SCHEDULE 2U.K.MODEL CLAUSES FOR PRODUCTION LICENCES RELATING TO FRONTIER AREAS—NO BREAK CLAUSE

Right of distressU.K.

33.—(1) This clause applies in respect of any part of the Licensed Area which is situated within the English or Northern Irish areas as defined in article 1(2) of the Civil Jurisdiction (Offshore Activities) Order 1987.

(2) If and whenever any of the payments mentioned in clause 10(1) of this licence or any part thereof shall be in arrear or unpaid for 28 days next after any of the days whereon the same ought to be paid (whether the same shall have been legally demanded or not) then and so often as the same may happen the Minister may (as an additional remedy and without prejudice to any other rights and remedies to which he would be entitled) enter into and upon any of the Licensee’s installations and equipment used or to be used in connection with searching, boring for or getting Petroleum in the Licensed Area and may seize and distrain and sell as a landlord may do for rent all or any of the stocks of Petroleum, engines, machinery, tools, implements, chattels and other effects belonging to the Licensee which shall be found in or upon or about any of the Licensee’s installations and equipment so entered upon and out of the moneys arising from the sale of such distress may retain and pay all the arrears of the said payments and also the costs and expenses of and incident to such distress and sale and shall pay the surplus (if any) to the Licensee.

Commencement Information

I1Sch. 2 clause 33 in force at 5.3.2004, see reg. 1