18.
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(1) Where a portion of a reservoir of petroleum resources is situated in another exploration block over which another Contractor has an interest and the entire reservoir of petroleum resources can together with such portion ; be move efficiently developed on a commercial basis, the PRDC may, for securing the more effective exploration or recovery of petroleum resources from such reservoir, by notice in writing to such other Contractor, require him to enter into an Unit Development Agreement with such other parties for the joint development of the reservoir of petroleum resources.
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| (2) Where-
| | (a) two or more contractors enter into an Unit Development Agreement, with the approval of the PRDC, to conduct joint petroleum operations; or | | |
| | (b) it is a condition of the Development License issued to each of such Contractors, that they conduct joint petroleum operations in respect of a common petroleum reservoir situated within the boundaries of their several exploration blocks or the areas covered by their several Development Licenses, | | |
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the PRDC may direct such Contractors to participate in Unit Development of such reservoir. |
Sri Lanka Consolidated Acts