Printer Friendly Version

ERCB – Alberta's Royalty Framework (ARF) Project

Oil Royalty Program

Oil density information currently sourced at the ERCB is required by the Department of Energy (DOE) to calculate oil royalties. This information is required to be transmitted from the ERCB to the DOE via the Petroleum Registry of Alberta (PRA).

In support of the oil royalty program under Alberta's Royalty Framework (ARF), the ERCB has implemented a solution that disseminates oil density values of producing wells to the PRA. The solution transmits density values at the pool level, such that wells belonging to the same producing pool inherit the density value assigned to that pool. The ERCB loads these density values on a monthly basis to the PRA and then on to the DOE for royalty calculation purposes. Density values for both confidential as well as non-confidential wells are transmitted as part of this process; however, only non-confidential information is visible at the PRA.

The ERCB has also developed a process for managing requests to change pool oil density values. This process provides industry the opportunity to submit requests to change density values should there be a discrepancy between the ERCB’s density values and industry’s values. Additional information pertaining to instructions for engaging this process can be found in ERCB Bulletin 2008-42.

As of November 6, 2008, the ERCB has completed its implementation of transmitting density values to the PRA. This implementation allows density values to be transmitted from the ERCB to the PRA, which coincides with the DOE’s ARF Shadow Billing Process as well as allows industry to validate oil density values when royalty calculations take place under the ARF regime.

• November 19, 2008 - Bulletin 2008-42 outlines the process for requesting a change in pool oil density. 
   

• For more information relating to the Alberta's Royalty Framework, please visit the Department of Energy’s website at http://www.energy.gov.ab.ca/