Canada-Newfoundland Atlantic Accord Implementation Act (S.C. 1987, c. 3)

Marginal note:Licence for subsurface storage

• 86. (1) The Board may, subject to any terms and conditions the Board considers appropriate, issue a licence for the purpose of subsurface storage of petroleum or any other substance approved by the Board in portions of the offshore area at depths greater than twenty metres.

• Marginal note:Prohibition

  (2) No portion of the offshore area shall be used for a purpose referred to in subsection (1) without a licence referred to therein.

Marginal note:Qualification for production licence

87. No production licence or share in a production licence may be held by any person other than a corporation incorporated in Canada.

[Repealed, 1993, c. 47, s. 8]

Marginal note:Definition of “Petroleum and Natural Gas Act”

• 97. (1) In this Division, the “Petroleum and Natural Gas Act” means Part II of The Petroleum and Natural Gas Act, Chapter 294 of the Revised Statutes of Newfoundland, 1970, as amended from time to time.

• Marginal note:Royalties

  (2) There is hereby reserved to Her Majesty in right of Canada and each holder of a share in a production licence is liable for and shall pay to Her Majesty in right of Canada, in accordance with subsection (4), the royalties, interest and penalties that would be payable in respect of petroleum under the Petroleum and Natural Gas Act if the petroleum were produced from areas within the Province.

• Marginal note:Exception

  (3) Notwithstanding subsection (2), where petroleum is subject to a royalty under the Petroleum and Natural Gas Act, that petroleum is not subject to a royalty under subsection (2).

• Marginal note:Application of Newfoundland legislation

  (4) Subject to this Act and the regulations, the Petroleum and Natural Gas Act and any regulations made thereunder apply, with such modifications as the circumstances require, for the purposes of this section and, without limiting the generality of the foregoing,

  • (a) a reference in that Act to Her Majesty in right of the Province shall be deemed to be a reference to Her Majesty in right of Canada; and

  • (b) a reference in that Act to the Province of Newfoundland or the province shall be deemed to be a reference to the offshore area.

• Marginal note:No Crown share

  (5) No provision of the Petroleum and Natural Gas Act or any regulation made thereunder shall apply so as to reserve to Her Majesty a Crown share in any interest issued in respect of any portion of the offshore area.

Marginal note:Power to collect

• 98. (1) Subject to subsection (6), where an agreement is entered into pursuant to subsection (3), royalties, interest and penalties payable under section 97 may be collected and administered and refunds in respect thereof may be granted on behalf of the Government of Canada in accordance with the terms and conditions of the agreement, as amended from time to time pursuant to subsection (4).

• Marginal note:Negotiation of agreement

  (2) The Federal Minister shall, on the request of the Government of the Province or the Board, negotiate an agreement with the Provincial Minister and the Board with respect to the collection and administration of the royalties, interest and penalties payable under section 97.

• Marginal note:Agreement

  (3) On completion of the negotiation of an agreement pursuant to subsection (2), the Federal Minister, with the approval of the Governor in Council, shall, on behalf of the Government of Canada, enter into an agreement with the Government of the Province and the Board pursuant to which the Board shall, on behalf of the Government of Canada, collect and administer the royalties, interest and penalties payable under section 97 and, without limiting the generality of the foregoing, grant refunds or make other payments in respect of those royalties, interest and penalties in accordance with the terms and conditions set out in the agreement.

• Marginal note:Amendments to the agreement

  (4) The Federal Minister, with the approval of the Governor in Council, may, on behalf of the Government of Canada, enter into an agreement amending the terms and conditions of any agreement entered into pursuant to subsection (3).

• Marginal note:Proof of provision of agreement

  (5) A document purporting to be an agreement entered into pursuant to subsection (3) or (4) that is

  • (a) published in the Canada Gazette, or

  • (b) certified as such by, or on behalf of, the Minister of National Revenue, the Receiver General, the Deputy Receiver General or the Federal Minister

  is, in the absence of evidence to the contrary, evidence of the contents thereof and is admissible in evidence without proof of the signature or official character of the person purporting to have certified it.

• Marginal note:No further liability

  (6) An administration agreement may provide that, where any payment is received by the Government of the Province on account of any royalties, interest, penalties or other sum payable by a person under

  • (a) section 97, or

  • (b) both

    • (i) section 97, and

    • (ii) the Petroleum and Natural Gas Act,

  the payment so received may be applied by the Government of the Province towards the royalties, interest, penalties or other sums payable by the person under any such provision or Act in such manner as is specified in the agreement, notwithstanding that the person directed that the payment be applied in any other manner or made no direction as to its application.

• Marginal note:Idem

  (7) Any payment or part thereof applied by the Government of the Province in accordance with an administration agreement towards the royalties, interest, penalties or other sums payable by a person under section 97,

  • (a) relieves that person of liability to pay such royalties, interest, penalties or other sums to the extent of the payment or part thereof so applied; and

  • (b) shall be deemed to have been applied in accordance with a direction made by that person.