§ Mr. Dempseyasked the Secretary of State for Energy when he expects to announce arrangements for further onshore petroleum licensing.
§ Dr. MahonI have placed in the Library of the House drafts of Notices which will be published in theLondon and Edinburgh Gazettes shortly announcing the terms on which I am now ready to consider applications for production 794W and exploration licences. I am grateful to those onshore exploration companies and other organisations, including the Confederation of British Industry and the Trades Union Congress, which have commented so constructively on the proposals in the Consultative Document published in December.—[Vol. 941, c. 315.]—I have considered all the comments and I have now made significant changes to the financial terms for future production licences and have varied the arrangements concerning the relationship between the British National Oil Corporation, where it is to participate in applications, and its partners. I hope that the resumption of production licensing under these new arrangements will stimulate an increase in they level of petroleum drilling and exploration activity onshore thus improving our geological knowledge and increasing the possibility of further commercial discoveries.