Abstract
THE danger of dependency on foreign supplies of liquid fuel and the necessity of finding alternative domestic resources are now openly avowed by all thinking people. There are some who fervently believe that there is sufficient petroleum below the ground in England to supply the entire demand for petrol and oil for an indefinite period, and are prepared to back their opinions financially, in spite of adverse geological opinion (NATURE, March 31, 1934, p. 487). The regulations prepared by the Mines Department of the Board of Trade under the Petroleum Production Act constitute an official invitation to those people to prove their theory. At the same time they safeguard the interests of the State in the event of a systematic search for oil proving successful, and ensure that development of any resources found will be conducted in an orderly manner. The essential facts are that if no negative resolution is passed by either House within the twenty-eight Parliamentary days, both prospecting and mining licences will be issued under these regulations. Applicants for such licences must furnish evidence of their technical and financial qualifications and then on payment of the requisite fee, £20 for a prospecting licence or £50 for a mining licence, will be entitled to a monopoly of the area covered. The prospecting licence is tenable for three years and may be renewed for two further yearly periods; the mining licence for fifty years with the possible extension for a further twenty-five years. Prospecting licences will be granted in respect of areas not exceeding 200 square miles or less than 8 square miles, and mining licences in respect of areas neither larger than 100 square miles nor smaller than 4 square miles. The rate of royalty payable to the State has not yet been fixed but it will not be less than 3s. nor greater than 6s. per ton of crude oil. For any ‘casinghead’ spirit recovered, the royalty imposed will be not less than one-eighth of a penny or more than 2d. per gallon.
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Search for Oil in Great Britain. Nature 135, 865 (1935). https://doi.org/10.1038/135865c0
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DOI: https://doi.org/10.1038/135865c0