Library / Midstream and Downstream Petroleum Operations Regulations 2025
Midstream and Downstream Petroleum Operations Regulations 2025

Page 58 of 82
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137.  The Authority, on being satisfied that the applicant has complied with
the conditions set out in these Regulations, may grant a licence or authorisation
subject to such terms and  conditions as may be prescribed in the licence or
authorisation.
138.  A petroleum liquids trading licence or a clearing house authorisation,
as the case may be, shall be for a period not exceeding 10 years from the date of
its issuance, unless such licence or authorisation is withdrawn or cancelled.
139.—(1) The holder of a petroleum liquids trading licence or clearing
house authorisation, who is desirous of renewing its licence or authorisation,
may make an application to the Authority not later than 12 months before the
expiration of the period of such licence or authorisation, in the manner prescribed
by the Authority.
(2)  An application for renewal shall be accompanied by evidence of payment
of the fee prescribed by the Authority.
(3)  The Authority may, upon review of the application and conduct of due
diligence, renew the licence or authorisation subject to such terms and  conditions
as may be prescribed on the licence or authorisation.
140.  A petroleum liquids trading exchange and a clearing house shall pay
an annual operating charge and other charges as prescribed in Regulations made
by the Authority.
141.—(1)   A petroleum liquids trading licence or clearing house authorisation
may be suspended, surrendered or revoked in accordance with these Regulations.
(2)  The suspension, surrender or revocation of the licence or authorisation
shall not affect the validity of any contract made before the date of suspension,
surrender or revocation.
(3)  The Authority may, after consultation with the commodities exchange
or clearing house and the Securities and Exchange Commission, make such
provision in the notice of suspension, surrender or revocation or in any subsequent
communication for the performance or settlement of any contracts outstanding
on that date.
142.—(1)  A commodities exchange  for trading in petroleum liquids or
clearing house shall have its exit scheme approved by the Authority during the
licence or authorisation process, detailing the manner in which the running
contracts on the petroleum liquids trading exchange or clearing house shall be
closed or the succession plan for all transacted contracts in case of closure of
the   commodities exchange  for trading in petroleum liquids or clearing house,
and in case of  suspension, surrender or revocation of its licence or authorisation
in these Regulations.
Grant of
licence or
authorisation
Duration of
licence or
authorisation
Renewal of
licence or
authorisation
Annual
operating
charge and
other charges
Exit scheme
Suspension,
surrender or
revocation
of licence or
authorisation