not interfere unnecessarily with navigation, native title, fishing, resource conservation or other activities in the area (see section 44).

40Steps involved in the grant of a fully effective licence(1)

The following 3 steps must occur before a licence comes into force:

  • (a)

    provisional grant of the licence,

  • (b)

    proper acceptance of the grant,

  • (c)

    registration of the grant.

Note—

See sections 88, 154, 232 and 286.

(2)

If a licence is provisionally granted to a person, the person must do the following to properly accept the grant:

  • (a)

    give the Minister a written acceptance,

  • (b)

    lodge any security that the Minister has required,

  • (c)

    pay the fee that is payable under section 425.

Note—

See sections 70, 84, 151, 214, 228 and 283.

(3)

The following 3 steps must occur before a renewal of a licence comes into force:

  • (a)

    provisional renewal of the licence,

  • (b)

    proper acceptance of the renewal,

  • (c)

    registration of the renewal.

Note—

See sections 89, 155, 233 and 287.

(4)

If a licence is provisionally renewed, the holder must do the following to properly accept the renewal:

  • (a)

    give the Minister a written acceptance of the renewal,

  • (b)

    lodge any security that the Minister has required,

  • (c)

    pay the fee that is payable under section 425.

Note—

See sections 114, 173, 250 and 300.

41Approval of form and manner of applications etc(1)

The Minister may approve the form and the manner in which the following are to be made:

  • (a)

    applications for licences over blocks in coastal waters,

  • (b)

    applications for the renewal of licences over blocks in coastal waters.

(2)

An approval under subsection (1) is to be made in writing.

42Rights to minerals recovered(1)

Any minerals recovered by a licence holder or special purpose consent holder from a block covered by the licence or consent become the property of the holder when they are recovered.

(2)

If the licence or consent authorises the exploration for and the recovery of minerals only of a particular kind, subsection (1) only applies to the recovery of minerals of that kind.

(3)

Subsection (1) does not apply to the recovery of minerals by a works licence holder.

(4)

The minerals recovered are not subject to the rights of any other person.

(5)

Subsection (4) does not apply to rights that the licence or consent holder transfers to the other person.

43Effect of grant of licence or special purpose consent on native title(1)

This section applies to the following acts:

  • (a)

    the grant, renewal, variation or extension of a licence or special purpose consent,

  • (b)

    the amendment or variation of a condition of a licence or special purpose consent.

(2)

An act to which this section applies does not extinguish native title in the licence or consent area.

(3)

While a licence or special purpose consent is in force over an area, native title in the area is subject to the rights conferred by the licence or consent.

(4)

If compensation is payable under section 24MD or 24NA of the Native Title Act 1993 of the Commonwealth in respect of an act to which this section applies that is attributable to the State, the person who applied for the grant, renewal, amendment or variation is declared, in accordance with section 24MD (4) (b) (i) or 24NA (7) (b) (i) of that Act (as the case requires), to be liable to pay the compensation.

44Licence etc does not authorise unnecessary interference with other activities in the licence area

A person who carries out activities in coastal waters under a licence or special purpose consent granted under this Act must not do so in a way that interferes with:

  • (a)

    navigation, or

  • (b)

    the exercise of native title rights and interests, or

  • (c)

    fishing, or

  • (d)

    the conservation of the resources of the sea or the seabed, or

  • (e)

    any activities that someone else is lawfully carrying out,

to a greater extent than is necessary for:

  • (f)

    the reasonable exercise of the person’s rights under the licence or consent, or

  • (g)

    the performance of the person’s duties under the licence or consent.

Maximum penalty: $10 000.

Note—

The person referred to here might be the licence or consent holder or might be an associated person.

Part 2.2Exploration licencesDivision 1General45Exploration licences(1)

This Part provides for the grant of exploration licences over blocks in coastal waters.

(2)

An exploration licence may be granted over a standard block (see Division 2) or over a tender block (see Division 3).

Note—

A tender block is a block that has been declared available for tender. A standard block is any block that is not a reserved block (see sections 19 and 20).

46Activities authorised by an exploration licence(1)

Subject to subsection (2), an exploration licence holder may:

  • (a)

    explore for minerals in the licence area, and

  • (b)

    take samples of minerals in the licence area.

Note—

Under section 23 (1) the concept of “exploration” extends to activities that are directly related to exploration.

(2)

If the licence is expressed to restrict the kind of minerals covered by the licence, the holder is not permitted to explore for, or to take samples of, minerals not covered by the licence.

(3)

A restriction on the kind of minerals covered by the licence may be inclusive (for example, only minerals A, B and C) or exclusive (for example, all minerals except A, B and C).

(4)

For the purposes of subsection (2), the holder does not take samples of an excluded mineral if, in the course of exploring for, or taking samples of, another mineral, the holder recovers some excluded mineral.

47Minister may cancel or not renew exploration licence without compensation

No compensation is payable because of the cancellation or non-renewal of an exploration licence by the Minister.

Note 1—

The Minister may cancel the licence under section 130.

Note 2—

The Minister may refuse under section 108 to renew the licence.

48Licence rights may be suspended(1)

The Minister must suspend particular rights conferred by an exploration licence if the Minister is satisfied that it is necessary in the public interest to do so.

(2)

The Minister may suspend rights under subsection (1) for a specified period or for an indefinite period.

(3)

The Minister may end a suspension at any time.

(4)

A suspension or the ending of a suspension must be in writing.

(5)

If the Minister:

  • (a)

    suspends rights conferred by an exploration licence, or

  • (b)

    ends a suspension,

the Minister must give the licence holder a written notice that informs the holder of the suspension or the ending of the suspension.

Note—

See section 122 for the effect of the suspension on the obligations associated with the licence.

(6)

A suspension takes effect when:

  • (a)

    the holder has been given notice of the suspension under subsection (5), and

  • (b)

    the suspension has been registered under section 337.

49Compensation for acquisition of property due to suspension of rights(1)

If:

  • (a)

    the Minister suspends licence rights under section 48, and

  • (b)

    the suspension results in the acquisition of property from a person, and

  • (c)

    the State and the person agree on an amount of compensation for the acquisition,

the State must pay the person the agreed amount of compensation.

(2)

If:

  • (a)

    the Minister suspends licence rights under section 48, and

  • (b)

    the suspension results in the acquisition of property from a person, and

  • (c)

    the State and the person do not agree on an amount of compensation for the acquisition, and

  • (d)

    the person brings an action for compensation against the State in the Supreme Court,

the State must pay the person the amount of compensation (if any) that is determined by that Court.

(3)

In this section:

acquisition of property has the same meaning as it has in section 51 (xxxi) of the Commonwealth Constitution.

Division 2Application for and grant of exploration licence over standard blocks50Application for exploration licence over standard block(1)

A person may apply to the Minister for an exploration licence over a standard block if:

  • (a)

    the block is vacant, and

  • (b)

    the block is not excluded.

Note—

For “excluded blocks” see section 51.

(2)

A standard block is vacant if no exploration, retention or mining licence is in force over the block.

(3)

A person may apply for an exploration licence over a group of standard blocks if:

  • (a)

    the group forms a discrete area, and

  • (b)

    there are not more than 500 blocks in the group.

Note—

The Minister may, in certain circumstances, allow an application to be made for an exploration licence covering up to 3 discrete areas (see section 53).

51Excluded blocks(1)

A block is excluded if:

  • (a)

    an exploration licence over the block has been surrendered or cancelled, and

  • (b)

    a period of 30 days after the day on which the licence was surrendered or cancelled has not ended.

(2)

A block is excluded for a particular applicant if:

  • (a)

    the applicant previously applied for an exploration licence over the block, and

  • (b)

    the application was refused, and

  • (c)

    a period of 6 months after the day on which the previous application was refused has not ended.

(3)

A block is excluded for a particular applicant if:

  • (a)

    the applicant was previously the holder of an exploration, retention or mining licence over the block, and

  • (b)

    that previous licence was surrendered or cancelled, and

  • (c)

    a period of 6 months after the day on which the previous licence was surrendered or cancelled has not ended.

(4)

A block is excluded for a particular applicant if:

  • (a)

    the applicant was previously the holder of an exploration, retention or mining licence over the block, and

  • (b)

    the holder was:

    • (i)

      required by the licence conditions, or

    • (ii)

      given a direction under section 387 or 392,

    to provide the Minister with information, and

  • (c)

    the holder provided the information, and

  • (d)

    the holder surrendered the licence, and

  • (e)

    a period of 6 months from the day on which the holder provided the information has not ended.

52Minister may determine that excluded block is available(1)

A person who wants to apply for an exploration licence over a block that is excluded may apply to the Minister for a determination under subsection (2).

(2)

The Minister may determine that the person may apply for the licence over the block despite section 51.

(3)

The determination is to be made in writing.

53Minister may allow application for more than one discrete area(1)

If:

  • (a)

    a person (the first applicant) applies for an exploration licence, and

  • (b)

    another person (the second applicant) subsequently applies for an exploration licence for a group of blocks that includes a block covered by the application made by the first applicant, and

  • (c)

    an exploration licence is then granted to the first applicant, and

  • (d)

    as a result of the grant, the blocks for which the second applicant can be granted an exploration licence no longer form a discrete area,

the second applicant may apply to the Minister for approval for the application to proceed even though the blocks it covers no longer form a discrete area.

Note—

See also section 59.

(2)

Subject to subsection (3), the Minister may approve the application proceeding even though the blocks that the application covers do not form a discrete area.

(3)

The Minister may give an approval under subsection (2) only if the blocks covered by the application form not more than 3 discrete areas.

54How to apply(1)

The application must:

  • (a)

    be made in accordance with the approved form, and

  • (b)

    be made in the approved manner, and

  • (c)

    specify the blocks for which the application is made, and

  • (d)

    include details of:

    • (i)

      the activities that the applicant intends to carry out on the block or blocks covered by the application, and

    • (ii)

      the amount of money that the applicant intends to spend on those activities, and

    • (iii)

      the technical qualifications of the applicant and of the applicant’s employees who are likely to be involved in activities authorised by the licence, and

    • (iv)

      the technical advice available to the applicant, and

    • (v)

      the financial resources available to the applicant, and

    • (vi)

      if the licence is to be held by more than one person, the share in the licence that each prospective holder will hold, and

  • (e)

    be accompanied by maps that:

    • (i)

      relate to the blocks, and

    • (ii)

      comply with the regulations, and

  • (f)

    specify an address for service of notices under this Act and the regulations.

Note 1—

For paragraphs (a) and (b) see section 41.

Note 2—

Paragraph (c): the Minister may, after consulting the applicant, vary the blocks applied for (see section 59).

(2)

The applicant may include in the application any other information that the applicant thinks is relevant.

55Effect of inclusion of unavailable block in application

If:

  • (a)

    a person applies for a licence over a group of standard blocks, and

  • (b)

    because of section 18, 50 or 51 an exploration licence cannot be granted over one or more of the blocks in the group,

the Minister may still deal with the application to the extent to which the application covers blocks for which an exploration licence can be granted.

Note—

An exploration licence cannot be granted over a block that is not vacant or is excluded (see sections 50 and 51) or over a reserved block (see section 18).

56Payment of fee(1)

The applicant must pay the appropriate application fee.

(2)

The fee must be paid when the application is made.

(3)

The Minister may refund any fee paid under subsection (1) but only if the Minister is satisfied that special circumstances exist that justify the refund of the fee.

57Application must be advertised(1)

The applicant must advertise the application in a newspaper circulating throughout the State.

(2)

The advertisement must contain:

  • (a)

    the applicant’s name and address, and

  • (b)

    a map and description of the blocks applied for that are sufficient for the blocks to be identified, and

  • (c)

    the address of the Minister, and

  • (d)

    a statement:

    • (i)

      that the applicant has applied for an exploration licence over the blocks described in the notice, and

    • (ii)

      that invites comment from the public on the application, and

    • (iii)

      that requests that comments be sent to the applicant and the Minister within 30 days after the day on which the advertisement is published.

(3)

The advertisement must be published:

  • (a)

    as soon as possible after the applicant makes the application, and

  • (b)

    in any case, subject to subsection (4), within 14 days after the day on which the applicant makes the application.

(4)

If:

  • (a)

    the applicant applies to the Minister within the 14 day period referred to in subsection (3) for an extension of the period, and

  • (b)

    the Minister extends the period,

the advertisement must be published within the period as extended by the Minister.

58How multiple applications are dealt with(1)

Subject to subsection (2), if a block is covered by 2 or more applications for an exploration or mining licence, the Minister must deal with the applications in the order in which they are made.

Note—

See also section 203.

(2)

If:

  • (a)

    the applications are lodged within a particular time of each other, and

  • (b)

    the time is less than the time prescribed by the regulations,

the Minister must determine the order in which the applications are to be dealt with by drawing lots in the way prescribed by the regulations.

59Discussions about blocks applied for(1)

The Minister may ask the applicant to discuss with the Minister the blocks covered by the application.

(2)

The request under subsection (1) must be:

  • (a)

    made in writing, and

  • (b)

    given to the applicant.

(3)

If, after discussions, the Minister and the applicant agree on the blocks to be covered by the application, the applicant is taken to have applied for an exploration licence over the blocks agreed on.

(4)

The Minister must give the applicant written confirmation of the agreement as soon as possible after the agreement is reached.

(5)

The Minister may include in the written confirmation a direction that the applicant must advertise the revised application under section 60.

(6)

If the Minister and the applicant do not agree on the blocks to be covered by the application:

  • (a)

    the Minister may make a written determination specifying the blocks to be covered by the application, and

  • (b)

    the applicant is taken to have applied for an exploration licence over the blocks specified in the determination.

(7)

The Minister may include in the written determination a direction that the applicant must advertise the revised application under section 60.

(8)

If the Minister makes a determination under subsection (6), the Minister must give a copy of the determination to the applicant as soon as possible after the determination is made.

60Advertising revised application(1)

If:

  • (a)

    the application has been revised under section 59, and

  • (b)

    the applicant has been given a direction under section 59 (5) or (7),

the applicant must advertise the revised application in a newspaper circulating throughout the State.

(2)

The advertisement must contain:

  • (a)

    the applicant’s name and address, and

  • (b)

    a map and description of the blocks covered by the revised application that are sufficient for the blocks to be identified, and

  • (c)

    the address of the Minister, and

  • (d)

    a statement:

    • (i)

      that the applicant has applied for an exploration licence over the blocks described in the notice, and

    • (ii)

      that invites comment from the public on the application, and

    • (iii)

      that requests that comments be sent to the applicant and the Minister within 30 days after the day on which the advertisement is published.

(3)

The advertisement must be published:

  • (a)

    if the Minister and the applicant agree on the blocks applied for under section 59 (3), as soon as possible after the applicant is given written confirmation of the agreement under section 59 (4), or

  • (b)

    if the Minister makes a determination of the blocks applied for under section 59 (6), as soon as possible after the applicant is given a copy of the determination under section 59 (8),

but in any case, subject to subsection (4), within 14 days after the applicant is given the confirmation or copy.

(4)

If:

  • (a)

    the applicant applies to the Minister within the 14 day period referred to in subsection (3) for an extension of the period, and

  • (b)

    the Minister extends the period,

the advertisement must be published within the period as extended by the Minister.

61Request for further information(1)

The Minister may ask the applicant for further information about the application.

(2)

The request must:

  • (a)

    be in writing, and

  • (b)

    be given to the applicant, and

  • (c)

    specify the time within which the information must be provided.

(3)

Information requested under subsection (1) must be provided:

  • (a)

    in writing, and

  • (b)

    within the time specified in the request.

62Section number not used

See note 2 to section 3 (1).

63Minister may provisionally grant licence

If the applicant does what is required by sections 54 to 61, the Minister may:

  • (a)

    provisionally grant an exploration licence to the applicant, or

  • (b)

    refuse the application.

Note—

Under section 88, the grant of the licence cannot be effective before it is registered (see section 333 for registration). The grant will not be registered until it has been properly accepted (see section 70 for “proper acceptance”).

64Section number not used

See note 2 to section 3 (1).

65Matters to be specified in the licence

The licence must specify:

  • (a)

    the blocks covered by the licence, and

  • (b)

    the term of the licence, and

  • (c)

    the licence conditions.

Note—

For the term of a licence see section 88.

66Applicant must be notified(1)

The Minister must give the applicant written notice of a decision under section 63.

(2)

If the Minister provisionally grants an exploration licence:

  • (a)

    the Minister must give the licence to the provisional holder, and

  • (b)

    the notice under subsection (1) must contain the following information:

    • (i)

      notification of any determination under section 399 that the provisional holder must lodge a security,

    • (ii)

      notification that the provisional grant will lapse unless the provisional holder, before the end of the primary payment period:

      • (A)

        gives the Minister a written acceptance of the grant, and

      • (B)

        lodges any security required under section 399, and

      • (C)

        pays the fee that must be paid for the licence under section 425.

67Amendment of conditions(1)

If the provisional holder is dissatisfied with a licence condition, the provisional holder may ask the Minister to amend the condition.

(2)

The request must be made within 30 days after the day on which the provisional holder is given the licence under section 66.

(3)

If a request is made under subsection (1), the Minister may amend the licence conditions and, with the consent of the provisional holder, any other licence condition.

(4)

The Minister must give the provisional holder written notice of a decision under this section.

68Amendment of security requirements(1)

If the provisional holder:

  • (a)

    is notified of a security requirement, and

  • (b)

    is dissatisfied with the amount of the security required,

the provisional holder may ask the Minister to make a new determination under section 399.

(2)

The request must be made within 30 days after the day on which the provisional holder is given notice under section 66.

(3)

If a request is made under subsection (1), the Minister may make a new determination under section 399.

(4)

The Minister must give the provisional holder written notice of the new determination.

69Extension of primary payment period(1)

If the provisional holder makes a request under section 67 or 68, the provisional holder may ask the Minister to extend the primary payment period.

(2)

The request must be made within 30 days after the day on which the provisional holder is given notice under section 66.

(3)

If the Minister agrees to the request, the Minister must:

  • (a)

    determine the period of the extension, and

  • (b)

    give the provisional holder a written notice of the period of the extension.

70Acceptance of grant of exploration licence for standard block(1)

The provisional grant of the exploration licence is properly accepted by the provisional holder if, before the required time, the provisional holder:

  • (a)

    gives the Minister a written acceptance of the grant, and

  • (b)

    lodges any security required under section 399, and

  • (c)

    pays the fee that must be paid for the licence under section 425.

(2)

The required time under subsection (1) is the end of the primary payment period or, if the provisional holder has been granted an extension of the primary payment period under section 69, the end of the secondary payment period.

Note—

Under section 88, the grant of the licence cannot be effective before it is registered (see section 333 for registration).

71Conditions applicable to licence on grant

If the provisional grant of the licence is properly accepted under section 70, it is subject to:

  • (a)

    the conditions specified in the licence given to the applicant under section 66, or

  • (b)

    if the Minister amended those conditions under section 67, those conditions as amended.

72Lapse of provisional grant of exploration licence

If the provisional grant of the licence is not properly accepted under section 70, the provisional grant lapses.

Division 3Application for and grant of exploration licence over tender block73Matters to be determined before applications for exploration licence over tender blocks invited

If the Minister proposes to invite applications for the grant of an exploration licence over reserved blocks, the Minister must, before inviting the applications, determine:

  • (a)

    the procedure and criteria that the Minister will adopt to allocate the licence, and

  • (b)

    the amount of security that will be required for the licence under section 399, and

  • (c)

    the licence conditions.

74Minister may invite applications for exploration licence over tender blocks(1)

Subject to subsection (2), the Minister may invite applications for the grant of an exploration licence over reserved blocks.

(2)

Applications may be invited for a licence covering a group of reserved blocks only if the group forms a discrete area.

(3)

The Minister is to invite applications by publishing a tender block licence notice for the licence in the Gazette.

75Tender block licence notice—exploration licence(1)

A tender block licence notice for an exploration licence must:

  • (a)

    specify the blocks to be covered by the licence, and

  • (b)

    specify the period within which applications may be made, and

  • (c)

    specify the procedure and criteria that the Minister will adopt to allocate the licence, and

  • (d)

    specify the amount of security that the successful applicant will be required to lodge, and

  • (e)

    include a statement to the effect that information about:

    • (i)

      the security that the successful applicant will be required to lodge, and

    • (ii)

      the licence conditions,

    may be obtained from the Minister.

(2)

Without limiting subsection (1) (c), the Minister may for the purposes of that paragraph specify that the tender will be determined on the basis of either or both of the following:

  • (a)

    the nature and extent of the exploration activity proposed to be carried out,

  • (b)

    the amount of money offered for the licence.

(3)

The tender block licence notice may specify not more than 500 blocks for the exploration licence.

76Application for exploration licence over tender blocks

If a tender block licence notice has been published inviting applications for an exploration licence, a person may apply to the Minister for the licence.

77How to apply(1)

The application must:

  • (a)

    be made in accordance with the approved form, and

  • (b)

    be made in the approved manner, and

  • (c)

    be made before the end of the period specified in the tender block licence notice, and

  • (d)

    address the criteria specified under section 75 (1) (c), and

  • (e)

    include details of:

    • (i)

      the technical qualifications of the applicant and of the applicant’s employees who are likely to be involved in activities authorised by the licence, and

    • (ii)

      the technical advice available to the applicant, and

    • (iii)

      the financial resources available to the applicant, and

    • (iv)

      if the licence is to be held by more than one person, the share in the licence that each prospective holder will hold, and

  • (f)

    specify an address for service of notices under this Act and the regulations.

Note—

For paragraphs (a) and (b) see section 41.

(2)

The applicant may include in the application any other information that the applicant thinks is relevant.

78Payment of fee(1)

The applicant must pay the appropriate application fee.

(2)

The fee must be paid when the application is made.

(3)

The Minister may refund any fee paid under subsection (1) but only if the Minister is satisfied that special circumstances exist that justify the refund of the fee.

79Request for further information(1)

The Minister may ask the applicant for further information about the application.

(2)

The request must:

  • (a)

    be in writing, and

  • (b)

    be given to the applicant, and

  • (c)

    specify the time within which the information must be provided.

(3)

Information requested under subsection (1) must be provided:

  • (a)

    in writing, and

  • (b)

    within the time specified in the request.

80Section number not used

See note 2 to section 3 (1).

81Minister may provisionally grant licence(1)

The Minister may provisionally grant an exploration licence to an applicant who has done what is required by sections 77 to 79.

(2)

When provisionally granting a licence under subsection (1), the Minister must follow the procedure and apply the criteria specified in the tender block licence notice published for the licence under section 74.

(3)

If the Minister refuses to grant a licence under subsection (1), the Minister must give the applicant written notice of the refusal.

82Section number not used

See note 2 to section 3 (1).

83Successful applicant must be notified(1)

If the Minister provisionally grants an exploration licence under section 81 or 87, the Minister must give the provisional holder:

  • (a)

    the licence, and

  • (b)

    written notice that the provisional grant will lapse unless the provisional holder, within 30 days after the day on which the notice is given:

    • (i)

      gives the Minister a written acceptance of the grant, and

    • (ii)

      lodges any security required under section 399, and

    • (iii)

      pays the fee that must be paid for the licence under section 425, and

    • (iv)

      if the tender is determined on the basis of the amounts of money offered for the licence, pays to the Minister the amount that the provisional holder offered for the licence under section 77 (1) (d).

(2)

The licence must specify:

  • (a)

    the blocks covered by the licence, and

  • (b)

    the term of the licence, and

  • (c)

    the licence conditions.

Note—

For the term of a licence see section 88.

84Acceptance of grant of exploration licence over tender blocks

The provisional grant of an exploration licence is properly accepted by the provisional holder if, within 30 days after the day on which the provisional holder is given notice under section 83, the provisional holder:

  • (a)

    gives the Minister a written acceptance of the grant, and

  • (b)

    lodges any security required under section 399, and

  • (c)

    pays the fee that must be paid for the licence under section 425, and

  • (d)

    if the tender is determined on the basis of the amount of money offered for the licence, pays to the Minister the amount that the provisional holder offered for the licence under section 77 (1) (d).

Note—

Under section 88, the grant of the licence cannot be effective before it is registered (see section 333 for registration).

85Conditions applicable to licence on grant

If the provisional grant of the licence is properly accepted, the licence is subject to the conditions determined under section 73.

86Lapse of provisional grant of exploration licence

If the provisional grant of the licence is not properly accepted under section 84, the provisional grant lapses.

87Provisional grant to next applicant if grant lapses(1)

If the provisional grant of the licence lapses under section 86, the Minister may provisionally grant the licence to another of the applicants for the licence.

(2)

When provisionally granting a licence under subsection (1), the Minister must follow the procedure and apply the criteria specified in the tender block licence notice published for the licence under section 74.

Division 4Duration of exploration licence88Initial term of exploration licence(1)

An exploration licence comes into force on:

  • (a)

    the day on which the grant of the licence is registered, or

  • (b)

    if a day later than the day on which the grant of the licence is registered is specified in the licence as its commencement day, that specified day.

(2)

The initial term of an exploration licence ends:

  • (a)

    4 years after the day on which the licence is provisionally granted, or

  • (b)

    if a day later than the day on which the licence is provisionally granted is specified in the licence as its commencement day, 4 years after that specified day.

Note—

The licence may be surrendered at any time (see section 127).

89Term of renewal of exploration licence(1)

A renewal of an exploration licence comes into force on:

  • (a)

    the day on which the renewal is registered, or

  • (b)

    the day on which the previous term of the licence expires,

whichever is the later.

Note—

See Division 6 for renewal.

(2)

The term of a renewal of a licence ends 2 years after the day on which the previous term of the licence expires.

Note—

The licence may be surrendered at any time (see section 127).

(3)

In working out the previous term of the licence, section 90 is to be disregarded.

(4)

An exploration licence is not to be renewed more than 3 times.

90Effect of suspension of rights on term of exploration licence(1)

If the Minister suspends rights conferred by an exploration licence for a specified period under section 48, the Minister may extend the term of the licence.

(2)

An extension of a licence term under subsection (1):

  • (a)

    must not be for a period that is longer than the period for which the licence rights were suspended, and

  • (b)

    must be in writing.

(3)

If the Minister extends the term of a licence under subsection (1), the Minister must give the licence holder a written notice that informs the holder:

  • (a)

    that the licence has been extended, and

  • (b)

    of the period of the extension.

91Effect of application for renewal on term of exploration licence

If:

  • (a)

    an exploration licence holder applies to renew the licence under section 101, and

  • (b)

    the current term of the licence expires, and

  • (c)

    a renewal of the licence does not take effect immediately after the current term expires,

the licence remains in force after the current term expires until:

  • (d)

    a renewal of the licence takes effect, or

  • (e)

    a provisional renewal of the licence lapses, or

  • (f)

    the application for renewal is withdrawn or refused.

92Effect of application for retention licence or mining licence on term of exploration licence

If:

  • (a)

    an exploration licence holder applies for:

    • (i)

      a retention licence (see section 137), or

    • (ii)

      a mining licence (see section 198),

    over the licence area, or part of the licence area, of the exploration licence, and

  • (b)

    the current term of the exploration licence expires, and

  • (c)

    a grant of the retention licence or mining licence does not take effect before the current term of the exploration licence expires,

the exploration licence remains in force until:

  • (d)

    the grant of the retention licence or mining licence takes effect, or

  • (e)

    a provisional grant of the retention licence or mining licence lapses, or

  • (f)

    the application for the retention licence or mining licence is withdrawn or refused.

93Effect of application for extension on term of licence

If:

  • (a)

    an exploration licence holder applies for an extension of the term of the licence under section 94 or 96, and

  • (b)

    the holder has also applied to renew the licence under section 101, and

  • (c)

    the extension application is not decided before the licence is due to expire,

then:

  • (d)

    the renewal application lapses, and

  • (e)

    the licence remains in force until:

    • (i)

      if the Minister extends the term of the licence under section 95 or 97 for a specified period, 30 days after the day on which that period ends, or

    • (ii)

      if the Minister refuses to extend the term of the licence under section 95 or 97, 30 days after the day on which the holder is given notice of the refusal under section 98.

94Extension of licence—activities disrupted(1)

If:

  • (a)

    an exploration licence authorises the licence holder to carry out an activity, and

  • (b)

    circumstances beyond the control of the holder prevent the holder from carrying out the activity,

the holder may apply to the Minister for an extension of the term of the licence.

(2)

The application must be made:

  • (a)

    within 30 days after the day on which the holder first became aware of the circumstances, and

  • (b)

    before the licence expires.

95Grant of licence extension—activities disrupted(1)

Subject to subsection (2), if an exploration licence holder applies for an extension under section 94, the Minister:

  • (a)

    must grant an extension of the term of the licence if the Minister is satisfied that:

    • (i)

      the holder is or has been unable to carry out the activities authorised by the licence, and

    • (ii)

      the holder is or has been unable to do so because of circumstances beyond the holder’s control, and

    • (iii)

      no excluded time is included in the period of inability for which an extension is sought, and

  • (b)

    must refuse the application for extension if the Minister is not satisfied of the matters referred to in paragraph (a).

(2)

The period for which the extension is granted must not be longer than the disruption period for the licence less any excluded time for the licence.

(3)

The extension may be granted subject to whatever conditions the Minister thinks appropriate.

(4)

In this section:

disruption period for a licence means the period during which the licence holder is unable to carry out activities authorised by the licence because of circumstances beyond the holder’s control.

excluded time for a licence means any period during which the licence was in force because of section 90, 91, 92 or 93.

Note—

Under section 90, if the Minister has under section 48 suspended rights under a licence for a period, the Minister may extend the term of the licence for an equivalent period. Under section 91, the term of a licence is automatically extended if there is an application for the renewal of a licence undecided when the licence is due to expire. Under section 92, the term of a licence is automatically extended if the holder applies for a retention or mining licence over the licence area. Under section 93, the term of a licence is automatically extended if there is an application for an extension of the licence undecided when the licence is due to expire.

96Extension of licence—other circumstances(1)

An exploration licence holder may apply to the Minister for an extension of the term of the licence if, under section 121, the Minister:

  • (a)

    suspends a licence condition, or

  • (b)

    exempts the holder from complying with a licence condition.

(2)

The application must be made not later than 30 days before the licence expires.

97Grant of licence extension—other circumstances(1)

Subject to subsection (2), if an exploration licence holder applies for an extension under section 96, the Minister:

  • (a)

    may grant an extension of the term of the licence, or

  • (b)

    may refuse to grant an extension of the term of the licence.

(2)

The extension must not be for a period that is longer than the period of the suspension or exemption.

(3)

The extension may be granted subject to whatever conditions the Minister thinks appropriate.

98Notification of decision(1)

If the Minister grants an extension of the term of the exploration licence under section 95 or 97, the Minister must give the licence holder a written notice that informs the holder of:

  • (a)

    the grant of extension, and

  • (b)

    the period of the extension, and

  • (c)

    if the extension is subject to conditions, the conditions.

(2)

If the Minister refuses an application for a licence extension, the Minister must give the licence holder a written notice that informs the holder of:

  • (a)

    the refusal, and

  • (b)

    the reasons for the refusal.

Division 5Voluntary surrender of part of exploration licence area99Voluntary surrender of blocks if discrete area remains(1)

An exploration licence holder may surrender a block or some of the blocks covered by the licence if the remaining blocks in the licence area form a discrete area.

Note—

See section 127 for the surrender of the whole licence.

(2)

A surrender under subsection (1) must:

  • (a)

    be made in writing, and

  • (b)

    identify the blocks surrendered, and

  • (c)

    be given to the Minister.

Note—

The surrender takes effect when it is registered under section 337 (see section 337 (5)).

100Voluntary surrender of blocks if up to 3 discrete areas remain(1)

If:

  • (a)

    an exploration licence holder wants to surrender some of the blocks covered by the licence, and

  • (b)

    the blocks remaining in the licence area after the proposed surrender would form not more than 3 discrete areas,

the holder may apply to the Minister for approval of the proposed surrender.

(2)

The application:

  • (a)

    must be in writing, and

  • (b)

    must include a surrender proposal that identifies the blocks in the licence area that the holder proposes to surrender, and

  • (c)

    may include any other information that the holder thinks is relevant.

(3)

If the Minister agrees with the surrender proposal, the Minister may approve the surrender of the blocks specified in the proposal by giving the holder written notice of the approval.

Note—

The surrender takes effect when it is registered under section 337 (see section 337 (5)).

(4)

If the Minister does not agree with the surrender proposal, the Minister may ask the holder to discuss the proposal.

(5)

If the Minister and the holder agree, after discussions, on the blocks to be surrendered the Minister may approve the surrender of the blocks agreed on by giving the holder written confirmation of the agreement.

Note—

The surrender takes effect when it is registered under section 337 (see section 337 (5)).

(6)

If, after discussions, the Minister and the holder do not agree on the surrender proposal, no blocks are surrendered.

Division 6Application for and grant of renewal of exploration licence101Application for renewal of exploration licence

An exploration licence holder may apply to the Minister to renew the licence.

Note 1—

Part of the licence area must be surrendered on each renewal (see section 104).

Note 2—

At each renewal, the licence conditions are reviewed (see section 118).

102When application to be made(1)

Subject to subsections (2) and (3), the application must be made at least 30 days before the day on which the licence is to expire.

Note—

If an application for extension of a licence is made, the expiry of the licence is postponed (see section 93). For expiry of a licence see section 126.

(2)

The Minister may accept an application that is made later than 30 days before the day on which the licence is to expire if:

  • (a)

    the application is made before the day on which the licence expires, and

  • (b)

    the Minister believes that there are reasonable grounds for accepting the application.

(3)

If a licence remains in force because of section 93 (e) (ii), the application may be made at any time before the licence ceases to be in force.

103How to apply for renewal(1)

The application must:

  • (a)

    be made in accordance with the approved form, and

  • (b)

    be made in the approved manner, and

  • (c)

    include details of:

    • (i)

      the activities carried out by the applicant under the licence during its current term, and

    • (ii)

      the amount of money spent by the applicant in relation to the blocks covered by the licence during its current term, and

    • (iii)

      the activities that the applicant intends to carry out under the licence during the term applied for, and

    • (iv)

      the amount of money that the applicant intends to spend on those activities during the term applied for, and

  • (d)

    specify the blocks that the applicant nominates for surrender in accordance with section 104.

Note—

For paragraphs (a) and (b) see section 41.

(2)

The applicant may include in the application any other information that the applicant thinks is relevant.

104Mandatory reduction of licence area on renewal of exploration licence(1)

This section deals with the mandatory reduction of the licence area covered by an exploration licence when the licence is renewed.

(2)

Subject to subsection (4) (b), on each surrender day of an exploration licence, the licence holder must surrender:

  • (a)

    50% of the number of blocks in the licence area, or

  • (b)

    if 50% of that number of the blocks is a whole number and a fraction, the next higher whole number of the blocks.

(3)

Subject to subsection (4) (a), the blocks that remain in the licence area after a surrender under subsection (2) must form a discrete area.

(4)

The Minister may:

  • (a)

    give permission for the surrender of blocks in a licence area if the licence area remaining after the proposed surrender would consist of not more than 3 discrete areas, or

  • (b)

    give permission for a licence area to be reduced by less than 50% if the Minister considers that there are special circumstances present in relation to the renewal application.

105Request for further information(1)

The Minister may ask the applicant to provide further information about the application.

(2)

The request must:

  • (a)

    be in writing, and

  • (b)

    be given to the applicant, and

  • (c)

    specify the time within which the information must be provided.

(3)

Information requested under subsection (1) must be provided:

  • (a)

    in writing, and

  • (b)

    within the time specified in the request.

106Payment of fee(1)

The applicant must pay the appropriate application fee.

(2)

The fee must be paid when the application is made.

(3)

The Minister may refund any fee paid under subsection (1) but only if the Minister is satisfied that special circumstances exist that justify the refund of the fee.

107Section number not used

See note 2 to section 3 (1).

108Decision on an application for renewal

After considering an application for the renewal of an exploration licence, the Minister may:

  • (a)

    provisionally renew the licence, or

  • (b)

    refuse to renew the licence.

Note 1—

Under section 89, the renewal of the licence cannot be effective before it is registered (see section 334 for registration). The renewal will not be registered until it has been properly accepted (see section 114 for proper acceptance).

Note 2—

Under section 118, new conditions may be imposed on renewal.

109Section number not used

See note 2 to section 3 (1).

110Applicant must be notified(1)

The Minister must give the applicant written notice of the Minister’s decision under section 108.

(2)

If the Minister provisionally renews the exploration licence under section 108, the notice must contain the following information:

  • (a)

    notification of the conditions of the renewed licence,

  • (b)

    notification of any determination under section 399 that the applicant must lodge a security or a further security,

  • (c)

    notification that the provisional renewal will lapse unless the applicant, before the end of the primary payment period:

    • (i)

      gives the Minister a written acceptance of the renewal, and

    • (ii)

      lodges any security required by the Minister under section 399, and

    • (iii)

      pays the fee that must be paid under section 425.

Note—

Section 118 provides for renewals to be granted subject to conditions.

111Amendment of conditions(1)

If the licence holder:

  • (a)

    has been provisionally granted a renewal of the licence under section 108, and

  • (b)

    is notified of the licence conditions, and

  • (c)

    is dissatisfied with a condition,

the holder may ask the Minister to amend the condition.

(2)

The request must be made within 30 days after the day on which the holder is given notice under section 110.

(3)

If a request is made under subsection (1), the Minister may amend the licence conditions and, with the consent of the holder, any other licence condition.

(4)

The Minister must give the holder written notice of a decision under this section.

112Amendment of security requirements(1)

If the licence holder:

  • (a)

    has been provisionally granted a renewal of the licence under section 108, and

  • (b)

    is notified of a security requirement, and

  • (c)

    is dissatisfied with the amount of the security required,

the holder may ask the Minister to make a new determination under section 399.

(2)

The request must be made within 30 days after the day on which the holder is given notice under section 110.

(3)

If a request is made under subsection (1), the Minister may make a new determination under section 399.

(4)

The Minister must give the holder written notice of the new determination.

113Extension of primary payment period(1)

If the licence holder makes a request under section 111 or 112, the holder may ask the Minister to extend the primary payment period.

(2)

The request must be made within 30 days after the day on which the holder is given notice under section 110.

(3)

If the Minister agrees to the request, the Minister must:

  • (a)

    determine the period of the extension, and

  • (b)

    give the holder a written notice informing the holder of the period of the extension.

114Acceptance of renewal of exploration licence(1)

The provisional renewal of an exploration licence is properly accepted by the licence holder if, before the required time, the holder:

  • (a)

    gives the Minister a written acceptance of the renewal, and

  • (b)

    lodges any security required under section 399, and

  • (c)

    pays the fee that must be paid under section 425.

(2)

The required time under subsection (1) is the end of the primary payment period or, if the licence holder has been granted an extension of the primary payment period under section 113, the end of the secondary payment period.

Note—

Under section 89, the renewal of the licence cannot be effective before it is registered (see section 334 for registration).

115Conditions applicable to licence on renewal

If the provisional renewal is properly accepted under section 114, the renewed licence is subject to:

  • (a)

    the conditions specified in the notice given to the licence holder under section 110, or

  • (b)

    if the Minister amended those conditions under section 111, those conditions as amended.

116Lapse of provisional renewal of exploration licence

If the provisional renewal of an exploration licence is not properly accepted under section 114, the provisional renewal lapses.

Division 7Obligations associated with exploration licence117General(1)

The sources of obligations associated with an exploration licence are:

  • (a)

    the licence conditions, and

  • (b)

    obligations arising from directions under section 387 or 392 given by the Minister, and

  • (c)

    obligations imposed by this Act and the regulations.

Note—

For paragraph (a) see sections 118 to 120. For paragraph (c) see sections 44, 123 to 125, 372 and 391 (1).

(2)

If an exploration licence has 2 or more holders, all the holders are jointly and severally bound by the obligations that attach to the licence.

118Conditions of exploration licence(1)

The Minister may grant or renew an exploration licence subject to whatever conditions the Minister thinks appropriate.

(2)

If the Minister grants or renews an exploration licence subject to conditions, the conditions must be specified in the licence.

(3)

Without limiting subsection (1), the Minister may attach the following kinds of conditions to the grant or renewal of an exploration licence:

  • (a)

    a condition requiring the licence holder to take out insurance as required by the Minister,

  • (b)

    a condition requiring the holder to carry out certain work in or in relation to the licence area during the term of the licence,

  • (c)

    a condition requiring the holder to spend a specified amount of money in carrying out the work referred to in paragraph (b),

  • (d)

    a condition requiring the holder to lodge a security with the Minister,

  • (e)

    a condition requiring the holder to keep specified information,

  • (f)

    a condition requiring the holder to give the Minister, on request, specified information,

  • (g)

    a condition requiring the holder to take steps to protect the environment of the licence area, including conditions relating to:

    • (i)

      protecting wildlife, or

    • (ii)

      minimising the effect on the environment of the licence area and the area surrounding the licence area of activities carried out in the licence area,

  • (h)

    a condition requiring the holder to repair any damage to the environment caused by activities in the licence area,

  • (i)

    a condition requiring the holder to pay a specified penalty to the State if the holder does not comply with a licence condition.

(4)

A condition under subsection (3) (d) must specify:

  • (a)

    the amount of the security required, and

  • (b)

    the kind of security required, and

  • (c)

    the manner and form in which the security is to be lodged.

(5)

Without limiting subsection (3) (d), a condition under that paragraph may require the lodgment of a security in the form of a guarantee and if a guarantee is required the condition may specify:

  • (a)

    the kind of person who is to give the guarantee, and

  • (b)

    the terms of the guarantee.

119No conditions requiring payment of money

Except for a condition requiring the payment of a penalty or lodgment of security, a licence condition must not require the payment of money to the State.

120Variation of conditions(1)

If:

  • (a)

    an exploration licence holder requests the Minister in writing to vary a licence condition, or

  • (b)

    an exploration licence continues in force because of section 93, or

  • (c)

    an extension of the term of an exploration licence is granted under section 95, or

  • (d)

    part of the licence area of an exploration licence is surrendered under section 99 or 100,

the Minister may vary a licence condition.

(2)

If the Minister gives:

  • (a)

    a direction under section 387, or

  • (b)

    an approval, consent or exemption under the regulations,

to an exploration licence holder, the Minister may vary a licence condition to the extent necessary to avoid inconsistency between the licence conditions and the direction, approval, consent or exemption.

(3)

The Minister may vary a licence condition subject to whatever conditions the Minister thinks appropriate.

(4)

If the Minister varies a licence condition, the Minister must give the licence holder a written notice that:

  • (a)

    informs the holder of the variation, and

  • (b)

    specifies the conditions which have been varied, and

  • (c)

    specifies any conditions to which the variation is subject.

121Exemption from or suspension of conditions(1)

If:

  • (a)

    an exploration licence holder requests the Minister in writing to:

    • (i)

      suspend a licence condition, or

    • (ii)

      exempt the holder from complying with a licence condition, or

  • (b)

    an exploration licence continues in force because of section 93, or

  • (c)

    an extension of the term of an exploration licence is granted under section 95, or

  • (d)

    part of the licence area of an exploration licence is surrendered under section 99 or 100,

the Minister may:

  • (e)

    suspend a licence condition, or

  • (f)

    exempt the holder from complying with a licence condition.

(2)

If the Minister gives:

  • (a)

    a direction under section 387, or

  • (b)

    an approval, consent or exemption under the regulations,

to an exploration licence holder, the Minister may suspend a licence condition, or exempt the holder from compliance with a licence condition, to the extent necessary to avoid inconsistency between the licence conditions and the direction, approval, consent or exemption.

(3)

The Minister may:

  • (a)

    suspend a licence condition, or

  • (b)

    exempt the licence holder from complying with a licence condition,

subject to whatever conditions the Minister thinks appropriate.

(4)

If the Minister:

  • (a)

    suspends a licence condition, or

379Inspection of licence-related premises etc without warrant(1)

Subject to subsections (2), (3) and (4), an inspector may, without a warrant, carry out a compliance inspection of:

  • (a)

    licence-related land, or

  • (b)

    a licence-related building, structure, vehicle, vessel or aircraft,

if the inspection is reasonably necessary.

(2)

An inspection under subsection (1) must be made at a reasonable time.

(3)

An inspector may not enter premises under subsection (1) if:

  • (a)

    the premises are a residence, and

  • (b)

    the occupier has not consented to the entry.

(4)

An inspector may not carry out a compliance inspection under subsection (1) if:

  • (a)

    the person occupying or in charge of the land, building, structure, vehicle, vessel or aircraft concerned asks the inspector to produce the inspector’s identity card for inspection by the person, and

  • (b)

    the inspector does not comply with the person’s request.

(5)

For the purposes of this section, land or a building, structure, vehicle, vessel or aircraft is licence-related if:

  • (a)

    it is used in connection with activities carried out under a licence or special purpose consent, or

  • (b)

    records about activities of that kind are kept there.

380Inspection of other premises etc with occupier’s consent

An inspector may carry out a compliance inspection of land or a building, structure, vehicle, vessel or aircraft with the consent of the person who occupies or is in charge of the land, building, structure, vehicle, vessel or aircraft.

381Inspection of other premises etc with warrant

An inspector may carry out a compliance inspection in accordance with a warrant issued under section 382.

382Procedure for obtaining warrant(1)

An inspector may apply to an authorised officer (within the meaning of the Law Enforcement (Powers and Responsibilities) Act 2002) for a warrant to carry out a compliance inspection of land or of a building, structure, vehicle, vessel or aircraft.

(2)

The application must be supported by a statement on oath or affirmation that sets out the grounds on which the inspector is applying for the warrant.

(3)

If the authorised officer is satisfied that the compliance inspection is reasonably necessary, the authorised officer may issue a warrant to the inspector to carry out the inspection.

(4)

The warrant must state:

  • (a)

    the name of the inspector, and

  • (b)

    whether the inspection may be carried out at any time or only during specified hours of the day, and

  • (c)

    the day on which the warrant ceases to have effect, and

  • (d)

    the purposes for which the warrant is issued.

(5)

The day specified under subsection (4) (c) is not to be more than 7 days after the day on which the warrant is issued.

(6)

The purposes specified under subsection (4) (d) must include the identification of:

  • (a)

    the land, building, structure, vehicle, vessel or aircraft to be inspected, and

  • (b)

    any equipment that the inspector may test, and

  • (c)

    any documents that the inspector may examine and copy, and

  • (d)

    any cores or cuttings from the seabed or subsoil that the inspector may examine and take samples of.

383Further provisions as to exercise of powers under warrant(1)

If a warrant for a compliance inspection is issued to an inspector under section 382, the warrant authorises the inspector to carry out the inspection:

  • (a)

    with such assistance as is reasonable and necessary, and

  • (b)

    by such force as is reasonable and necessary.

(2)

An inspector may not carry out a compliance inspection under a warrant if:

  • (a)

    the person occupying or in charge of the land, building, structure, vehicle, vessel or aircraft concerned asks the inspector to produce the inspector’s identity card for inspection by the person, and

  • (b)

    the inspector does not comply with the person’s request.

384Occupier to co-operate with inspector

If an inspector carries out a compliance inspection of land or of a building, structure, vehicle, vessel or aircraft under section 379 or 381, the person who occupies or is in charge of it must provide the inspector with the facilities and assistance that the inspector reasonably requires for carrying out the inspection.

Maximum penalty: $5 000.

Division 2Directions385Directions by Minister must be obeyed(1)

A person must comply with a direction under section 387 or 392.

Maximum penalty: $10 000.

(2)

A person must comply with a supplementary direction given under section 391 (2).

Maximum penalty: $5 000.

386Scope of directions(1)

The Minister may give a direction under section 387 or 392 if it is necessary or convenient to do so to carry out or give effect to this Act or the regulations.

(2)

Without limiting subsection (1), directions may be given in relation to:

  • (a)

    the control of offshore exploration or mining activities, and

  • (b)

    the conservation and protection of the mineral resources in coastal waters, and

  • (c)

    the remedying of:

    • (i)

      damage caused to the seabed or subsoil in coastal waters by offshore exploration or mining activities, or

    • (ii)

      damage caused by the escape of substances as a result of offshore exploration or mining activities, and

  • (d)

    the protection of the environment, and

  • (e)

    the keeping of records and samples, and

  • (f)

    the giving of records and samples to the Minister for inspection, and

  • (g)

    the making of returns.

Note—

For “offshore exploration or mining activities” see section 5.

(3)

For the purposes of subsection (2), the control of offshore exploration or mining activities extends to the control of:

  • (a)

    the construction, maintenance and operation of installations used in or for use in exploration or mining activities in coastal waters, and

  • (b)

    the flow or discharge of fluids arising from exploration or mining activities in coastal waters, and

  • (c)

    the safety, health and welfare of persons working in offshore exploration or mining activities, and

  • (d)

    the maintenance of structures, equipment and property used in or for use in offshore exploration or mining activities.

Note—

For “offshore exploration or mining activities” see section 5.

387Minister may give directions(1)

Subject to subsections (2), (3) and (4), the Minister may direct a licence holder or special purpose consent holder to do or not to do the thing specified in the direction.

(2)

The direction must be in writing and is given by serving it on the holder.

(3)

The Minister must not give a direction of a permanent or standing nature except after consultation with the responsible Commonwealth Minister.

(4)

A failure to comply with subsection (3) does not affect the validity of the direction concerned.

388Direction may incorporate material in another document(1)

A direction under section 387 may apply, adopt or incorporate a code of practice or a standard that is contained in another document.

(2)

The application, adoption or incorporation of the other document may be made with or without modification.

(3)

The other document may be one issued outside Australia.

(4)

The direction may apply, adopt or modify the other document:

  • (a)

    as in force at the time when the direction is given, or

  • (b)

    as in force from time to time.

(5)

If a direction applies, adopts or incorporates material in another document, a copy of the document must be attached to the direction when it is given to the licence holder or special purpose consent holder.

389Direction may impose absolute prohibition

Without limiting section 387, a direction under that section may:

  • (a)

    prohibit absolutely the doing of a thing, or

  • (b)

    prohibit the doing of a thing unless a person’s consent or approval is obtained.

390Direction may extend to associates(1)

A direction under section 387 to a licence holder or special purpose consent holder may extend to an associate specified in the direction.

(2)

An associate may be specified by name or by class.

(3)

The direction may provide that only particular obligations specified in the direction extend to a particular associate.

391Holder to give notice of direction to associates(1)

If a direction under section 387 extends to an associate, the licence holder or special purpose consent holder must either:

  • (a)

    give a copy of the direction to the associate, or

  • (b)

    display a copy of the direction at a place that the associate goes to in the course of carrying out activities under the licence or consent.

Maximum penalty: $5 000.

(2)

The Minister may give the licence holder or special purpose consent holder a supplementary direction that specifies the manner in which, or the places at which, copies of a direction are to be displayed under subsection (1) (b).

(3)

A supplementary direction is to have effect as if it were part of the original direction.

392Power to give directions after licence etc ends(1)

If a person is bound by an obligation because of section 131, 191, 266 or 314, the Minister may direct the person to do a thing or not to do a thing specified in the direction.

(2)

A direction may be given only for the following purposes:

  • (a)

    to ensure that the obligation is complied with,

  • (b)

    a purpose that is incidental to the purpose in paragraph (a).

Note—

Sections 131, 191, 266 and 314 provide for undischarged obligations to continue to bind a former licence holder or associate after the licence ends.

(3)

A direction must be in writing and is given by serving it on the person bound by the obligation.

393Effect of directions on other instruments(1)

A later direction under section 387 or 392 overrides an earlier direction if they are inconsistent.

(2)

A direction has effect despite anything in:

  • (a)

    the regulations, or

  • (b)

    a licence condition that relates to safety or environmental matters.

394Minister may specify time for compliance(1)

If the Minister gives a direction under section 387 or 392 to a person, the Minister may:

  • (a)

    specify in the direction a time for compliance with the direction, or

  • (b)

    give the person a supplementary direction specifying a time for compliance with the direction.

(2)

A supplementary direction is to have effect as if it were part of the original direction.

395Minister may take action if holder fails to comply(1)

The Minister may do all or any of the things required by a direction under section 387 or 392 if:

  • (a)

    the time for compliance specified under section 394 has ended, and

  • (b)

    the person to whom the direction was given or to whom it extended has not complied with the direction.

(2)

If the direction required consultation under section 387 (3), the Minister must not take action under subsection (1) without similar consultation.

396Costs incurred by Minister in taking action under section 395(1)

If:

  • (a)

    the Minister takes action under section 395 in relation to a direction under section 387 given to a licence holder or special purpose consent holder, and

  • (b)

    the direction does not extend to an associate of the holder,

the costs and expenses incurred by the Minister in taking that action are a debt due to the State by the holder.

(2)

If:

  • (a)

    a direction under section 387 specifies that a particular associate of a licence holder or special purpose consent holder is subject to a particular obligation, and

  • (b)

    the Minister takes action under section 395 in relation to that obligation,

the costs and expenses incurred by the Minister in taking that action are a debt due to the State by the holder and the associate.

(3)

The associate and the holder are jointly and severally liable to pay the debt arising under subsection (2).

(4)

A debt under this section is recoverable in a court of competent jurisdiction.

397Defences to actions to recover debts(1)

It is a defence to an action to recover the debt from the licence holder, special purpose consent holder or the associate if:

  • (a)

    the holder or associate produces evidence that the holder or associate took all reasonable steps to comply with the direction, and

  • (b)

    the evidence is not rebutted.

(2)

It is a defence to an action to recover the debt from the associate if:

  • (a)

    the associate produces evidence that the associate did not know of, and could not reasonably be expected to know of, the existence of the direction, and

  • (b)

    the evidence is not rebutted.

Division 3Securities398Securities(1)

A person may be required to lodge a security with the Minister under:

  • (a)

    section 399 (security as prerequisite for proper acceptance of provisional grant or provisional renewal), or

  • (b)

    section 118 (exploration licence conditions), 177 (retention licence conditions), 254 (mining licence conditions) or 304 (works licence conditions).

(2)

Securities are required as a way of ensuring compliance with this Act and with licence conditions.

(3)

Securities may only be used for the purposes laid down in section 400.

399Determination of requirement to lodge security(1)

The Minister may determine that a person who has been provisionally granted a licence must lodge a security with the Minister.

Note 1—

The provisional holder will be given notice of the determination under section 66 or 83 (exploration licence), 147 (retention licence), 210 or 227 (mining licence) or 279 (works licence).

Note 2—

If the provisional holder does not lodge the security within a particular time provided for in this Act, the provisional grant will lapse (see section 72 or 86 (exploration licence), 153 (retention licence), 216 or 230 (mining licence) or 285 (works licence)).

(2)

If the Minister provisionally renews a licence, the Minister may determine that the licence holder must lodge a security with the Minister.

Note 1—

The licence holder will be given notice of the determination under section 110 (exploration licence), 169 (retention licence), 246 (mining licence) or 296 (works licence).

Note 2—

If the holder does not lodge the security within a particular time provided for in this Act, the provisional renewal will lapse (see section 116 (exploration licence), 175 (retention licence), 252 (mining licence) or 302 (works licence)).

(3)

A determination under subsection (1) or (2) must specify:

  • (a)

    the amount of the security required, and

  • (b)

    the kind of security required, and

  • (c)

    the manner and form in which the security is to be lodged.

(4)

Without limiting subsections (1) and (2), a determination may require the lodgment of a security in the form of a guarantee and if a guarantee is required the determination may specify:

  • (a)

    the kind of person who is to give the guarantee, and

  • (b)

    the terms of the guarantee.

(5)

The determination is to be in writing.

(6)

If a person is provisionally granted a licence over a tender block, the amount determined as a security under subsection (1) is to be the amount of security referred to in the tender block licence notice.

Note—

For the contents of a tender block licence notice see sections 75 and 219.

400Application of security(1)

If:

  • (a)

    a person is or was a licence holder, and

  • (b)

    the person has lodged a security with the Minister,

the Minister may use the security to discharge the person’s obligations arising from a failure to comply with:

  • (c)

    this Act or the regulations, or

  • (d)

    the licence conditions, or

  • (e)

    a direction under section 387 or 392.

(2)

Without limiting subsection (1), the holder’s financial obligations include the obligation to pay a penalty imposed under the licence conditions.

(3)

Subject to subsection (1), the Minister is to deal with a security in accordance with the regulations.

Division 4Restoration of environment401Removal of property from coastal waters(1)

The regulations may provide for:

  • (a)

    the removal from coastal waters of property that:

    • (i)

      has been brought into coastal waters for use in offshore exploration or mining activities, and

    • (ii)

      is not being used and is not intended to be used in exploration or mining activities in accordance with a licence, and

  • (b)

    the disposal by the Minister of property removed under regulations made for the purposes of paragraph (a), and

  • (c)

    the recovery of costs and expenses incurred by the Minister or another person in removing or disposing of property in accordance with regulations made for the purposes of paragraphs (a) and (b).

Note—

For “offshore exploration or mining activities” see section 5.

(2)

Regulations made for the purposes of subsection (1) (a) may provide for removal by the Minister or by someone else.

(3)

Regulations made for the purposes of subsection (1) (c) may provide for the recovery of costs by way of deduction from the proceeds of the disposal.

(4)

Subject to the regulations, no action lies in respect of the removal or disposal of property in accordance with the regulations.

(5)

In this section:

property includes a structure or equipment.

402Rehabilitation of damaged areas(1)

The regulations may provide for:

  • (a)

    the rehabilitation of an area in coastal waters that has been damaged or affected by offshore exploration or mining activities of a licence holder, and

  • (b)

    the recovery of costs and expenses incurred by the Minister in rehabilitating an area under regulations made for the purposes of paragraph (a).

(2)

Regulations made for the purposes of subsection (1) (a) may provide for the rehabilitation to be carried out by the Minister or someone else.

(3)

Regulations made for the purposes of subsection (1) (b) may provide for the recovery of costs and expenses by way of deduction from the licence holder’s security.

Division 5Safety zones403Declaration of safety zone around a structure or equipment(1)

The Minister may, by order published in the Gazette, establish a safety zone around a structure or equipment in coastal waters.

(2)

A safety zone may only be established for the purpose of protecting the structure or equipment.

(3)

The safety zone may extend not more than 500 metres from the outer edge of the structure or equipment.

(4)

The order may apply to:

  • (a)

    all vessels, or

  • (b)

    all vessels except those specified in the order.

404Effect of declaration of safety zone(1)

If a safety zone is established by order under section 403, a vessel to which the order applies is not to enter or remain in the safety zone without the written consent of the Minister.

(2)

If a consent is given under subsection (1) on conditions, a vessel to which the consent applies is to enter or remain in the safety zone only in accordance with the conditions.

(3)

The owner of a vessel and the person in command or in charge of a vessel are each guilty of an indictable offence if the vessel enters or remains in a safety zone in contravention of subsection (1) or (2).

Maximum penalty: imprisonment for 5 years.

(4)

The Local Court may hear and determine proceedings for an offence against subsection (3) if the court is satisfied that it is appropriate to do so, and the defendant and the prosecutor consent.

(5)

Where, in accordance with subsection (3), the Local Court convicts a person of the offence, the person is liable to a fine of $10 000 or imprisonment for 2 years, or both.

(6)

It is a defence to a prosecution of a person for an offence against subsection (3) if the person satisfies the court that:

  • (a)

    an unforeseen emergency made it necessary for the vessel to enter or remain in the safety zone to attempt to secure the safety of:

    • (i)

      a human life, or

    • (ii)

      the vessel, or

    • (iii)

      another vessel, or

    • (iv)

      a well, pipeline, structure or equipment, or

  • (b)

    the vessel entered or remained in the safety zone in circumstances beyond the control of the person who was in command or in charge of the vessel (for example, adverse weather).

(7)

It is a defence to a prosecution of the owner of a vessel for an offence against subsection (3) if the owner satisfies the court that the owner:

  • (a)

    did not aid, abet, counsel or procure the vessel’s entering or remaining in the safety zone, and

  • (b)

    was not in any way, directly or indirectly, knowingly concerned in, or party to, the vessel’s entering or remaining in the safety zone.

405–420Section numbers not used

See note 2 to section 3 (1).

Part 4.3Inspectors421Appointment of inspectors(1)

The Minister may appoint a person to be an inspector for the purposes of this Act and the regulations.

Note—

Inspectors have powers under sections 367, 368, 369, 370, 371, 378, 379, 380 and 381.

(2)

The appointment must be in writing.

422Identity cards(1)

The Minister must issue an inspector with an identity card.

(2)

The card must:

  • (a)

    contain a recent photograph of the inspector, and

  • (b)

    be in the form approved by the Minister.

423Return of identity card(1)

A person who stops being an inspector must, as soon as is practicable, return the person’s identity card to the Minister or to an official specified by the Minister in a written notice given to the person.

(2)

A person must not contravene subsection (1) without reasonable excuse.

Maximum penalty: $100.

Part 4.4Licence fees and royaltyDivision 1Licence fees424Definition

In this Division:

year, in relation to the period when a licence is in force, means:

  • (a)

    the period of 12 months commencing on (and including) the day on which the provisional grant of the licence is properly accepted, or

  • (b)

    a period of 12 months commencing on (and including) an anniversary of that day, or

  • (c)

    a period of less than 12 months that:

    • (i)

      commences on (and includes):

      • (A)

        the day on which the provisional grant of the licence is properly accepted, or

      • (B)

        an anniversary of that day, and

    • (ii)

      ends on the expiry of the licence.

425Licence fees(1)

A licence holder must pay a fee to the Minister for each year during which the licence is in force.

(2)

The amount of the fee for each kind of licence is to be as determined from time to time by the Minister, with the concurrence of the Treasurer, for that kind of licence.

(3)

If the licence has 2 or more holders, the holders are jointly and severally liable to pay the fee.

426Section number not used

See note 2 to section 3 (1).

427Time for payment

The fee for a year becomes payable one month after the day on which the year begins.

Division 2Royalty428Definition

In this Division:

royalty period, in relation to a mining licence, means:

  • (a)

    the period from (and including) the day on which the licence takes effect to (and including) the next 30 June or 31 December whichever is the earlier, and

  • (b)

    each period of 6 months after that period.

429Royalty

A person who is or has been a mining licence holder must pay to the State a royalty for all minerals recovered by the holder under the licence.

430Rate of royalty(1)

The regulations may prescribe rates of royalty for the purposes of this Division.

(2)

Without limiting subsection (1), the rates of royalty prescribed under that subsection may include a rate that is related to the landed value, or to the quantity, of the mineral.

(3)

A rate of royalty prescribed under subsection (1) applies in relation to any mineral of the relevant kind recovered under a mining licence during the period when the rate is in force.

431Reduction of royalty in certain cases(1)

The Minister may determine a rate of royalty that is lower than the rate prescribed under section 430 for:

  • (a)

    a particular kind of mineral, or

  • (b)

    all minerals recovered under a particular mining licence.

(2)

A determination is to be made by instrument in writing and is to specify the period for which the lower rate is to be in force.

(3)

A determination may only be made under this section if the Minister is satisfied that recovery of the kind of mineral to which it applies would be uneconomic at the rate prescribed under section 430.

(4)

A determination under this section takes effect on the day on which the instrument of determination is published in the Gazette.

(5)

The Chief Commissioner is to be advised of any determination made under this section.

432Fixing of landed value(1)

For the purposes of this Division, the landed value of a mineral is:

  • (a)

    an amount agreed between the mining licence holder and the Minister, or

  • (b)

    if there is no agreement within such period as the Minister allows, an amount determined by the Minister by instrument in writing.

(2)

A certificate that is signed by the Minister and that states that, on a specified date, the Minister made a determination under subsection (1) (b) is admissible in evidence in any proceedings and is evidence of the fact or facts so certified.

(3)

The Chief Commissioner may request a certificate under this section and a certificate is to be provided in accordance with that request.

433Fixing of quantity(1)

For the purposes of this Division, the quantity of any mineral recovered by a mining licence holder during a royalty period is:

  • (a)

    the quantity agreed between the holder and the Minister, or

  • (b)

    if there is no agreement within such period as the Minister allows, the quantity determined by the Minister by instrument in writing.

(2)

A certificate that is signed by the Minister and that states that, on a specified date, the Minister made a determination under subsection (1) (b) is admissible in evidence in any proceedings and is evidence of the fact or facts so certified.

(3)

The Chief Commissioner may request a certificate under this section and a certificate is to be provided in accordance with that request.

434Time for payment(1)

Royalty for any mineral recovered during a royalty period is payable within one month after the last day of that royalty period.

(2)

A failure to pay the royalty within one month after the last day of that royalty period is a tax default for the purposes of the Taxation Administration Act 1996.

Note—

If a tax default occurs, interest and penalty tax may be charged under the Taxation Administration Act 1996.

(3)

A tax default does not occur in respect of an amount of royalty payable until the expiration of 7 days after:

  • (a)

    the landed value of the mineral has been agreed or determined under section 432, where the rate of royalty is related to the landed value of the mineral, or

  • (b)

    the quantity of the mineral has been agreed or determined under section 433, where the rate of royalty is related to the quantity of the mineral recovered.

435State to pay 40% of royalties to Commonwealth(1)

The State is to pay to the Commonwealth 40% of royalties received under this Division.

(2)

Payments under subsection (1) are to be made not later than the end of the month that follows the month in which the royalties were received.

(3)

In this section:

royalty includes any interest or penalty tax for late payment of royalty.

435ARoyalty returns(1)

A person who is required to pay royalty under this Act is required to lodge with the Chief Commissioner a return relating to each royalty period.

(2)

The return is to be lodged with the Chief Commissioner within one month after the last day of that royalty period.

(3)

The Chief Commissioner is to give a copy to the Minister of each return lodged with the Chief Commissioner.

(4)

The Minister may give directions to the Chief Commissioner as to the information that is to be included in the form of return approved under the Taxation Administration Act 1996.

Note—

The Taxation Administration Act 1996 requires a return to be in a form approved by the Chief Commissioner.

435BDisclosure of royalty information(1)

The Minister, or a person engaged in the administration of this Act, may disclose royalty information obtained from a tax officer under this Act or the Taxation Administration Act 1996 in connection with the administration or execution of this Act.

(2)

This section applies despite section 84 of the Taxation Administration Act 1996 but subject to any restrictions in this Act.

Note—

See sections 374–376 of this Act.

(3)

In this section:

royalty information means information in a return lodged with the Chief Commissioner under this Act or any other information relating to the assessment or recovery of royalty.

tax officer has the same meaning as it has in the Taxation Administration Act 1996.

Division 3Penalties and recovery436Penalty if fee overdue(1)

Subject to this section, a licence holder must pay a penalty to the Minister in respect of any fee that the holder fails to pay when it becomes payable.

(2)

The penalty is to be calculated:

  • (a)

    on the amount of the fee that remains unpaid, and

  • (b)

    at the rate of 0.33% for each day during which the fee is unpaid.

(3)

(Repealed)

437Fees recoverable as debts

The State may recover the amount of any fee payable under this Part in a court of competent jurisdiction as a debt due to the State.

437AAssessment and recovery of royalties(1)

Royalty payable under this Act is a tax for the purposes of the Taxation Administration Act 1996.

Note—

The Taxation Administration Act 1996 applies to the assessment and recovery of royalty.

(2)

The royalty is payable to the Chief Commissioner in accordance with that Act.

(3)

The Minister is to ensure that the Chief Commissioner is provided with any information necessary to enable the Chief Commissioner to exercise the Chief Commissioner’s functions with respect to royalties under this Act and the Taxation Administration Act 1996.

Chapter 5Miscellaneous438State functions under Part 5.1 of Commonwealth Act(1)

A State court may exercise any jurisdiction that is conferred on the court by the Commonwealth Act.

(2)

A State authority may perform any function that it is necessary for the authority to perform to give effect to Part 5.1 of the Commonwealth Act.

(3)

In this section:

State authority means:

  • (a)

    the Governor,

  • (b)

    a Minister of the Crown in right of the State,

  • (c)

    a department of the Public Service of the State,

  • (d)

    an agency, authority or instrumentality established under a written law of the State,

  • (e)

    a person holding or exercising the powers of an office established under a written law of the State,

  • (f)

    an officer or employee of:

    • (i)

      an agency, authority or instrumentality referred to in paragraph (d), or

    • (ii)

      a person referred to in paragraph (e),

  • (g)

    an officer appointed, or a person employed, under any other written law of the State,

  • (h)

    any other person or entity prescribed by the regulations to be a State authority for the purposes of this section.

State court means a court or other tribunal of the State.

439Delegation by Minister(1)

The Minister may by signed instrument delegate to a person the performance of all or any of the functions of the Minister under:

  • (a)

    this Act, or

  • (b)

    regulations made under this Act.

Note—

See also section 49 of the Interpretation Act 1987.

(2)

A delegation under this section may be made to the person who holds, or performs the duties of, a specified office under the Commonwealth or the State.

(3)

If the Minister delegates the performance of a function under this section, the delegation continues in force despite:

  • (a)

    a vacancy in the office of Minister, or

  • (b)

    a change in the identity of the holder of the office of Minister.

(4)

A copy of each instrument making, varying or revoking a delegation under this section must be published in the Gazette.

440False statements

A person must not in connection with:

  • (a)

    any application or request to the Minister, or

  • (b)

    the lodgment of any document,

under this Act give any information or make any statement:

  • (c)

    that the person knows to be false in a material particular, or

  • (d)

    that is false in a material particular and that the person does not believe to be true.

Maximum penalty: $10 000.

441Service of documents on licence holders etc(1)

A document that is to be given to a licence holder may be given to the holder by posting it to the address that is the holder’s registered address for service.

Note—

See section 333 for registration of an address for service.

(2)

A document that is to be given to an applicant for a licence may be given to the applicant by posting it to the address that the applicant specified in the applicant’s application for the licence.

442Regulations(1)

The Governor may make regulations prescribing all matters:

  • (a)

    required or permitted by this Act to be prescribed, or

  • (b)

    necessary or convenient to be prescribed for giving effect to this Act.

(2)

Without limiting subsection (1), the regulations may provide for:

  • (a)

    the control of offshore exploration and mining activities, and

  • (b)

    procedures for giving notice to persons whose interests might be affected by the grant of a licence or special purpose consent, and

  • (c)

    the conservation and protection of the mineral resources of coastal waters, and

  • (d)

    the remedying of:

    • (i)

      damage caused to the seabed or subsoil in coastal waters by offshore exploration and mining activities, or

    • (ii)

      damage caused by the escape of substances as a result of offshore exploration and mining activities, and

  • (e)

    the protection of the environment, and

  • (f)

    the keeping of records and samples, and

  • (g)

    the giving of records and samples to the Minister for inspection, and

  • (h)

    the making of returns, and

  • (i)

    the imposition and recovery of fees,

  • (j)

    without limiting paragraph (i), the determination by a specified person of any fees required or permitted to be prescribed by the regulations.

Note—

For “offshore exploration or mining activities” see section 5.

(3)

For the purposes of subsection (2), the control of offshore exploration and mining activities extends to the control of:

  • (a)

    the construction, maintenance and operation of installations used in or for use in offshore exploration and mining activities, and

  • (b)

    the flow or discharge of fluids arising from offshore exploration and mining activities, and

  • (c)

    the safety, health and welfare of persons working in offshore exploration and mining activities, and

  • (d)

    the maintenance of structures, equipment and property used in or for use in offshore exploration and mining activities.

Note—

For “offshore exploration or mining activities” see section 5.

(4)

For the purposes of subsection (2) (b), interests that might be affected by the grant of a licence include native title rights and interests that might be affected by the grant of the licence.

(5)

Subject to section 124, the regulations may provide for offences against the regulations.

(6)

The penalties provided for offences against the regulations are not to exceed:

  • (a)

    a fine of $1 000, or

  • (b)

    a fine of $1 000 for each day on which the offence is taken to continue.

(7)

In this section:

control includes restrict.

443Proceedings for offences

Subject to section 404, proceedings for an offence against this Act or the regulations may be disposed of in a summary manner before the Local Court.

444Savings and transitional provisions

Schedule 2 has effect.

445

(Repealed)

Schedule 1Area in which coastal waters are situated

(Section 16 (1))

The area the boundary of which commences at a point that is the intersection of the coastline at mean low water by the geodesic between the trigonometrical station known as Point Danger near Point Danger and point of Latitude 27° 58′ South, Longitude 154° East and runs thence north-easterly along that geodesic to the last-mentioned point, thence north-easterly along the geodesic to a point of Latitude 27° 48′ South, Longitude 154° 22′ East, thence easterly along the geodesic to a point of Latitude 26° 59′ 05″ South, Longitude 165° 40′ East, thence southerly along the meridian of Longitude 165° 40′ East to its intersection by the parallel of Latitude 34° 03′ 30″ South, thence south-westerly along the geodesic to a point of Latitude 34° 16′ South, Longitude 165° 16′ East, thence south-westerly along the geodesic to a point of Latitude 37° 21′ 30″ South, Longitude 164° 23′ East, thence south-westerly along the geodesic to a point of Latitude 37° 32′ South, Longitude 164° 11′ East, thence south-westerly along the geodesic to a point of Latitude 37° 59′ South, Longitude 163° 47′ East, thence south-westerly along the geodesic to a point of Latitude 38° 58′ South, Longitude 161° 15′ 30″ East, thence south-westerly along the geodesic to a point of Latitude 39° 12′ South, Longitude 160° East, thence south-westerly along the geodesic to a point of Latitude 40° 40′ South, Longitude 158° 53′ East, thence north-westerly along the geodesic to a point of Latitude 37° 35′ South, Longitude 150° 10′ East, thence north-westerly along the geodesic to the intersection of the coastline at mean low water by the boundary between the States of New South Wales and Victoria, thence generally northerly along the coastline of Australia at mean low water to the point of commencement.

Schedule 2Savings and transitional provisions

(Section 443)

Part 1Preliminary1Regulations(1)

The regulations may contain provisions of a savings or transitional nature consequent on the enactment of the following Acts:

  • this Act

  • any Act that amends this Act

(2)

Any such provision may, if the regulations so provide, take effect from the date of assent to the Act concerned or a later date.

(3)

To the extent to which any such provision takes effect from a date that is earlier than the date of its publication in the Gazette, the provision does not operate so as:

  • (a)

    to affect, in a manner prejudicial to any person (other than the State or an authority of the State), the rights of that person existing before the date of its publication, or

  • (b)

    to impose liabilities on any person (other than the State or an authority of the State) in respect of anything done or omitted to be done before the date of its publication.

(4)

A regulation made for the purposes of this clause may be expressed to have effect despite any other provision of this Act or any of the Acts that this Act amends.

Part 2Provisions consequent on enactment of this Act2Existing exploration licences

An exploration licence in force under the Mining Act 1992 immediately before the commencement of this clause in relation to an area to which this Act applies is taken to be an exploration licence granted under this Act.

3Pending applications(1)

An application under the Mining Act 1992 for a renewal of an exploration licence in relation to an area to which this Act applies that has not been determined at the commencement of this clause is taken to be an application under this Act for the renewal of the licence.

(2)

An application under the Mining Act 1992 for an assessment lease in relation to an area to which this Act applies that has not been determined at the commencement of this clause is taken to be an application under this Act for a retention licence in respect of the same area.

(3)

An application under the Mining Act 1992 for a mining lease in relation to an area to which this Act applies that has not been determined at the commencement of this clause is taken to be an application under this Act for a mining licence in respect of the same area.

4Existing reserves(1)

Any area that constitutes a block or part of a block in coastal waters, and that was reserved by an order in force under section 367 of the Mining Act 1992 immediately before the commencement of this clause, is taken to have been declared as a reserved block under section 18 of this Act.

(2)

Nothing in this clause or section 18 prevents the carrying out of activities in accordance with an exploration licence in force under the Mining Act 1992 immediately before the commencement of this clause in relation to an area referred to in subclause (1).

5Existing entries in register

An entry in the register kept under section 161 of the Mining Act 1992 that relates to an area to which this Act applies must, after the commencement of this clause, be removed from that register and included in the offshore mining register kept under this Act.

Part 3Provisions consequent on enactment of State Revenue and Other Legislation Amendment (Budget Measures) Act 20146Assessment and recovery of royalties under Taxation Administration Act 1996(1)

An amendment made to this Act or the regulations by the State Revenue and Other Legislation Amendment (Budget Measures) Act 2014 applies only to royalty under this Act that is payable in respect of a royalty period that commences on or after the commencement of the amendment.

(2)

This Act and the regulations, as in force before such an amendment, continue to apply to royalty under this Act that is payable in respect of a royalty period that commenced before the commencement of the amendment.

7Requirements to pay royalty to the Minister(1)

A requirement imposed by or under this Act to pay royalty under this Act to the Minister is taken, from the relevant commencement date, to be a requirement to pay royalty under this Act to the State.

(2)

A reference in any document to royalty payable to the Minister under this Act is taken, from the relevant commencement date, to be a reference to royalty payable to the State under this Act.

(3)

In this clause, the relevant commencement date means the date of commencement of section 437A, as inserted by the State Revenue and Other Legislation Amendment (Budget Measures) Act 2014.

Schedule 3

(Repealed)

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