Is production from qualifying wells that is prior to January 1, 2009 eligible?
No, the transition well royalty formulas are not in effect prior to the January 2009 production month. For eligible wells that have production prior to January 1, 2009, the royalty rates under the Natural Gas Royalty Regulation 2002 and the Petroleum Royalty Regulation would apply until January 1, 2009.
Related Questions
- Prior to production, companies will not know how theroyalty framework will treat their well (e.g., is the well eligible for a deep drilling program). How will the election process accommodate this?
- Is production from qualifying wells that is prior to January 1, 2009 eligible?
- Are wells that start production prior to January 1, 2009 eligible to apply?
