A Guide to Completing the Annual Well Status (Form 3) and Annual Production … · 2018-01-10 ·...

Ministry of Natural Ministère des Resources and Forestry Richesses naturelles et des forêts

Petroleum Operations Section le Section Opérations Pétrolières 659 Exeter Rd. 659 rue Exeter London, ON N6E 1L3 London, ON N6E 1L3 Telephone: (519) 873-4634 Téléphone : 519-873-4634 Fax: (519) 873-4645 Télécopie 519-873-4645

A Guide to Completing the Annual Well Status (Form 3) and Annual Production Report (Form 8) Under the Oil, Gas and Salt Resources Act

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Background Section 13 of the ‘Oil, Gas and Salt Resources of Ontario Provincial Operating Standards’ (Operating Standards) mandates that all commercial operators are required to submit an Annual Production Report(s) (Form 8) and an Annual Well Status Report (Form 3) by the 15th of February each year, for the previous calendar year’s production. These reports are to be submitted to the Ministry of Natural Resources and Forestry (MNRF) at 659 Exeter Road, London, Ontario N6E 1L3. These forms must be completed in duplicate with all required information accurately recorded. Failure to do so could result in further compliance action for submission of inaccurate or incomplete documents and/or obstruction of an inspector under the Oil, Gas and Salt Resources Act (OGSRA), 1990 Section 4. (4)

Definitions Condensate: a low-density, high-API gravity liquid hydrocarbon phase1. Commingled: the production of oil and gas from two or more wells through a common well-bore or flow line without separate measurement of the production of each well. The combined wells must meet the following stipulations:

a) production from a pool averages less than 1m3/d oil per well and 0.3 103m3/d gas per well and all the oil gas interests subject to the commingling have been unitized;

b) where production recovered at surface originates from multiple deviated, horizontal or lateral wells drilled from the wells at surface and all the oil and gas interests affected by the commingling have been unitized, and

c) production of occurs from gas wells located in Lake Erie (Provincial Operating Standards section 6.2.1) Shut-in Pressure: the annual shut-in pressure measurement shall be:

(a) taken with a dead-weight gauge or other equipment acceptable to the Ministry; (b) taken after sufficient shut-in time has passed for reservoir stabilization or 24 hours shut-in time whichever is the lesser; and (c) reported as gauge pressure on Form 8 (Provincial Operating Standards section 6.12.1)

1 Schlumberger Oilfield Glossary.

http://www.glossary.oilfield.slb.com/Terms/c/condensate.aspx

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Form 8: Annual Report of Monthly Oil and Gas Production This form is used to report the production of a single well or a group of wells that are commingled together. All gasses and fluids produced from these wells are to be recorded on these forms. Operators must use the current approved version of this form which can be found at the Oil, Gas and Salt Resources Library (OGSRL) website through the following links:

• http://www.ogsrlibrary.com/documents/FORM8.docx • http://www.ogsrlibrary.com/documents/FORM8.pdf • http://www.ogsrlibrary.com/documents/FORM8.xlsx

The Form 8 is an official document of the Ontario Government and must be used for the purpose of reporting monthly production. Upon completion of the form, it must be submitted, in duplicate, and received by the MNRF Petroleum Operation Section (POS) at 659 Exeter Road, London, Ontario, N6E 1L3 no later than February 15th of each year.

http://www.ogsrlibrary.com/documents/FORM8.docx




http://www.ogsrlibrary.com/documents/FORM8.xlsx


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Form 8: Annual Report of Monthly Oil and Gas Production - Page 1

Oil, Gas and Salt Resources Act Page 1 of 2 Annual Report of Monthly Oil and Gas Production

For the Year __________

Form 8 To the Minister of Natural Resources and Forestry v.2017-01-30

Operator Well Name Licence Field/Pool

Address Township Lot Con.

Indicate whether report represents a single well report or an approved reporting of commingled field or pool production. Commingled wells shall be listed on the reverse side in the space provided in Part D. It is necessary to complete this form for wells that produced any fluid during the reporting year. Part A: Production Volumes and Pressures Single Well Report Group/Commingled Well Report

PRODUCTION VOLUMES1 PRESSURE DATA TIME ON PRODUCTION

Month Oil (m3) Gas (1000 m3) Condensate (m3) Water (m3) WHSIP2 (kPag) Shut-in Time (hrs.) Date WHSIP Taken Days

Jan Feb Mar Apr May Jun July Aug Sep Oct Nov Dec Total

This is where the version number is located

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Form 8: Annual Report of Monthly Oil and Gas Production - Page 1 (continued)

Part B: Type and Disposition of Production Part C: Annual Licence Fee Calculation3

Oil (m3)

Oil Value ($)

Gas (1000 m3)

Gas Value ($)

Condensate (m3)

Condensate Value ($)

Water (m3)

Total Value ($)

Type of Production

Total Production oil or condensate (m3)

gas (1000 m3)

Licence Fee Rate

Licence Fee Payable

Used As Fuel Oil $0.50 per m3

Sales Gas $0.15 per 1000 m3

Disposal Condensate $0.50 per m3

Sec. Recovery Total

Other

1 All volumes for single well production reporting shall be provided from wellhead metering. 2 Wellhead Shut-In Pressure

3 This information is to be summarized on Form 3 for all wells.

Total

All reported values must be corrected to standard conditions, pressure = 101.325kPa and temperature = 15 Cº.

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Form 8: Annual Report of Monthly Oil and Gas Production - Page 2 Part D: Summary of Commingled Wells Page 2 of 2

Licence No.

Well Name

Township, Lot - Concession

Field/Pool

Remarks

The undersigned certifies that the above information is complete and accurate and he/she has the authority to bind the operator. Name (print) ______________________________________________ Signature ______________________________________________ Date _____________________ Company _______________________________________________ Title __________________________________________________

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Form 8: How to Complete Form 8

Below is a list of the fields that are to be completed in the first section of a Form 8 and what information should be entered in those fields.




Operator: Company XYZ Well Name Oil Well #1 Licence T000001 Field/Pool Bayham Pool

Address. 123 Generic Drive Township Middlesex Lot B Con. ICC

Indicate whether report represents a single well report or an approved reporting of commingled field or pool production. Commingled wells shall be listed on the reverse side in the space provided in Part D. It is necessary to complete this form for wells that produced any fluid during the reporting year.

1. Operator: The name of the Operator of the well, as it is listed on the well licence. 2. Well Name: The name of the well, as it is listed on the well licence. 3. Licence: The licence number that is given by the MNRF with regards to this well (ex: T000001 or 000001). If the Form 8 is for commingled wells, leave this

field blank, and enter the wells’ information in Part D on page 2. 4. Field/Pool: This is the Field and/or Pool the well is producing from. If unsure, the OGSR Library will have this information available for you. 5. Address: This is the mailing address for the Operator of the well. 6. Township: This is the geographic township the well is located in, not the township of the corporation or main office. This information can be found on the

well card for the well. This well card can be acquired from the OGSR Library. 7. Lot and Concession: This is the Lot and Concession the well is located on. This information can be found on the licence for the well. If the Form 8 is for

Commingled Wells, leave this field blank and enter in the wells’ information in Part D on page 2.

5 1 2 3 4

6 7

http://www.ogsrlibrary.com/wellcards/index.php

http://www.ogsrlibrary.com/wellcards/index.php

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Form 8: How to Complete Part A

Part A: Production Volumes and Pressures Single Well Report Group/Commingled Well Report PRODUCTION VOLUMES1 PRESSURE DATA TIME ON PRODUCTION

Month Oil (m3) Gas (1000 m3) Condensate (m3) Water (m3) WHSIP2 (kPag) Shut-in Time (hrs.) Date WHSIP Taken Days Jan 0 N/A N/A N/A 0 Feb 0 N/A N/A N/A 0 Mar 0 N/A N/A N/A 0 Apr 30 N/A N/A N/A 30 May 50 N/A N/A N/A 31 Jun 0 N/A N/A N/A 0 July 0 N/A N/A N/A 130 72 July 15, 2016 0 Aug 20 N/A N/A N/A 31 Sep 80 N/A N/A N/A 30 Oct 100 N/A N/A N/A 31 Nov 0 N/A N/A N/A 0 Dec 0 N/A N/A N/A 0 Total 280 N/A N/A N/A 153

1. Single Well Report or Commingled Well Report: For a single well, select the “Single Well Report” box. For multiple commingled wells, select the

“Group/Commingled Well Report” box. 2. Production Volumes: All volumes of Oil/Gas/Condensate and Water need to be tabulated for the entire year and then recorded in the correct field based

on month produced. “Water” includes all forms of water. Some examples are (but not limited to) brine/salt water, sulphur water, brackish water). If there was no volume produced for any month, enter this value as 0.

3. Pressure Data: The well needs to be shut-in for a period of time, once per year, in order to determine the shut-in pressure on the well head. The pressure (in kPag), the shut in time (in hours) and the date it was shut in all need to be reported on the Form 8 (Provincial Operating Standards section 6.12.1).

4. Time On Production: The number of days the well was producing each month.

1

2 3 4

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Form 8: How to Complete Part B

Part B: Type and Disposition of Production

Oil (m3)

Oil Value ($)

Gas (1000 m3) Gas Value ($) Condensate (m3) Condensate Value ($) Water (m3) Total Value ($)

Used As Fuel 0 N/A 0 N/A 0 N/A 0.00

Sales 280 $59, 360.00 0 N/A 0 N/A N/A $59, 360.00

Disposal N/A N/A N/A N/A N/A N/A N/A N/A

Sec. Recovery N/A N/A N/A N/A N/A N/A

Other

N/A N/A N/A N/A N/A N/A N/A N/A

Total 280 $59, 360.00 0 N/A 0 O N/A $59, 360.00

1. Used As Fuel: If any of the oil, gas or condensate produced from the well was used as a fuel onsite, this information needs to be reported in Part B, along with any dollar values associated with it being used as a fuel.

2. Sales: All volumes of oil, gas, condensate and water sold must be documented in Part B, along with the dollar values associated with those transactions. 3. Disposal: All volumes of oil, gas, condensate and water disposed of must be documented in Part B along with the dollar values associated with each

volume of fluid. 4. Sec. Recovery: All volumes of gas, condensate and water that were produced through secondary recovery must be documented in Part B along with the

values associated with the gas. 5. Other: All volumes of oil, gas, condensate and water that do not fall under “Used As Fuel”, “Sales”, “Disposal”, or “Secondary Recovery” are to be

documented in Part B, along with the dollar values associated with those transactions. 6. Total and Total Value ($): The totals of each row and column must be calculated and entered into the appropriate field. Note: The total of the volume

across the bottom of Part B for oil, gas and condensate must equal to total volume produced over the year as listed in Part A.

2

4 3

5

6

1

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Form 8: How to Complete Part C

Part C: Annual Licence Fee Calculation3

Type of Production

(A) Total Production oil or condensate (m3)

gas (1000 m3)

(B) Licence

Fee Rate

Licence Fee Payable (A) X (B)

Oil 280 $0.50 per m3 $140.00

Gas 0 $0.15 per 1000 m3 0

Condensate 0 $0.50 per m3 0

Total $140. 00



1. Total Production (1000m3) gas (m3) oil and condensate: Sum the values reported in “Sales” ”, “Disposal”, “Secondary Recovery”, or “Other” from Part B (see page 8) and enter them into the correct field based on if it was oil, gas or condensate. Note: Do not include the volume that has been entered in the field “Used As Fuel” in your calculation. This volume is exempt from the annual well licence fee.

2. Licence Fee Payable (A)x(B): Use the volume documented in column (A) in Part C and multiply it with the corresponding licence fee found in column (B) in Part C. Note: The licence fee is based on the volume produced during the reporting year. Volumes stored from previous reporting years and sold during the current reporting year should not be included in the calculation of the licence fee payable.

3. Total: The total for the “Licence Fee Payable (A) x (B)” column. See next page for steps. Note: the total volumes produced reported in Part A should equal total volumes reported in Part B and Part C.

3

1 2

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Form 8: How to Complete Part C (continued)

Step 1 Part C: Annual Licence Fee Calculation3

Type of Production


gas (1000 m3)

Licence Fee Rate Licence Fee

Payable

Oil 280 $0.50 per m3 $140.00

Gas 0 $0.15 per 1000 m3 0


Total $140.00

Step 2 Part C: Annual Licence Fee Calculation3

Type of Production


gas (1000 m3) Licence

Fee Rate Licence Fee

Payable

Oil 280 $0.50 per m3 $140.00

Gas 0 $0.15 per 1000 m3 0


Total $140.00

= ×

+ +

=

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Form 8: How to Complete Part D Even if reporting production for a single well, this page of the form must be included in your submission as it contains the signatory block that acknowledges that the information being reported is complete and accurate. Part D: Summary of Commingled Wells Page 2 of 2

Licence No.

Well Name


Field/Pool

Remarks

T000001 Oil Well #1 Moulton, B, IECC Bayham Pool T000002 Oil Well #2 Moulton, C, IECC Bayham Pool

The undersigned certifies that the above information is complete and accurate and he/she has the authority to bind the operator. Name (print) ______________________________________________ Signature ______________________________________________ Date _____________________ Company _______________________________________________ Title __________________________________________________

1. Summary of Commingled Wells: This part is used to report commingled wells. The same information as in the fields from the top of page 1 of a Form 8 is required.

2. Name: A person with signing authority must print their name, sign the form and include the date the form was signed on. The name of the company and the title of the person signing must also be entered on the form. Note: Even if the forms are filled out on your behalf, the person signing assumes all responsibility that the forms were completed correctly.

2

1

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Form 8: Example Completed for a Single Well - Page 1




Operator Company XYZ Well Name Oil Well #1 Licence T000001 Field/Pool Bayham Pool

Address 123 Generic Drive Township Moulton Lot 5 Con. IECC


PRODUCTION VOLUMES1 PRESSURE DATA TIME ON PRODUCTION Month Oil (m3) Gas (1000 m3) Condensate (m3) Water (m3) WHSIP2 (kPag) Shut-in Time (hrs.) Date WHSIP Taken Days

Jan 0 N/A N/A N/A 0 Feb 0 N/A N/A N/A 0 Mar 0 N/A N/A N/A 0 Apr 30 N/A N/A N/A 30 May 50 N/A N/A N/A 31 Jun 0 N/A N/A N/A 0 July 0 N/A N/A N/A 130 72 July 18, 2016 0 Aug 20 N/A N/A N/A 31 Sep 80 N/A N/A N/A 30 Oct 100 N/A N/A N/A 31 Nov 0 N/A N/A N/A 0 Dec 0 N/A N/A N/A 0 Total 280 N/A N/A N/A 153

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Form 8: Example Completed for a Single Well - Page 1 (continued)


Oil (m3)

Oil Value ($)

Gas (1000 m3)

Gas Value ($)

Condensate (m3)


Water (m3)

Total Value ($)

Type of Production


gas (1000 m3)

Licence Fee Rate

Licence Fee Payable

Used As Fuel 0 N/A 0 N/A 0 N/A 0.00 Oil 280 $0.50 per m3 $140.00

Sales 280 $59, 360.00

0 N/A 0 N/A N/A $59, 360.00

Gas 0 $0.15 per 1000 m3 0

Disposal N/A N/A N/A N/A N/A N/A N/A N/A Condensate 0 $0.50 per m3 0

Sec. Recovery N/A N/A N/A N/A N/A N/A Total $140.00

Other

N/A N/A N/A N/A N/A N/A N/A N/A



Total 280 $59,

360.00 0 N/A 0 N/A N/A $59,

360.00


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Form 8: Example Completed for a Single Well – Page 2 Part D: Summary of Commingled Wells Page 2 of 2

Licence No.

Well Name


Field/Pool

Remarks

The undersigned certifies that the above information is complete and accurate and he/she has the authority to bind the operator. Name (print) ______________________________________________ Signature _________________________________________ Date _____________________ Company _______________________________________________ Title __________________________________________________

This is the signature box for the Form 8 and must be signed

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Form 8: Example Completed for Commingled Wells - Page 1




Operator Company XYX Well Name Oil Well #1 Licence Field/Pool Bayham Pool

Address 123 Generic Drive Township Moulton Lot Con.


PRODUCTION VOLUMES1 PRESSURE DATA TIME ON PRODUCTION Month Oil (m3) Gas (1000 m3) Condensate (m3) Water (m3) WHSIP2 (kPag) Shut-in Time (hrs.) Date WHSIP Taken Days

Jan 0 N/A N/A N/A 0 Feb 0 N/A N/A N/A 0 Mar 0 N/A N/A N/A 0 Apr 30 N/A N/A N/A 30 May 50 N/A N/A N/A 31 Jun 0 N/A N/A N/A 0 July 0 N/A N/A N/A 130 72 July 18, 2016 0 Aug 20 N/A N/A N/A 31 Sep 80 N/A N/A N/A 30 Oct 100 N/A N/A N/A 31 Nov 0 N/A N/A N/A 0 Dec 0 N/A N/A N/A 0 Total 280 N/A N/A N/A 153

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Form 8: Completed for Commingled Wells - Page 1 (continued)


Oil (m3)

Oil Value ($)

Gas (1000 m3)

Gas Value ($)

Condensate (m3)


Water (m3)

Total Value ($)

Type of Production


gas (1000 m3)

Licence Fee Rate

Licence Fee Payable

Used As Fuel 0 N/a 0 N/A 0 N/A Oil 280 $0.50 per m3 $140.00

Sales 280 $59, 360.00 0 N/a 0 N/A N/A $59, 360.00 Gas 0 $0.15 per 1000 m3

0

Disposal N/A N/A N/A N/A N/A N/A N/A N/A Condensate 0 $0.50 per m3 0

Sec. Recovery N/A N/A N/A N/A N/A N/A Total $140.00

Other

N/A N/A N/A N/A N/A N/A N/A N/a



Total


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Form 8: Example Completed for Commingled Wells – Page 2

Part D: Summary of Commingled Wells Page 2 of 2

Licence No.

Well Name


Field/Pool

Remarks

T000001 Oil Well #1 Moulton, B, IECC Bayham Pool T000002 Oil Well #2 Moulton, C, IECC Bayham Pool

The undersigned certifies that the above information is complete and accurate and he/she has the authority to bind the operator. Name (print) ______________________________________________ Signature _________________________________________ Date _____________________ Company _______________________________________________ Title __________________________________________________

This is the signature box for the Form 8 and must be signed.

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Form 3: Annual Well Status Report A Form 3 is used to report the status of a well at the end of the production/calendar year, any purchases, and/or sales of wells, and to calculate the annual well licence fee using the information collected on the Form 8s. All wells (with the exception of wells that were plugged the year previous to the current reporting year) must be listed on this form regardless of the production status. Use the current approved version of this form which can be found at the Oil, Gas and Salt Resources Library (OGSRL) website through the following links:

• http://www.ogsrlibrary.com/documents/FORM3.docx • http://www.ogsrlibrary.com/documents/FORM3.pdf • http://www.ogsrlibrary.com/documents/FORM3.xlsx

The Form 3 is an official document of the Ontario Government and must be used for the purpose of reporting monthly production.


http://www.ogsrlibrary.com/documents/FORM3.pdf


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Form 3: Annual Well Status Report – Page 1

Oil, Gas and Salt Resources Act ANNUAL WELL STATUS REPORT Page 1 of 2

For Year

Form 3 To the Minister of Natural Resources and Forestry v. 2017-01-30 Operator Name

Address

Tel. #

Fax. #

Please attach list in same format if more space is required. All unplugged wells must be reported and wells which were plugged, sold or purchased during the calendar year must be reported.

Well Name Township, Lot - Concession Licence Well Status – Typea Well Status – Modeb Status Change Date (dd/mm/yyyy)

Date Sold (dd/mm/yyyy)

Date Purchased (dd/mm/yyyy)

a Oil (OP), Natural Gas (GP), Oil and Gas (OPGP), Injection (INJ), Natural Gas Storage (NGS), Cavern Storage (LPG), Brine Disposal (BD), Observation (OBS), Salt-Solution Mining (SM), Brine (BW), Stratigraphic Test (STR), Dry Hole (DH), Oil Show (OS), Gas Show (GS), Oil and Gas Show (OSGS), Private Gas (PGP), Historical Oil (HOP), Licence (LIC) b Active (ACT), Suspended (SUS), Abandoned (ABD), Abandoned and Whipstocked (ABW), Capped/Shut-in (CAP), Potential (POT), Lost (Abandoned and Junked) (LOS), Not Drilled (NDR). See Official Well Status Definitions for proper usage.

For wells sold - Name of Purchaser: For wells purchased - Name of Seller:

This is where the version number is located

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Form 3: Annual Well Status Report – Page 2

Oil, Gas and Salt Resources Act Form 3 ANNUAL WELL LICENCE FEE CALCULATION For Year Page 2 of 2 OIL/GAS PRODUCING WELLS OTHER WELLS

Well Type Number of Producing Wells Number of SUS/

POT/CAPc Wells

Production

Production Fee Calculation $0.50 per m3 oil/condensate

$0.15 per 1000 m3 gas

Fee Payable (oil + gas + cond.)

Well Type Number of Wellsf

Annual Fee per

Well

Fee

Payable Oil (m3)

Natural Gas (1000 m3)

Condensate (m3)

Oil Well

oil min. $100d

Natural Gas Storage $250

gas

cond.

Observation $100

Natural Gas Well

gas min. $100e

Solution Mining $250

cond.

oil

Cavern Storage $250

Brine Well with production

of oil and/or gas

oil

Brine (producing only) $100

gas

Total

(1) $ (2) $


c Suspended (SUS), Potential (POT), Capped/Shut-in (CAP) f Includes active/suspended/potential/capped well(s) d $100 minimum if licensed to operate active (producing)/suspended/potential/capped oil well(s) e $100 minimum if licensed to operate active (producing)/suspended/potential/capped natural gas well(s)

(1) + (2) = $ (3) 13% HST (on 1 + 2) = $

TOTAL ENCLOSED (1)+(2)+(3) = $ Cheque must be payable to “Oil, Gas and Salt Resources Trust”, GST Registration # 873160097

The undersigned certifies that the above information is complete and accurate and he/she has authority to bind the operator. DATE: OPERATOR:

NAME (print):

SIGNATURE:

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Form 3: How to Complete Page 1

Oil, Gas and Salt Resources Act

ANNUAL WELL STATUS REPORT Page 1 of 2

For Year


Address

Tel. #

Fax. #





1. Operator Name: The name of the Operator of the well, as it is listed on the well licence. 2. Address: The physical address of the Operator’s main office. 3. Telephone: The phone number of the Operator. 4. Fax: The fax number of the Operator. 5. Well Name: The name of the well, as it is listed on the well licence. 6. Township, Lot - Concession: This is the geographic township, lot and concession the well is located in, not the location of the corporate or main office.

This information can be found on the well card for the well and/or the well licence. A well card can be acquired through the OGSR Library. 7. Licence: The licence number issued by the MNRF with regards to this well needs to be recorded in this field (ex: T000001 or 000001). 8. Well Status -Type: This field is used to describe what type of well it is. The terminology to be used is listed on the Form 3 under the table. 9. Well Status – Mode: This field is used to report the operating status of the well as of December 31st of that reporting year. The terminology to be used is

listed under this section.

1

5 7 6 9

4 2 3

8

| P a g e 23 V1.0-2017

Form 3: How to Complete Page 1 (continued) Oil, Gas and Salt Resources Act


For Year


Address

Tel. #

Fax. #







1. Status Change Date: If the status of a well has changed, the date the status changed must be listed in this field. Note: complete this form does not constitute a “Change of Status Notification” within the O. Reg. 245/97. The Operator is still obligated to notify the Minister within 15 days of a status change.

2. Date Sold: If a well is sold during the production year, the date it was officially sold must be entered into this field. Note: This does not preclude transferring the well licence which needs approval from the Minister.

3. Date Purchased: If a well is purchased during the production year, the date it was officially purchased must be entered into this field. 4. For Wells Sold – Name Of Purchaser: The name of the Operator the well was sold to must be entered here and it must be the name as it will appear on

the well licence issued to the new Operator. 5. For Wells Purchased – Name Of Seller: The name of the Operator that sold the well must be entered here and it must be the name as it appeared on the

well licence issued to the original Operator.

2 3 1

5

4

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Form 3: Example of a Completed Page 1 Oil, Gas and Salt Resources Act


For Year

Form 3 To the Minister of Natural Resources and Forestry v. 2017-01-30 Operator Name Company XYZ

Address 1234 Oil Derick Line

Tel. # (123) 456-0987

Fax. # (123) 456-0987





Oil Well #1

Moulton, B-IICC C

T000001

Oil (OP)

Active (ACT)

N/A /A

N/A N/A Oil Well #2

Chatham, 17, X

T000002

Oil and Gas (OPGP)

Active (ACT)

N/A

N/A N/A Gas Well #1

Chatham, 18-V

T000003

Gas (GP)

Suspended (SUS)

May 15, 2016

N/A N/A Gas Well #2

Chatham, 10-XI

T000004

Gas (GP)

Active (ACT)

N/A

N/A N/A Gas Well #6

Chatham, 15-X

T000005

Gas (GP)

Active (ACT)

N/A

N/A N/A Gas Well #7

Chatham, 17, -V

T000006

Gas (GP)

Suspended (SUS)

Dec 25, 2016

N/A N/A



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Form 3: How to Complete Page 2

Oil, Gas and Salt Resources Act Page 2 of 2 Form 3 ANNUAL WELL LICENCE FEE CALCULATION For Year

OIL/GAS PRODUCING WELLS OTHER WELLS

Well Type

Number of Producing

Wells Number of SUS/ POT/CAPc Wells

Production Production Fee Calculation

$0.50 per m3 oil/condensate $0.15 per 1000 m3 gas


Well Type

Number of Wellsf

Annual Fee

per Well

Fee

Payable

Oil (m3)


Condensate (m3)

Oil Well

oil min. $100d

Natural Gas Storage $250

gas

cond.

Observation $100

Natural Gas Well

gas

min. $100e

Solution Mining $250

cond.

oil

Cavern Storage $250


of oil and/or gas

oil

Brine (producing only) $100

1. Number of Producing Wells: For each type of well listed (except for Brine Well) list the number of active/producing wells operated as of Dec 31 for the

reporting year. 2. Number of SUS/POT/CAP Wells: For each type of well listed (except for Brine) list the number of SUS/POT/CAP wells operated as of December 31 for

the reporting year. 3. Production: For “Oil (m3)”, “Natural Gas (1000m3)” and “Condensate (m3) , use the total of the “Sales” and “Other” volumes found in Part B of Form 8 for

all wells being reported for that year. Do not include any volumes used onsite for “Fuel”. This volume is exempt from the annual well licence fee. Ensure all gas volumes are added and recorded in the “Natural Gas (1000m3)” field, all the oil volumes are added and recorded in the “Oil (m3)” field, and all the Condensate volumes are added and recorded in the “Condensate (m3)” field.

4. Production Fee Calculation: Use the volumes calculated and the multiplier listed in the field for the specific liquid (Oil, Gas, and Condensate) and enter the total in the correct field.

5. Fee Payable: Add the fields for each well type (Oil Well, Natural Gas Well or Brine Well) and record the totals in this field.

5 1 2 3 4

| P a g e 26 V1.0-2017

Form 3: How to Complete Page 2 (continued)

Total

(1) $

(2) $


c Suspended (SUS), Potential (POT), Capped/Shut-in (CAP) f Includes active/suspended/potential/capped well(s) d $100 minimum if licensed to operate active (producing)/suspended/potential/capped oil well(s)

e $100 minimum if licensed to operate active (producing)/suspended/potential/capped natural gas well(s)

(2) + (2) = $ (3) 13% HST (on 1 + 2) = $


The undersigned certifies that the above information is complete and accurate and he/she has authority to bind the operator.

DATE: OPERATOR:

NAME (print):

SIGNATURE:

1. Total: Add all “Fee Payable” totals and enter in this field.

1

| P a g e 27 V1.0-2017


OTHER WELLS

Well Type

Number of Wellsf

Annual Fee

per Well

Fee Payable

Natural Gas Storage 2 $250 $500

Observation 0 $100 $0

Solution Mining 0 $250 $0

Cavern Storage 1 $250 $250

Brine (producing only) 1 $100 $100

(2) $850 f Includes active/suspended/potential/capped well(s)

1. Number of Wells: For each type of well listed, enter the number of unplugged wells regardless of the status. This number will include any wells abandoned

at any point during the reporting year. 2. Fee Payable: This is calculated by multiplying the number of wells indicated by the “Annual Fee Per Well” multiplier for that type of well. See above

example (2 natural gas storage x $250.00 Annual Fee per Well = $500.00). 3. This is calculated by adding up the “Fee Payable” fields. See above example ($500.00 + $0 + $0 + $250 + $100 = $850).

1 2

3

| P a g e 28 V1.0-2017

Form 3: Example of a Completed Page 2

Oil, Gas and Salt Resources Act

Form 3 ANNUAL WELL LICENCE FEE CALCULATION For Year Page 2 of 2


Well Type

Number of Producing

Wells

Number of SUS/

POT/CAPc Wells

Production Production Fee

Calculation $0.50 per m3 oil/condensate

$0.15 per 1000 m3 gas


Well Type

Number of Wellsf

Annual Fee

per Well

Fee

Payable

Oil

(m3)


Condensate (m3)

Oil Well 2 5000 5 5

$2500.00

oil

$2500.75 min. $100d


$0.75 gas

cond.


Natural Gas Well 2 2 200 200

$30.00 gas

$100.00 min. $100e


cond.

oil



of oil and/or gas

oil


gas

Total 4 2 500 205

(1)$2600.75 (2)

$850.00




| P a g e 29 V1.0-2017


(1) + (2) =$ (3) 13% HST (on 1 + 2) = $



DATE: OPERATOR:

NAME (print):

SIGNATURE:

1. (1)+(2)=: Take the total from “(1)” and add it to the total from “(2)” and enter the total in this field. Note: there is a minimum $100.00 fee for an Operator. If the

total is <$100.00, the minimum of $100.00 must be entered. 2. 3) 13% HST (on 1+2)= : Multiply the total of “(1)”and “(2)” by 13% and put this total here. 3. Total Enclosed (1)+(2)+(3)=: Add the two above totals and put this value here. 4. Date: Put the date the form is completed in this field. 5. Operator: The name of the Operator, as it is found on the licence(s) of the well(s). 6. Name (print): A person with signing authority must print their name in this field. 7. Signature: A person with signing authority must sign the form. Note: that even if the forms are filled out on your behalf, the person signing, assumes all

responsibility that the forms were filled out correctly.

1 2

4 5

3

6 7

| P a g e 30 V1.0-2017

Form 3: Example of a Completed Page 2

Oil, Gas and Salt Resources Act Page 2 of 2 Form 3 ANNUAL WELL LICENCE FEE CALCULATION For Year


Well Type

Number of Producing

Wells Number of SUS/ POT/CAPc Wells

Production Production Fee

Calculation $0.50 per m3 oil/condensate

$0.15 per 1000 m3 gas


Well Type

Number of Wellsf

Annual Fee

per Well

Fee

Payable

Oil (m3)


Condensate (m3)

Oil Well 2 5000 5

$2500.00

oil

min. $100d


$0.75 gas

cond.


Natural Gas Well 2 2 200

$30.00 gas

min. $100e


cond.

oil



of oil and/or gas

oil


gas

| P a g e 31 V1.0-2017

Form 3: Example of a Completed Page 2 (continued)

Total 4 2 5000 205

(1) $2600.75

(2)

$850.00




(3) + (2) =$ 2530.75 (3) 13% HST (on 1 + 2) = $ 329.00

TOTAL ENCLOSED (1)+(2)+(3) = $ 2859.75 Cheque must be payable to “Oil, Gas and Salt Resources Trust”, GST Registration # 873160097


DATE: Feb 14, 2017 OPERATOR:

NAME (print): Company XYZ

SIGNATURE:

| P a g e 32 V1.0-2017

Annual Production Forms If you have any questions or concerns with how to complete your Form 3 and Form 8 correctly, please contact our office and ask to speak to the Records Officer at (519) 873-4634 or at [email protected].

A Guide to Completing the Annual Well Status (Form 3) and Annual Production … · 2018-01-10 ·...

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