Petroleum (Onshore) Act 1991 Petroleum (Onshore) Amendment (Royalty) Regulation 2000 (2000-559) [GG No 117 of 8.9.2000, p 10182] (NSW)

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2000 No 559

Petroleum (Onshore) Amendment New South Wales

(Royalty) Regulation 2000

under the

Petroleum (Onshore) Act 1991

His Excellency the Governor, with the advice of the Executive Council, has made the following Regulation under the Petroleum (Onshore) Act 1991.

The Hon EDWARD OBEID, M.L.C.,

Minister for Mineral Resources

Explanatory note
The object of this Regulation is to prescribe a rate of royalty for petroleum recovered under a mining lease for coal under the Mining Act 1992. The Regulation also makes a minor amendment by way of law revision.

This Regulation is made under the Petroleum (Onshore) Act 1991, including section 138 (the general regulation-making power) and section 85. The making of such a regulation under that Act in relation to petroleum recovered under a mining lease for coal is expressly referred to in section 286 (2) of the Mining Act 1992.

Published in Gazette No 117 of 8 September 2000, page 10182 Page 1
[4]
2000 No 559
Clause 1 Petroleum (Onshore) Amendment (Royalty) Regulation 2000

Petroleum (Onshore) Amendment (Royalty)
Regulation 2000

1      Name of Regulation

This Regulation is the Petroleum (Onshore) Amendment (Royalty)
Regulation 2000.

2 Amendment of Petroleum (Onshore) Regulation 1997

The Petroleum (Onshore) Regulation 1997 is amended as set out in

Schedule 1.

3 Notes

The explanatory note does not form part of this Regulation.

2000 No 559

Petroleum (Onshore) Amendment (Royalty) Regulation 2000

Amendments Schedule 1
Schedule 1 Amendments

(Clause 2)

[1]      Clause 21 Rate of royalty: section 85

Insert “commercial” before “production” in clause 21 (c).

[2]      Clause 21A

Insert after clause 21:

21A Rate of royalty: Mining Act 1992 section 286

(1)

For the purposes of Division 3 of Part 14 of the Mining Act 1992, the prescribed rate of royalty for petroleum recovered under a mining lease for coal is as follows:

(a) for the first 5 years of commercial production—nil,

(b)

for the 6th, 7th, 8th and 9th years of commercial production—6%, 7%, 8% and 9%, respectively, of the value at the well head of the petroleum,

(c)

for the 10th and subsequent years of commercial production—10% of the value at the well head of the petroleum.

(2) For the purposes of this clause:

(a)

the number of years of commercial production of petroleum under a mining lease for coal over land in a single holding is to be calculated from the first year of commercial production of petroleum under that or any other mining lease for coal over that or any other land in the same holding, regardless of whether that year occurred before or after the commencement of this clause, and

(b)

if at any time (whether before or after the commencement of this clause) there has been no commercial production of petroleum under a mining lease for coal over land in that holding for a period of 5 years or more, any period during which there has been commercial production of petroleum under such a lease prior to that period of 5 years is to be ignored.

2000 No 559

Petroleum (Onshore) Amendment (Royalty) Regulation 2000

Schedule 1 Amendments

(3)

No liability to pay royalty arises under this clause in relation to any petroleum recovered before the commencement of this clause.

(4) In this clause:

holding, in relation to a mining lease for coal, means the whole of the land the subject of the lease and, if that land forms part of a colliery holding registered under the Mining Act 1992, includes all land within the colliery holding.

mining lease has the same meaning as it has in the Mining

Act 1992.

BY AUTHORITY

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