Section 87: Conditions for Renewal of Petroleum Mining Leases.

1 A lessee of a petroleum mining lease may, not less than 12 months before the expiration of the lease, apply in writing to the Commission for a renewal, of leased area or any part of it.

2 A petroleum mining lease shall be renewed by the Commission where it is satisfied that the lessee-
a has fulfilled its obligations relating to the development of the lease area;
b has fully met all payments requirement under this Act or any other enactment in respect of royalties, rents, taxes and fees relating to the petroleum mining lease;
c is not in default of any obligation or condition relating to the lease; and
d has discharged all operational obligations in compliance with applicable rules and regulations.

3 The renewal referred to under subsection (2) shall be on terms and conditions determined by the Commission and the lessee shall pay a renewal bonus of an amount specified by the Commission based on the percentage of the market value on the renewal date prescribed in the regulation made under this Act.

4 The Commission may, in public interest, change, impose or add new lease conditions, which shall be published in the Federal Government Gazette.