§ Mr. Portillo
asked the Secretary of State for Energy what is his policy towards the future exercise of his powers to require oil companies who are partners in new oilfield developments to enter into participation agreements with the British National Oil Corporation or its successor; and if he will make a statement.
§ Mr. Buchanan-Smith
As I stated on Second Reading of the Oil and Pipelines Bill on 14 May at column194,it is the Government's intention that as new oilfields reach the development stage, the licensees should continue to conclude agreements which enable the British National Oil Corporation or its successor, the Oil and Pipelines Agency, to participate in the oil produced. However, the agency may not, without the Secretary of State's consent, elect to take petroleum under such agreement.