The Board's lands management activities include issuing and managing offshore licences and ensuring resource conservation. Managing and administering offshore petroleum rights is part of the regulatory process that begins with rights issuance. A licence can be awarded through an established Call for Bids process that is open and transparent. There are three types of licences: exploration, significant discovery and production. All bids for exploration licences are evaluated on the basis of total work expenditures or, in other words, the amount of money proposed for exploration on the land parcel during period one of the term. Work expenditure bids are refundable based on the amount of money a company spends on exploration.
The Board's resource conservation approach is designed to ensure that operators are committed to resource conservation, to audit activity authorization applications from a resource conservation perspective and to perform necessary studies and surveillance in order to develop and support an independent understanding of the resource.
The key accountabilities for management and conservation of offshore petroleum resources are:
To advance conservation of offshore petroleum resources;
To determine the readiness of operators to conduct offshore activities in a manner that will allow for a comprehensive evaluation of all petroleum resources and additionally that production activities will optimize recovery of petroleum resources, when considering authorization and approval applications from operators; and
To monitory operations for compliance with applicable regulatory requirements including relevant resource evaluation and reservoir management systems and plans, authorization and approval conditions, and operator commitments.
The Board has a key accountability to manage licensing of lands in compliance with regulatory requirements for interests.