| Department of Energy
Petroleum Production Agreement (Onshore)
|
 |
| Who Needs This Approval? |
| | Anyone who wants to obtain the right to produce petroleum from agreement lands in Nova Scotia subject to a payment of royalties.
Note: This does not apply to offshore exploration. |
| Issuing Department / Agency:
|
| | N.S. Department of Energy |
| Where can you get this Approval
and / or further information? |
|
Manager, Petroleum Resources
N.S. Department of Energy
Bank of Montreal Building, Suite 400
5151 George Street
PO Box 2664
Halifax, NS B3J 3P7
|
Tel: (902) 424-7146
Fax: (902) 424-0528
|
| Application Forms & Process:
|
| | Only the holder of a Petroleum Exploration Agreement may apply to the Minister for a Petroleum Production Agreement for all or part of the area held pursuant to the exploration agreement.
A Development Program must then be submitted and approved in the application process.
If all requirements are met, and the application is approved, the applicant will be notified in writing following a decision by the N.S. Minister of Energy.
|
| Waiting Period: |
| |
None specified, but the waiting period is conditional upon the approval of a development plan. |
|
| Expiry & Renewal: |
| | This agreement is valid for 10 years from the date it is issued. It can be renewed, and the renewal date may vary. The renewal process is started by the agreement holder before it expires and the renewal is at the option of the holder. |
| Price: (tax is included)
|
| |
Rental of $0.13 per hectare per year.
Production is subject to a 10% royalty based upon fair market value. |
| Related Requirements: |
| |
- Industrial Plant / Facilities Approval, N.S. Department of Environment;
- Mineral Exploration: Licence, N.S. Department of Natural Resources;
- Petroleum Exploration Agreement, N.S. Department of Energy;
- If 3 or more workers are employed, N.S. Workers' Compensation Board Registration.
|
| Additional Information: |
| |
The primary term is 10 years.
|
| Legislative Authority: |
| |
Petroleum Resources Act, Revised Statutes of Nova Scotia, 1989, Chapter 342, Section 15 and Petroleum Resources Regulations |
