Common use of Development Licence Clause in Contracts

Development Licence. 29.1. Upon approval of a Field Development Plan of a Commercial Discovery pursuant to Article 28.9, the Contractor shall submit an application appropriately to the PRDC for a Development Licence in respect of the proposed Development Area. 29.2. Where a part of a Reservoir in respect of which a Commercial Discovery has been declared extends beyond the Agreement Area, subject to Article 28.14 such area shall be included in the proposed Development Area, in relation to which application for a Development Licence is made, on terms and conditions as decided by the PRDC in consultation with the PRDC: provided that such area is: a) not subject to a Licence granted to any other person; b) not the subject of negotiations/bidding for an Exploration Licence or Development Licence; and c) available for licensing (i.e. is not an area over which Petroleum Operations are excluded). 29.3. Where a Field Development Plan has been approved pursuant to Article 28 and the Contractor has complied with the terms and conditions of the Exploration Licence and this Agreement and is not in breach of any of the terms thereof, or the provisions of any law and subject to normal Government clearances/approvals being obtained by the Contractor as applicable before grant/issue of the Development Licence, the PRDC shall, subject to the Act and in particular section 10 of the Act, grant to the Contractor a Development Licence over the Development Area as agreed, subject to Article 29.4, to enable the Contractor to carry out Petroleum Operations in the Development Area in accordance with the Field Development Plan. 29.4. The Development Licence shall be granted for a period of Twenty (20) years from the date of grant thereof subject to: a) the PRDC amending or varying the conditions of the Development Licence from time to time in accordance with the Act; b) the exercise by PRDC of the powers granted by the Act; c) cancellation in accordance with its terms or for termination of this Agreement in accordance with its terms; d) extension by mutual agreement between the Contractor and the PRDC on behalf of the Government for five (05) years or such period as may be agreed after taking into account the balance recoverable reserve and balance economic life of the Field/Development Area; and e) the terms of this Agreement and other terms and conditions as set forth in such Licence being consistent with the relevant legislation.

Development Licence. 29.1. Upon approval of a Field Development Plan of a Commercial Discovery pursuant to Article 28.9, the Contractor shall submit an application appropriately to the PRDC PRDS for a Development Licence in respect of the proposed Development Area. 29.2. Where a part of a Reservoir in respect of which a Commercial Discovery has been declared extends beyond the Agreement Area, subject to Article 28.14 28.20 such area shall be included in the proposed Development Area, in relation to which application for a Development Licence is made, on terms and conditions as decided by the PRDC PRDS in consultation with the PRDC: provided that such area is: a) not subject to a Licence granted to any other person; b) not the subject of negotiations/bidding for an Exploration Licence or Development Licence; and c) available for licensing (i.e. is not an area over which Petroleum Operations are excluded). 29.3. Where a Field Development Plan has been approved pursuant to Article 28 and the Contractor has complied with the terms and conditions of the Exploration Licence and this Agreement and is not in breach of any of the terms thereof, or the provisions of any law and subject to normal Government clearances/approvals being obtained by the Contractor as applicable before grant/issue of the Development Licence, the PRDC PRDS shall, subject to the Act and in particular section 10 of the Act, grant to the Contractor a Development Licence over the Development Area as agreed, subject to Article 29.4, to enable the Contractor to carry out Petroleum Operations in the Development Area in accordance with the Field Development Plan. 29.4. The Development Licence shall be granted for a period of Twenty (20) years from the date of grant thereof subject to: a) the PRDC PRDS amending or varying the conditions of the Development Licence from time to time in accordance with the Act; b) the exercise by PRDC PRDS of the powers granted by the Act; c) cancellation in accordance with its terms or for termination of this Agreement in accordance with its terms; d) extension by mutual agreement between the Contractor and the PRDC PRDS on behalf of the Government for five fiive (05) years or such period as may be agreed after taking into account the balance recoverable reserve and balance economic life of the Field/Development Area; and e) the terms of this Agreement and other terms and conditions as set forth in such Licence being consistent with the relevant legislation.