Kitsumkalum Agreement-in-Principle
CHAPTER 5 – SUBSURFACE RESOURCES
General
1.
Kitsumkalum will own Subsurface Resources on or under Kitsumkalum Lands where, before
the Effective Date, Canada or British Columbia owns the Subsurface Resources.
2.
Kitsumkalum ownership of Subsurface Resources is subject to the Subsurface Tenures listed in
Appendix C-3.
3.
Subject to paragraph 12, Kitsumkalum, as owner of Subsurface Resources, has authority to set
fees, rents, royalties and other charges, except taxes, for exploration, development, extraction
and production of Subsurface Resources owned by Kitsumkalum.
4.
Nothing in the Final Agreement confers authority on Kitsumkalum to make laws in relation to
the exploration for, development, production, use and application of nuclear energy and atomic
energy and the production, possession and use, for any purpose, of nuclear substances,
prescribed substances, prescribed equipment and prescribed information.
5.
Nothing in the Final Agreement confers authority on Kitsumkalum to make laws in respect of:
6.
a)
spacing and target areas related to Petroleum and Natural Gas and Geothermal
Resources, and conservation and allocation of Petroleum and Natural Gas and
Geothermal Resources among parties having interests in the same reservoir; and
b)
Subsurface Tenures listed in Appendix C-3 and related Tenured Subsurface Resources.
Before the Final Agreement, British Columbia and Kitsumkalum will address the relationship
between Provincial Law with respect to Subsurface Resources and Kitsumkalum Law with
respect to land use.
Tenured Subsurface Resources
7.
Subject to paragraph 11, the Subsurface Tenures:
a)
continue in accordance with Provincial Law and the Final Agreement; and
b)
will be administered by British Columbia in accordance with Provincial Law and the
Final Agreement.
8.
Provincial Law applies to any exploration, development, extraction and production of Tenured
Subsurface Resources as if the Tenured Subsurface Resources were owned by British Columbia.
9.
In administering the Subsurface Tenures and Tenured Subsurface Resources, British Columbia
may grant, as necessary, any related extensions, renewals, continuations, replacements or issue
any further rights as the Tenured Subsurface Resources are developed.
10.
In administering the Subsurface Tenures and Tenured Subsurface Resources, British Columbia
will notify the Kitsumkalum Government before changing or eliminating any rents or royalties
applicable to the Tenured Subsurface Resources.
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