Production Allocation Unit Agreement Alberta

Most of Atlantic Canada`s oil and gas reserves are offshore, triggering federal and provincial jurisdiction over resources. In fact, Newfoundland and Labrador is Canada`s third largest oil province, and total production is off the coast. [3] Agreements between the different levels of government have resulted in two primary regulators: the Canada-Newfoundland and Labrador Offshore Petroleum Board and the Canada-Nova-Nova Scotia Offshore Petroleum Board. The two regulators are made up of federal and provincial representatives and regulate all aspects of offshore oil and gas development. These agreements also include revenue allocation agreements between the federal government and the federal states. Each province regulates the development of onshore oil and gas within its borders. Although the MLE requirements are no longer part of the renewal application process, the Minister still has the same discretion as in the 2010 OSTR to inform (or remove) a tenant that requires the tenant to begin production or valuation within the time indicated in the notice of contract, or to increase the production or valuation of bitumen or other bitumen or other bitumen sands from the place of the lease. If the tenant does not go to the communication, the minister may terminate all or part of the tenancy agreement. An operator of the unit is entitled to challenge the Crown`s notification. The crown withdrawal request must: The federal regulator oversees issues such as pipelines or power lines that cross provincial or international borders, tolls and tariffs, environmental impact assessments, and energy imports and imports. The granting of oil and gas research, development and development rights on federal lands and border areas is governed by the Canada Petroleum Resources Act, while oil and gas activities such as exploration, production, processing and transportation are governed by the Canada Oil and Gas Operations Act. Other federal agencies that could be involved in these cases are the Canadian Environmental Assessment Agency, Fisheries and Oceanies Canada, Transport Canada, Natural Resources Canada and Crown – Indian Relations and Northern Affairs. Alberta Oil Sands Tenure Regulation (OSTR), passed under the Mines and Minerals Act (Alberta), provides for the issuance and continuation of basic oil sands leases, as well as the payment of escalating rents if a renewal contract does not meet a minimum production level.

The current OSTR was introduced in 2010 (OSTR 2010).