Canada–Nova Scotia Offshore Petroleum Resources Accord Implementation and Offshore Renewable Energy Management Act (S.C. 1988, c. 28)

Coordination of Government Departments and Agencies

Marginal note:Coordination

• 46 (1) The Regulator shall, to ensure effective coordination and avoid duplication of work and activities, conclude with the appropriate departments and agencies of the Government of Canada and of the Government of the Province memoranda of understanding in relation to

  • (a) environmental regulation;

  • (b) emergency measures;

  • (c) coast guard and other marine regulation;

  • (c.1) aviation regulation;

  • (d) employment and industrial benefits for Canadians in general and the people of the Province in particular and the review and evaluation procedures to be followed by both governments and the Regulator in relation to such benefits;

  • (e) occupational health and safety;

  • (f) a Nova Scotia trunkline within the meaning of section 40; and

  • (g) such other matters as are appropriate.

• Marginal note:Idem

  (2) The Federal Minister and the Provincial Minister shall be parties to any memorandum of understanding concluded in relation to a matter referred to in paragraph (1)(d).

Constitution of Panel

Marginal note:Notice

• 47 (1) Before a panel is constituted for the purposes of subsection 13(2), 25(3) or 37(1), the government or Minister proposing constitution of the panel shall notify the other government or Minister of the proposal.

• Marginal note:Appointment of members of panel

  (2) Within thirty days after notice is given pursuant to subsection (1), each government shall appoint one member of the panel.

• Marginal note:Chairperson of panel

  (3) The chairperson of the panel shall be appointed

  • (a) jointly by the two members of the panel appointed pursuant to subsection (2) within thirty days after the later of the two appointments made pursuant to that subsection; or

  • (b) where the two members of the panel fail to agree on the appointment of the chairperson of the panel within the thirty day period referred to in paragraph (a), by the Chief Justice of Nova Scotia within thirty days after the expiration of that period.

Settlement Procedure for Disputes

Definition of agreement

• 48 (1) In this section, agreement means an agreement between the Government of Canada and the government of a province respecting resource management and revenue sharing in relation to activities respecting the exploration for or the production of petroleum, or respecting offshore renewable energy projects, carried out on any frontier lands.

• Marginal note:Disputes between neighbouring provinces

  (2) Where a dispute between the Province and any other province that is a party to an agreement arises in relation to the description of any portion of the limits set out in Schedule I and the Government of Canada is unable, by means of negotiation, to bring about a resolution of the dispute within a reasonable time, the dispute shall, at such time as the Federal Minister deems appropriate, be referred to an impartial person, tribunal or body and settled by means of the procedure determined in accordance with subsection (3).

• Marginal note:Procedures determined by Federal Minister

  (3) For the purposes of this section, the person, tribunal or body to which a dispute is to be referred, the constitution and membership of any tribunal or body and the procedures for the settlement of a dispute shall be determined by the Federal Minister after consultation with the provinces concerned in the dispute.

• Marginal note:Principles of international law to apply

  (4) Where the procedure for the settlement of a dispute pursuant to this section involves arbitration, the arbitrator shall apply the principles of international law governing maritime boundary delimitation, with such modifications as the circumstances require.

• Marginal note:Approval of Provincial Minister not required before regulation made

  (5) Notwithstanding section 6, where a dispute is settled pursuant to this section and a regulation under subsection 5(1) amending the description of the portion of the limits set out in Schedule I in relation to which the dispute arose is made in accordance with the settlement, the regulation is not subject to the procedure set out in section 6 with respect to that description.

PART IIPetroleum and Offshore Renewable Energy Resources

Definitions

Marginal note:Definitions

49 In this Part,

call for bids

call for bids means a call for bids made in accordance with

• (a) in the case of petroleum, section 61, and

• (b) in the case of offshore renewable energy, section 93; (appel d’offres)

commercial discovery

commercial discovery means a discovery of petroleum that has been demonstrated to contain petroleum reserves that justify the investment of capital and effort to bring the discovery to production; (découverte exploitable)

commercial discovery area

commercial discovery area means, in relation to a declaration of commercial discovery made pursuant to subsection 81(1) or (2), those portions of the offshore area described in the declaration; (périmètre de découverte exploitable)

Crown reserve area

Crown reserve area means

• (a) in relation to petroleum, portions of the offshore area in respect of which no petroleum-related interest is in force, and

• (b) in relation to offshore renewable energy, portions of the offshore area in respect of which no submerged land licence is in force respecting a particular renewable energy resource; (réserves de l’État)

former exploration agreement

former exploration agreement means an exploration agreement under the Canada Oil and Gas Land Regulations; (ancien accord d’exploration)

former lease

former lease means an oil and gas lease under the Canada Oil and Gas Land Regulations; (ancienne concession)

former permit

former permit means an exploratory permit under the Canada Oil and Gas Land Regulations; (ancien permis)

former special renewal permit

former special renewal permit means a special renewal permit under the Canada Oil and Gas Land Regulations; (ancien permis spécial de renouvellement)

holder

holder or interest holder means, in respect of an interest or a share therein, the person indicated, in the register maintained pursuant to Division VIII, as the holder of the interest or the share; (Version anglaise seulement)

interest

interest means

• (a) in relation to petroleum, any former exploration agreement, former lease, former permit, former special renewal permit, exploration licence, production licence or significant discovery licence, and

• (b) in relation to offshore renewable energy, any submerged land licence; (titre)

interest owner

interest owner means the interest holder who holds an interest or the group of interest holders who hold all of the shares in an interest; (Version anglaise seulement)

prescribed

prescribed means

• (a) in the case of a form or the information to be given on a form, prescribed by the Regulator, and

• (b) in any other case, prescribed by regulations made by the Governor in Council; (Version anglaise seulement)

share

share means, with respect to an interest, an undivided share in the interest or a share in the interest held in accordance with section 69; (fraction)

significant discovery

significant discovery means a discovery indicated by a well on a geological feature that

• (a) demonstrates, through any formation flow test approved by the Regulator, the existence of hydrocarbons in that feature, and

• (b) having regard to geological and engineering factors, suggests the existence of an accumulation of hydrocarbons that has potential for sustained production; (découverte importante)

significant discovery area

significant discovery area means, in relation to a declaration of significant discovery made pursuant to subsection 74(1) or (2), those portions of the offshore area described in the declaration. (périmètre de découverte importante)

50 [Repealed, 2024, c. 30, s. 11]

Application

Marginal note:Application

51 This Part applies to the frontier lands within the offshore area.

DIVISION IGeneral

Manner of Giving Notices

Marginal note:Giving notice

52 Where a notice is required to be given under this Part or the regulations, it shall be given in such form and manner as may be prescribed and shall contain such information as may be prescribed.

Her Majesty

Marginal note:Binding on Her Majesty

53 This Part is binding on Her Majesty in right of Canada or a province.

Designations and Appointments

Marginal note:Delegation

54 The Regulator may designate any person to exercise the powers and perform the duties and functions under this Part that are specified in the designation and on such designation that person may exercise those powers and shall perform those duties and functions subject to such terms and conditions, if any, as are specified in the designation.

Marginal note:Advisory bodies

• 55 (1) The Regulator may from time to time appoint and fix the terms of reference of such advisory bodies as the Regulator considers appropriate to advise the Regulator with respect to such matters relating to the administration or operation of this Part or Part III as are referred to them by the Regulator.

• Marginal note:Remuneration

  (2) The members of any advisory body appointed under subsection (1) may be paid for their services such remuneration and expenses as are fixed by the Regulator.

Marginal note:Appointment of representative

• 56 (1) Where an interest owner consists of two or more holders, such holders shall, in the manner prescribed, appoint one of their number to act as representative of the interest owner for the purposes of this Part, but such holders may, with the consent of the Regulator, appoint different representatives for different purposes.

• Marginal note:Designation of representative

  (2) In the event that an interest owner consisting of two or more holders fails to appoint a representative for any of the purposes of this Part, the Regulator may designate one of such holders as the representative of the interest owner for such purposes.

• Marginal note:Acts or omissions of representative binding

  (3) An interest owner is bound by the acts or omissions of the appointed or designated representative of the interest owner with respect to any matter to which the authority of the representative extends.

• Marginal note:Duties of representative

  (4) A representative of an interest owner appointed or designated under this section shall perform the duties in respect of the purposes for which that representative has been appointed or designated, and any operating agreement or other similar arrangement in force in respect of the relevant interest of that interest owner stands varied or amended to the extent necessary to give effect to this subsection.

General Rules Respecting Interests

Marginal note:Prohibition orders — petroleum

• 57 (1) Subject to sections 32 to 37, the Regulator may, except in a case referred to in subsection (2), by order, for any purposes and under any conditions set out in the order, prohibit the issuance of petroleum-related interests in respect of any portions of the offshore area specified in the order.

• Marginal note:Prohibition orders — offshore renewable energy

  (1.1) The Federal Minister and the Provincial Minister may, except in a case referred to in subsection (2), issue a joint direction to the Regulator to, by order, for any purposes and under any conditions set out in the order, prohibit the issuance of submerged land licences in respect of any portions of the offshore area specified in the order.

• Marginal note:Exclusive decision of Federal Minister

  (2) The Federal Minister may, by order, in the case of a disagreement with any foreign government concerning the location of an international boundary and under such conditions as may be set out in the order, prohibit the issuance of interests in respect of such portions of the offshore area as are specified in the order.

• Marginal note:Directions deemed not to be statutory instruments

  (3) Directions issued under subsection (1.1) shall be deemed not to be statutory instruments for the purposes of the Statutory Instruments Act.

Marginal note:Surrender of interests

• 58 (1) An interest owner may, in the manner prescribed and subject to any requirements that may be prescribed respecting the minimum geographical area to which an interest may relate, surrender an interest in respect of all or any portion of the offshore area subject to the interest.

• Marginal note:Debts due to Her Majesty not affected

  (2) Any liability of an interest owner or interest holder to Her Majesty in right of Canada, either direct or by way of indemnity, that exists at the time of any surrender under subsection (1) is not affected by the surrender.