Minerals Resource Rent Tax Repeal and Other Measures Act 2014 (96 of 2014)

Schedule 1   Minerals resource rent tax

Part 2   Consequential amendments

Petroleum Resource Rent Tax Assessment Act 1987

51   After section 2AA

Insert:

2AB Exclusion of incidental recovery of coal seam gas

(1) An authority or right under an Australian law is taken, for the purposes of this Act (other than this section), not to be an authority or right mentioned in paragraph (c) of the definition of production licence in section 2 if the only recovery of petroleum that is undertaken under the authority or right is recovery of coal seam gas, being recovery that:

(a) is a necessary result of coal mining that the holder of the authority or right carries out under the authority or right; or

(b) is necessary to ensure a safe working environment for coal mining carried out under the authority or right; or

(c) is necessary to minimise the fugitive emission of methane or similar gases during the course of coal mining carried out under the authority or right.

(2) This section does not apply to an authority or right that is the subject of a determination under subsection 2AA(1).

2AC Exclusion of incidental exploration etc. for petroleum

An authority or right under an Australian law is taken, for the purposes of this Act (other than this section), not to be:

(a) an authority or right mentioned in paragraph (b) of the definition of exploration permit in section 2; or

(b) an authority or right mentioned in paragraph (b) of the definition of retention lease in that section;

if, to the extent that the authority or right permits activities of a kind mentioned in a subparagraph of that paragraph, it only permits them as an incident of exploration for resources other than petroleum.