Part 8U.K.Oil activities

Chapter 7U.K.Reduction of supplementary charge for certain new oil fields

InterpretationU.K.

[F1355C“Deep water gas field”U.K.

(1)In this Chapter “deep water gas field” means an oil field that meets conditions A to C.

(2)Condition A is that more than 75% of the reserves of oil which the field has consist of gas.

(3)Condition B is that the depth of the sea above the field is more than 300 metres.

(4)Condition C is that the length of the planned route of the primary pipe-line, or pipe-lines, to be used for transporting gas from the field to the relevant infrastructure is more than 60 kilometres.

(5)For the purposes of subsection (4)—

(a)the length of the planned route is to be determined on the authorisation day,

(b)“pipe-line” has the same meaning as in the Pipe-lines Act 1962 (see section 65 of that Act),

(c)“the relevant infrastructure”, in relation to an oil field, means any pipe-line or gas processing facility which is used by, or is intended to be used by, another oil field whose development was authorised before the authorisation day for the oil field, and

(d)“gas processing facility” has the meaning given by section 90(1) of the Energy Act 2011 .

(6)For the purposes of this section—

(a)the amount of reserves of oil which an oil field has is to be determined on the authorisation day,

(b)1,100 cubic metres of gas at a temperature of 15 degrees celsius and pressure of one atmosphere is to be counted as equivalent to one tonne, and

(c)the depth of the sea above an oil field is to be measured at the lowest astronomical tide from the water surface to the lowest point of the natural sea bed at the location of the primary subsea manifold or the first development well, whichever is the deeper.]

Textual Amendments

F1Ss. 355A-355C inserted (with effect in accordance with art. 8 of the amending S.I.) by The Qualifying Oil Fields Order 2012 (S.I. 2012/3153), arts. 1(1), 5