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Crown Minerals Act 1991

Permits, access to land, and other matters - Decommissioning of petroleum infrastructure and wells - Decommissioning obligations in relation to wells

89W: Criteria for agreeing or setting time frames for decommissioning of wells

You could also call this:

"Rules for deciding when to close down an oil or gas well"

Illustration for Crown Minerals Act 1991

When the Minister is deciding on a date for decommissioning a well under section 89V, they must think about several things. You need to know that the Minister considers the size of the field and how complicated the decommissioning process will be. The Minister also looks at the subpart 2 decommissioning plan, the cost of decommissioning, and when production in the field will stop.

The Minister thinks about how long it will take to meet other legal requirements before decommissioning can start or finish. They consider all these factors to make a decision. The Minister can also think about any other matters they believe are relevant to the decision.

The Minister's decision is based on these factors to ensure a well is decommissioned properly.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=LMS622445.

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89V: When decommissioning obligations of permit holders, licence holders, and other persons under section 89R or 89S arise, or

"When you must close down a well after using it"

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89X: Joint and several liability, or

"Everyone who holds a permit or licence is responsible together and individually for meeting its obligations."

Part 1BPermits, access to land, and other matters
Decommissioning of petroleum infrastructure and wells: Decommissioning obligations in relation to wells

89WCriteria for agreeing or setting time frames for decommissioning of wells

  1. When considering under section 89V what date or dates for decommissioning are to be agreed, or specified, by the Minister, the Minister must consider—

  2. the size of the field to be decommissioned:
    1. the complexity of the required decommissioning:
      1. the subpart 2 decommissioning plan:
        1. the decommissioning cost estimate:
          1. the estimated date on which production in the field will cease:
            1. the time required to comply with requirements under other enactments before decommissioning can commence or be completed:
              1. any other matters the Minister considers relevant.

                Notes
                • Section 89W: inserted, on , by section 18 of the Crown Minerals (Decommissioning and Other Matters) Amendment Act 2021 (2021 No 53).