Canada Oil and Gas Land Regulations (C.R.C., c. 1518)

Regulations are current to 2019-06-20

PART ILicences, Exploration Agreements and Permits (continued)

Reports (continued)

 A licensee, permittee or lessee shall, upon request by the Oil Conservation Engineer, report the location of field parties and any change in the intended exploratory work.

  •  (1) Every permittee shall, within 60 days after

    • (a) the third, sixth, ninth, twelfth and fourteenth anniversaries of the date of which the permit was issued, in the case of a permit referred to in subsection 36(1) or (3) or paragraph 36(4)(a),

    • (b) the fourth, seventh, tenth and twelfth anniversaries of the date on which the permit was issued, in the case of a permit referred to in subsection 36(2) or (3) or paragraph 36(4)(b), and

    • (c) the expiration, cancellation or surrender of the permit,

    forward to the Chief, in triplicate,

    • (d) copies of all aerial photographs taken by the permittee;

    • (e) a geological report of any area investigated including geological maps, cross-sections and stratigraphic data;

    • (f) a geophysical report of the area investigated; and

    • (g) reports of all surveys not referred to in paragraphs (d) to (f) that were conducted on the permit area.

  • (2) The geophysical report referred to in paragraph (1)(f) shall include,

    • (a) where a gravity survey has been conducted, maps showing

      • (i) the location and ground elevation of each station,

      • (ii) the final corrected gravity value at each station,

      • (iii) the gravity contours drawn on the gravity values, and

      • (iv) the boundaries of the permit areas;

    • (b) where a seismic survey is conducted, maps on a scale of not less than 1 inch to 1 mile showing

      • (i) the location and ground elevation of each shot hole,

      • (ii) the corrected time value at each shot hole for all horizons determined during the course of the survey,

      • (iii) contours and isochrons drawn on the corrected values with a contour interval of not more than 100 feet or the equivalent in time, and

      • (iv) the boundaries of the permit areas; and

    • (c) where a magnetic survey is conducted, maps showing

      • (i) the location of the flight lines,

      • (ii) the magnetic contour lines at intervals of 10 gamma, and

      • (iii) the boundaries of the permit areas.

  • (3) Where the information referred to in this section has been sent by the permittee to the Chief pursuant to section 28 or 44, the permittee is not required to send that same information to the Chief pursuant to this section.

  • (4) The Chief may at any time request that a licensee, permittee or lessee supply factual information and data, or a copy thereof, that are necessary for the interpretation of any survey conducted for the purpose of searching for oil or gas and, without restricting the generality of the foregoing, may request factual information and data concerning

    • (a) seismograms and other recordings of seismic events together with all relevant data;

    • (b) magnetic profiles and other recordings of variations in the magnetic field of the earth; and

    • (c) any observations or readings obtained during the course of a survey that was conducted for the purpose of searching for oil or gas.

  • (5) No person shall destroy any of the factual information referred to in subsection (4) without the consent of the Chief, unless that information has been sent to the Department pursuant to these Regulations.

Oil and Gas Leases

Oil and Gas Lease upon Application

  •  (1) On application to the Minister, a permittee, the holder of an exploration agreement or the holder of a special renewal permit shall be granted an oil and gas lease.

  • (2) An oil and gas lease shall not be granted under this section

    • (a) to a person unless the Minister is satisfied that he is a Canadian citizen over 21 years of age, and that he will be the beneficial owner of the interest to be granted;

    • (b) to a corporation incorporated outside Canada; or

    • (c) to a corporation unless the Minister is satisfied

      • (i) that at least 50 per cent of the issued shares of the corporation is beneficially owned by

        • (A) persons who are Canadian citizens,

        • (B) corporations that meet the qualifications set out in subparagraph (ii), or

        • (C) both such persons and corporations,

      • (ii) that the shares of the corporation are listed on a recognized Canadian stock exchange and that Canadians will have an opportunity of participating in the financing and ownership of the corporation, or

      • (iii) that the shares of the corporation are wholly owned, directly or indirectly, by a corporation that meets the qualifications outlined in subparagraph (i) or (ii).

  • SOR/89-144, s. 1
  •  (1) The land to be included in an oil and gas lease granted pursuant to section 54 shall be selected by the permittee from his permit area.

  • (2) The Minister shall not grant an oil and gas lease pursuant to section 54 for more than one-half of the number of sections in the permit area held by the applicant.

  • (3) An oil and gas lease granted pursuant to section 54 shall commence on the day the application is received by the Chief.

  •  (1) Every application for an oil and gas lease shall be made on a form approved by the Chief and shall be accompanied by

    • (a) the fee set out in Schedule I;

    • (b) the rental required by section 78; and

    • (e) a diagram and description of the area for which the application is made.

  • (2) The application shall be delivered in person or be sent by registered mail to the office of the Chief in Ottawa.

  • (3) The Chief shall cause to be endorsed on each application the date and time that the application is received.

Other Leasing

  •  (1) The Minister may grant an oil and gas lease or call tenders for the purchase of an oil and gas lease for Canada lands

    • (a) that have been held under a permit or oil and gas lease, which permit or oil and gas lease has expired, been cancelled or been surrendered;

    • (b) referred to in subsection 17(3); or

    • (c) that are a combination of the lands referred to in paragraphs (a) and (b) or either of them.

  • (2) All oil and gas lease granted pursuant to this section may be granted upon such terms and conditions as the Minister may order.

  • (3) A call for tenders under this section shall

    • (a) be advertised in the Canada Gazette and in such other manner as the Minister considers advisable at least 30 days before the date fixed for the closing of tenders; and

    • (b) state the terms and conditions upon which the tender is called and upon which the oil and gas lease is to be granted.

  • (4) Where tenders are called pursuant to this section and

    • (a) no tender is received, or

    • (b) a tender has been received and the Minister has refused to accept that tender,

    the Minister may dispose of those lands by an oil and gas lease pursuant to this section in such manner and upon such terms as the Minister may determine.

  • SOR/80-590, s. 4
 
Date modified: