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5.—(1) This regulation applies to an application for—
(a)a petroleum exploration and development licence; or
(b)a seaward area production licence.
(2) Subject to paragraph (6), every application for a licence must—
(a)be in response to an application notice, and
(b)specify the block or blocks to which it relates.
(3) Subject to paragraph (4), the application notice mentioned in paragraph (2) must provide for applications relating to any of the blocks to be made and determined in competition with others, specifying—
(a)a date on or before which any such applications are to be made, being a date at least 90 days after the date on which the application notice is published; and
(b)a date on which, or a period within which, it is proposed that licences will be granted to successful applicants.
(4) In the case of any block in respect of which—
(a)provision for competing applications was made on a previous occasion in an application notice, and
(b)that provision did not result in the grant of a licence,
the application notice may provide for applications to be made and determined at any time.
(5) If an application specifies more than one block it may indicate an order of preference for some or all of the blocks and it may indicate that blocks are applied for as alternatives.
(6) Where the Secretary of State decides that geological or production considerations justify the granting of a licence in respect of any area to the holder of a licence in respect of a contiguous area, and notifies the holders of licences in respect of areas contiguous to the area in question accordingly, any of them may apply for a licence in respect of the area in question within whatever period the Secretary of State considers sufficient for this purpose and specifies in the notification.
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