United Kingdom Government notice concerning European Parliament and Council Directive 94/22/EC on the conditions for granting and using authorisations for the prospection, exploration and production of hydrocarbons (Text with EEA relevance)
Date: 2008-02-20
Institutions: United Kingdom
Subjects: United Kingdom, energy site, exchange of information, exploitation of resources, hydrocarbon, mineral prospecting, petroleum exploration

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Official Journal of the European Union

20.2.2008

V

(Announcements)

PROCEDURES RELATING TO THE IMPLEMENTATION OF THE COMPETITION
POLICY

COMMISSION

United Kingdom Government notice concerning European Parliament and Council Directive
94/22/EC on the conditions for granting and using authorisations for the prospection, exploration
and production of hydrocarbons

(Text with EEA relevance)

(2008/C 47/07)

Announcement of United Kingdom 25th offshore oil and gas licensing round

Department for Business, Enterprise and Regulatory Reform

The Petroleum Act 1998

Offshore Licensing Round

1.
The Secretary of State for Business, Enterprise and Regulatory Reform invites interested persons to
apply for Seaward Production Licences in respect of certain acreage on the United Kingdom Continental
Shelf.

2.
This invitation is in respect of those blocks and parts of blocks that are shown on maps deposited at
the Department for Business, Enterprise and Regulatory Reform (BERR), where they can be viewed by prior
appointment (tel. (44-207) 215 50 32) between 9.15 and 16.45, Monday to Friday during the period of
this Notice.

Full details of the offer, including lists and maps of the acreage on offer and guidance about licences,
3.
the terms which those licences will include, and how to apply, are available on the Energy Development
Unit (EDU) website (see below).

4.
All applications will be judged in accordance with the terms of the Hydrocarbons Licensing Directive
Regulations 1995 (S.I. 1995 No 1434) and against a background of the continuing need for expeditious,
thorough, efficient and safe exploration to identify the United Kingdom's oil and gas resources with due
regard to environmental considerations.

Traditional and Frontier Applications

5.

Applications will be judged on the basis of the following criteria:

(a) the financial viability of the applicant and its financial capacity to carry out the activities that would be
permitted under the licence during the initial term including the work programme submitted for evalu-
ating the full potential of the area within the block or blocks applied for;

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(b) the technical capability of the applicant to carry out activities that would be permitted under the licence
during the initial term including the identification of hydrocarbon prospects within the block or blocks
applied for. The technical capability will be assessed in part upon the quality of analysis related to the
block or blocks applied for;

(c) the way in which the applicant proposes to carry out the activities that would be permitted under the
licence including the quality of the work programme submitted for evaluating the full potential of the
area applied for;

(d) where the applicant holds or has held a licence granted under or treated as having been granted under
the Petroleum Act 1998, any lack of efficiency and responsibility displayed by the applicant in opera-
tions under that licence.

6.
The proposed operator within each applicant group (including any company that is the sole applicant)
must submit a statement of its general environmental policy for the conduct of licensed activities in seaward
areas.

7.
For Traditional and Frontier applications the Secretary of State will not award a licence unless he is
prepared to approve the applicant's choice of operator at the same time. Before approving an operator, the
Secretary of State must be satisfied that the nominee will be competent to plan and manage drilling opera-
tions, in terms of the numbers, experience and training of its staff, the proposed procedures and methodolo-
gies, the design of its command structure, interfaces with contractors and overall corporate strategy. In
considering a proposed operator, the Secretary of State will take into account both new information
presented in the application and the nominee's record as an operator, both within the United Kingdom and
abroad.

Promote Applications

8.

Applications will be judged on the basis of the following criteria:

(a) the financial viability of the applicant;

(b) the technical capability of the applicant to carry out activities that would be permitted under the licence
during the first two years of the licence including the identification of hydrocarbon prospects within the
block or blocks applied for. The technical capability will be assessed in part upon the quality of analysis
related to the block or blocks applied for;

(c) the quality of the applicant's approach to securing the additional financial and technical resources that
would be needed to complete the substantive work programme contemplated in the second two years of
the Initial Term;

(d) where the applicant holds or has held a licence granted under or treated as having been granted under
the Petroleum Act 1998, any lack of efficiency and responsibility displayed by the applicant in opera-
tions under that licence.

9.
Promote Licences will expire after two years if the Licensee has not satisfied BERR of its technical and
financial capacity to complete the Initial Term Work Programme which will include a firm commitment at
that time to the drilling of at least one well, or to conduct an equivalent agreed substantive activity. The
Initial Term Work Programme must be carried out within four years.

Further guidance detailing the above which accompany this offer can be viewed on the Energy Devel-

10.
opment Unit (EDU) website: http://www.og.berr.gov.uk/

Licences

11. Where the Secretary of State offers a licence pursuant to this invitation, the offer will be made within
twelve months of the date of this Notice.

The Secretary of State accepts no liability for any costs incurred by the applicant in considering or

12.
making its application.

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Environmental Assessments

13.
BERR has conducted a Strategic Environmental Assessment of all of the area to be offered to the
standard required in European Parliament and Council Directive 2001/42/EC on the assessment of the
effects of certain plans and programmes on the environment. The finding of the assessment can be found at
the Energy Development Unit (EDU) website: http://www.og.berr.gov.uk/

14.
Licences pursuant to this invitation will only be offered if either (a) there is no significant effect on a
Special Conservation Area (‘SAC’) or Special Protection Area (‘SPA’), or (b) an appropriate assessment under
the Habitats and Wild Birds Directives concludes that there will be no adverse effect on such SACs or SPAs.

15.
Licence Administration: Energy Development Unit (EDU), Department for Business, Enterprise and
Regulatory Reform, 1 Victoria Street, London SW1H 0ET, United Kingdom (tel. (44-207) 215 50 32, fax
(44-207) 215 50 70).

Energy Development Unit (EDU) website: http://www.og.berr.gov.uk/