Common use of DISCOVERY AND DEVELOPMENT Clause in Contracts

DISCOVERY AND DEVELOPMENT. Where, pursuant to section 30 of the Act, notice has been given to the Minister of a discovery in the contract area, the Contractor shall forthwith inform the Minister of the steps it proposes to take to satisfy the requirements of section 30 (1) (a) (iii) of the Act. Where the Contractor, pursuant to section 31 (1) of the Act, has informed the Minister that, in its opinion, the discovery is of potential commercial interest, the Contractor shall, as soon as practicable thereafter, submit, for the consideration of the Minister, its proposals for an appraisal programme to meet the requirements of section 30 (1) (b) of the Act. Where an appraisal programme has been adopted by the Contractor pursuant to Article 8.2, the Minister - may, on application by the Contractor pursuant to section 31 (2) of the Act, stating reasons therefor, extend the period within which application may be made by the Contractor for a petroleum production licence.