Totnes Viking Gas Storage Royalty Regulations, C-50.2 Reg 26

1 TOTNES VIKING GAS STORAGE ROYALTY C-50.2 REG 26 The Totnes Viking Gas Storage Royalty Regulations being Chapter C-50.2 Reg 26 (effective March 23, 2012). NOTE: This consolidation is not official. Amendments have been incorporated for convenience of reference and the original statutes and regulations should be consulted for all purposes of interpretation and application of the law. In order to preserve the integrity of the original statutes and regulations, errors that may have appeared are reproduced in this consolidation. 2 C-50.2 REG 26 TOTNES VIKING GAS STORAGE ROYALTY Table of Contents 1 Title 2 Interpretation 3 Gas royalty 4 Remittance of royalty 5 Further royalty 6 Coming into force 3 TOTNES VIKING GAS STORAGE ROYALTY C-50.2 REG 26 CHAPTER C-50.2 REG 26 The Crown Minerals Act Title 1 These regulations may be cited as The Totnes Viking Gas Storage Royalty Regulations. Interpretation 2(1) In these regulations: (a) “gas storage agreement” means the Totnes Viking Gas Storage Voluntary Unit Agreement made for the purposes of Part V of The Oil and Gas Conservation Act, section 8 of The Energy and Mines Act and section 18 of The Crown Minerals Act; (b) “injected gas” means injected gas calculated in accordance with subsection (2); (c) “operator” means the unit operator as defined in the gas storage agreement; (d) “project” means the Totnes Viking Gas Storage Voluntary Unit that is identified in the gas storage agreement; (e) “project volume” means the sum of the injected gas and 36,635,000 cubic metres of gas. (2) For the purposes of these regulations, “injected gas” is the amount A, measured in cubic metres, calculated in accordance with the following formula: A = B + (C - D) where: B is the volume of gas, measured in cubic metres, injected into the project area for the purpose of storage, after the effective date of the gas storage agreement; C is the volume of gas, measured in cubic metres, injected into the project area pursuant to Minister’s Order 370/11, dated July 8, 2011 and Minister’s Order 850/11, dated November 10, 2011; and D is the volume of gas, measured in cubic metres, withdrawn from the project area pursuant to Minister’s Order 370/11, dated July 8, 2011 and Minister’s Order 850/11, dated November 10, 2011. 4 C-50.2 REG 26 TOTNES VIKING GAS STORAGE ROYALTY (3) For the purposes of interpreting and applying these regulations: (a) terms used but not defined in these regulations have the meanings set out in The Crown Minerals Act and The Crown Oil and Gas Royalty Regulations, as that Act and those regulations existed on the day before the coming into force of these regulations; and (b) subject to section 5, section 3 of these regulations replaces section 45 of The Crown Oil and Gas Royalty Regulations for the purposes of royalty calculations with respect to gas produced from the project. 5 Apr 2012 cC-50.2 Reg 26 s2. Gas royalty 3 Notwithstanding The Crown Oil and Gas Royalty Regulations, the operator: (a) shall collect and remit a royalty payment of $274,000 on behalf of the royalty payer respecting gas produced from the project; and (b) subject to section 5, is not required to collect and remit any further royalty respecting gas produced from the project. 5 Apr 2012 cC-50.2 Reg 26 s3. Remittance of royalty 4 The operator shall collect and remit the royalty payment required by section 3 to the Crown in full before the effective date of the gas storage agreement. 5 Apr 2012 cC-50.2 Reg 26 s4. Further royalty 5 If, at the end of any month, the minister determines that the volume of gas produced from the project exceeds the project volume, the royalty payer shall pay a royalty calculated in accordance with The Crown Oil and Gas Royalty Regulations respecting the volume of gas produced from the project in excess of the project volume. 5 Apr 2012 cC-50.2 Reg 26 s5. Coming into force 6 These regulations come into force on the day on which they are filed with the Registrar of Regulations. 5 Apr 2012 cC-50.2 Reg 26 s6. REGINA, SASKATCHEWAN Printed by the authority of THE QUEEN’S PRINTER Copyright©2012