5. c. 36) is an Act of the Parliament of the United Kingdom which clarified the ownership of underground petroleum, vesting it in the Crown.

[1] The Petroleum (Production) Act 1918 had required persons wishing to prospect for oil to obtain a license from the Board of Trade.

The Board of Trade was empowered to issue licenses to persons to search for, bore and produce petroleum.

The following year the Petroleum (Production) Regulations 1935 were published and contained Model Clauses which were incorporated into licences.

The company asked whether the Petroleum (Production) Act 1934, could be extended beyond territorial waters to areas of the North Sea which would fall within the jurisdiction of the British Government.