Indian Oil and Gas Regulations (SOR/2019-196)

Marginal note:Minister’s duties

• 40 (1) When oil and gas rights or interests are to be granted by way of public tender, the Minister must, after consulting with the council, prepare a notice of tender.

• Marginal note:Notice of tender

  (2) The notice of tender must include the following information:

  • (a) the type of subsurface contract to be granted;

  • (b) the terms and conditions of the contract, other than those set out in these Regulations, or the address of a website where the terms and conditions are set out, including

    • (i) a description of the lands to be included in the contract area and the oil and gas rights or interests to be granted,

    • (ii) the surface rates and seismic rates,

    • (iii) the initial and intermediate terms of the permit or the term of the lease, as the case may be,

    • (iv) in the case of a permit, the earning provisions for the initial term, including the drilling commitment and deadline for completion, the target zone or depth to which each earning well must be drilled and a description of the lands to be earned by each, and

    • (v) the royalty to be paid, if it differs from the royalty provided for in these Regulations;

  • (c) the instructions for submitting a bid, including any information to be provided by bidders, the place where a bid may be submitted and the deadline for submission; and

  • (d) a statement indicating that the bidder acknowledges that they have reviewed and understood the terms and conditions of the contract to be granted and will be bound by those terms and conditions if theirs is the winning bid.

• Marginal note:Publication of notice of tender

  (3) The Minister must submit a copy of the proposed notice of tender to the council before publishing it and, if it is approved, must publish it

  • (a) in a publication known to the industry, such as the Daily Oil Bulletin published by JuneWarren-Nickle’s Energy Group; or

  • (b) on a website on which the Minister publishes information about oil and gas in First Nation lands.