Petroleum Act 1998

[F145AAbandoned wellsU.K.

(1)This section applies in relation to a person who has drilled, or commenced drilling, a well in pursuance of a petroleum licence or a licence under section 4 of the Energy Act 2008 (gas storage and unloading licences).

(2)The [F2appropriate authority] may give a notice requiring the person—

(a)to provide specified information relating to the person's financial affairs, or

(b)to supply copies of specified documents, or documents of a specified description, relating to those affairs.

(3)A notice under subsection (2) must specify the time within which the information or documents must be provided.

(4)Subsection (5) applies if—

(a)the person fails to provide information or documents required by such a notice within the period specified in the notice, or

(b)on receiving information or documents required by a notice under subsection (2) the [F3appropriate authority] is not satisfied that the person will be capable of plugging and abandoning the well.

(5)Where this subsection applies the [F4appropriate authority] may give the person a notice, after consulting the Treasury, requiring the person to take the action specified in the notice within the time so specified.

(6)The [F5appropriate authority] may not give a notice to a person under subsection (5) without first giving the person an opportunity to make written representations as to whether the notice should be given.

(7)It is an offence for a person to fail to comply with a notice under subsection (2) or (5) unless it is proved that the person exercised due diligence to avoid the failure.

(8)A person guilty of an offence under this section is liable—

(a)on summary conviction, to a fine not exceeding the statutory maximum, or

(b)on conviction on indictment, to imprisonment for a term not exceeding 2 years or to a fine, or both.

(9)[F6Subject to subsection (9A),] Section 41 (other than subsection (5)) applies in relation to prosecutions for offences under this section as it applies in relation to prosecutions for offences under Part 4.

[F7(9A)Where an offence under this section relates to a notice given to a person who has drilled, or commenced drilling, a well in the Welsh onshore area in pursuance of a petroleum licence, subsection 41(1)(a) applies in relation to its prosecution as though each reference to “the Secretary of State” were a reference to “the Welsh Ministers”.]

(10)In this section—

  • [F8“appropriate authority” means—

    (a)

    in relation to a person who has drilled, or commenced drilling, a well in the Scottish onshore area in pursuance of a petroleum licence, the Scottish Ministers;

    (aa)

    [F9in relation to a person who has drilled, or commenced drilling, a well in the Welsh onshore area in pursuance of a petroleum licence, the Welsh Ministers;]

    (b)

    otherwise, the OGA;]

  • “petroleum licence” means a licence under section 2 of the Petroleum (Production) Act 1934 or section 3 above;

  • [F10“Scottish onshore area” has the meaning given in section 8A(3);]

  • “well” includes a borehole.

  • [F11“Welsh onshore area” has the meaning given in section 8A(5).]]

Textual Amendments

Modifications etc. (not altering text)

C1Pt. 4 applied (with modifications) (26.12.2023) by 2008 c. 32, s. 30(1AA)(1AB) (as inserted by Energy Act 2023 (c. 52), ss. 95(3), 334(3)(b))