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ERCB – Alberta's Royalty Framework (ARF) Project
Natural Gas Royalty Program
Acid Gas Content (AGC) is the sum of the Hydrogen Sulphide (H
2
S) and the Carbon Dioxide (CO
2
) content (expressed in mole fraction) of the raw gas being produced at a well event level. AGC is currently submitted to the ERCB by industry and is required by the Department of Energy (DOE) for determining Acid Gas Factor (AGF) to be applied to natural gas royalties. The ERCB is required to transmit AGC information to the DOE via the Petroleum Registry of Alberta (PRA).
In support of the natural gas royalty program under Alberta's Royalty Framework (ARF), the ERCB has implemented a solution that calculates AGC values and disseminates this information to the PRA. AGC values are calculated using available gas analysis data in conjunction with the applicable AGC guidelines, as described in ERCB Bulletin 2009-42. The ERCB publishes the AGC values to the PRA on a periodic basis (at least monthly) and then to the DOE for royalty calculation purposes.
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Acid Gas Content Change Request Process
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The ERCB has also developed a process for managing requests to change AGC values. Additional information regarding initiating this process can be found in ERCB Bulletin 2009-42.
As of November 30, 2009, the ERCB has completed its implementation of system enhancements for automated calculation of AGC values and transmission of this information to the PRA. This includes the final AGC data load for all remaining wells based on the current ERCB data set that meet the ERCB AGC guidelines.
ERCB staff will continue to manually assess AGC values for pools that have sufficient gas analyses based on input guidelines, but where the system was unable to calculate an AGC value due to an unacceptable range in CO2 and H2S values. These AGC values will be disseminated to the PRA along with system-generated AGC values and revised AGC values resulting from approved change requests.
For pools where AGC was not calculated for lack of data, Industry is advised to ensure that gas analyses have all been submitted in accordance to Oil and Gas Conservation Regulations.
- December 1, 2009 – ERCB Bulletin 2009-42 New ERCB Processes and Computer Systems for Oil Density and Acid Gas Content Values and Change Processes.
- For more information relating to Alberta's Royalty Framework, please visit the Department of Energy’s website at http://www.energy.gov.ab.ca/
