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Offshore Minerals (Royalty) Act 1981

Authoritative Version
Act No. 82 of 1981 as amended, taking into account amendments up to Act No. 25 of 1994
An Act to impose a royalty upon minerals other than petroleum recovered from the offshore area of Australia
Administered by: Industry, Science and Resources
Start Date 25 Feb 1994
Table of contents.

Offshore Minerals (Royalty) Act 1981

Act No. 82 of 1981 as amended

This compilation was prepared on 5 September 2000
taking into account amendments up to Act No. 25 of 1994

The text of any of those amendments not in force
on that date is appended in the Notes section

The operation of amendments that have been incorporated may be
affected by application provisions that are set out in the Notes section

Prepared by the Office of Legislative Drafting,
Attorney‑General’s Department, Canberra

  

  

  


Contents

1............ Short title [see Note 1]........................................................................ 1

2............ Commencement [see Note 1].............................................................. 1

3............ Interpretation....................................................................................... 1

4............ Royalty................................................................................................ 1

5............ Rate of royalty..................................................................................... 1

6............ Reduction of royalty in certain cases................................................... 2

7............ Ascertainment of landed value............................................................ 2

8............ Ascertainment of quantity................................................................... 2

9............ Payment of royalty.............................................................................. 3

10.......... Royalty and penalties debts due to Commonwealth............................ 3

Notes                                                                                                           5

 


An Act to impose a royalty upon minerals other than petroleum recovered from the offshore area of Australia

1  Short title [see Note 1]

                   This Act may be cited as the Offshore Minerals (Royalty) Act 1981.

2  Commencement [see Note 1]

                   This Act shall come into operation on the day on which the Minerals (Submerged Lands) Act 1981 comes into operation.

3  Interpretation

             (1)  In this Act, royalty period, in relation to a mining licence, means:

                     (a)  the period from and including the day on which the licence takes effect to and including the next following 30 June or 31 December whichever is the earlier; and

                     (b)  each period of 6 months thereafter.

             (2)  Expressions used in this Act that are used in the Offshore Minerals Act 1994 have, unless the contrary intention appears, the same meanings as they have in that Act.

4  Royalty

                   A person who is or has been a mining licence holder must pay to the Designated Authority a royalty in respect of all minerals recovered by the holder under the licence.

5  Rate of royalty

             (1)  Subject to the succeeding provisions of this section, the Joint Authority may, by instrument in writing, determine the rate of royalty payable in respect of a mineral of a kind specified in the instrument.

             (2)  Without limiting the generality of subsection (1), the rates of royalty determined under that subsection may include a rate that is related to the landed value, or to the quantity, of the mineral of the relevant kind.

             (3)  A rate of royalty determined under subsection (1) applies in relation to any mineral of the relevant kind recovered under a mining licence during the period when the rate is in force.

             (4)  A determination under subsection (1) takes effect on the day on which a copy of the determination is published in the Gazette.

6  Reduction of royalty in certain cases

                   Where the Joint Authority is satisfied that, having regard to the rate of royalty determined under section 5 in respect of a mineral of a particular kind, further recovery of that kind of mineral under a mining licence would be uneconomic, the Joint Authority may, by instrument in writing, determine that the royalty in respect of that kind of mineral recovered under that licence shall be at such rate (being a rate lower than the rate determined under that section) as the Joint Authority specifies in respect of such period as the Joint Authority specifies.

7  Ascertainment of landed value

                   For the purposes of this Act, the landed value of any mineral is such amount as is agreed between the the mining licence holder and the Joint Authority or, in default of agreement within such period as the Joint Authority allows, is such amount as is determined by the Joint Authority as being that value.

8  Ascertainment of quantity

                   For the purposes of this Act, the quantity of any mineral recovered by a a mining licence holder during a royalty period shall be taken to be such quantity as is agreed between the holder and the Joint Authority to have been recovered by the holder during that period or, in default of agreement within such period as the Joint Authority allows, is such quantity as is determined by the Joint Authority as being the quantity of the mineral recovered by the holder during the first‑mentioned period.

9  Payment of royalty

             (1)  Royalty under this Act in respect of any mineral recovered during a royalty period is payable within 1 month after the last day of that royalty period.

             (2)  Where an amount of royalty under this Act is not paid as provided by subsection (1), there is payable to the Designated Authority by the mining licence holder an additional amount calculated at the rate of one‑third of 1% per day upon the amount of royalty from time to time remaining unpaid, to be computed from the time when the royalty became payable until it is paid.

             (3)  An additional amount is not payable under subsection (2) in respect of any period before the expiration of:

                     (a)  if the rate of royalty payable in respect of the mineral recovered is related to the landed value of the mineral—7 days after the landed value of the mineral was agreed or determined under section 7; or

                     (b)  if the rate of royalty payable in respect of the mineral recovered is related to the quantity of the mineral—7 days after the quantity of the mineral was agreed or determined under section 8.

10  Royalty and penalties debts due to Commonwealth

             (1)  Royalty under section 4, and an amount payable under subsection 9(2), are debts due to the Commonwealth by a person who is or has been a mining licence holder and are recoverable in a court of competent jurisdiction.

             (2)  Royalty and other amounts referred to in subsection (1) received by the Designated Authority shall be deemed to be received by the Designated Authority on behalf of the Commonwealth.


Notes to the Offshore Minerals (Royalty) Act 1981

Note 1

The Offshore Minerals (Royalty) Act 1981 as shown in this compilation comprises Act No. 82, 1981 amended as indicated in the Tables below.

Table of Acts

Act

Number
and year

Date
of Assent

Date of commencement

Application, saving or transitional provisions

Minerals (Submerged Lands) (Royalty) Act 1981

82, 1981

18 Jun 1981

1 Feb 1990 (see  Gazette 1989, No. S387)

 

Minerals (Submerged Lands) (Royalty) Amendment Act 1994

25, 1994

25 Feb 1994

(a)


(a)     (2)     This Act commences immediately after the Offshore Minerals Act 1994 commences.

         The Offshore Minerals Act 1994 came into operation on 25 February 1994.


Table of Amendments

ad. = added or inserted     am. = amended     rep. = repealed     rs. = repealed and substituted

Provision affected

How affected

Title.....................................

am. No. 25, 1994

S. 1......................................

am. No. 25, 1994

Ss. 3–10..............................

am. No. 25, 1994