Textual Amendments
F1Pt. 8 Ch. 8 inserted (with effect in accordance with Sch. 15 paras. 6(1), 9(2) of the amending Act) by Finance Act 2014 (c. 26), Sch. 15 para. 3
(1)Activities of a company in searching for oil or causing such searching to be carried out for the company.
(2)Activities of a company in extracting oil, or causing oil to be extracted for it, under rights which—
(a)authorise the extraction, and
(b)are held by it or by a company associated with it.
(3)Activities of a company in transporting, or causing to be transported for it, oil extracted under rights which—
(a)authorise the extraction, and
(b)are held as mentioned in subsection (2)(b),
but only if the transportation meets the condition in subsection (5).
(4)Activities of the company in effecting, or causing to be effected for it, the initial treatment or initial storage of oil won from any site under rights which—
(a)authorise its extraction, and
(b)are held as mentioned in subsection (2)(b).
(5)The condition mentioned in subsection (3) is that the transportation is to a place at which the seller in a sale at arm's length could reasonably be expected to deliver it (or, if there is more than one such place, the one nearest to the place of extraction).
(6)In this section “initial storage”—
(a)means, in relation to oil won from a site, the storage of a quantity of oil won from the site not exceeding 10 times the relevant share of the maximum daily production rate of oil for the site as planned or achieved (whichever is greater), but
(b)does not include the matters excluded by paragraphs (a) to (c) of the definition of “initial storage” in section 12(1) of OTA 1975;
and in this subsection “the relevant share” means a share proportionate to the company's share of oil won from the site concerned.
(7)In this section “initial treatment” has the meaning given by section 12(1) of OTA 1975; but for this purpose that definition is to be read as if the references in it to an oil field were to a site.]