tag:blogger.com,1999:blog-31415271.post9029267086262460671..comments2023-09-22T06:22:50.820-06:00Comments on Ken Chapman: EnCana Cash Flow up 55% to over $2.5B at June 2007kenchapmanhttp://www.blogger.com/profile/11384045981190810115noreply@blogger.comBlogger4125tag:blogger.com,1999:blog-31415271.post-26130551710476551542007-09-29T16:19:00.000-06:002007-09-29T16:19:00.000-06:00Anon @ 3:58 - actually the Our Fair Share Report s...Anon @ 3:58 - actually the Our Fair Share Report says reduce the royalty on such low producing wells...doesn't it? <BR/><BR/>Explain the deep well innovation please. Do they improve well productivity by reducing costs and incresing outpuyt and enhance the environment? Those are the important innovations.<BR/><BR/>OSST is a gross wellhead tax. Nothing to do with royalities. It only kicks in at $40 oil It is 1% escalating tax that maxes out at 9% when oil hits $120. <BR/><BR/>As a citizen who owns the resource I am prepared to share the risk of volatile prices with a producer. I expect to also share in the rewards of volatile comodity prices.<BR/><BR/>You got a problem with that? Go to the real Venezuela.kenchapmanhttps://www.blogger.com/profile/11384045981190810115noreply@blogger.comtag:blogger.com,1999:blog-31415271.post-92210016291580691102007-09-29T15:58:00.000-06:002007-09-29T15:58:00.000-06:00So you are saying that Alberta as a matter of fisc...So you are saying that Alberta as a matter of fiscal policy should discourage high cost, deep gas drilling in a mature WCSB by increasing the royalty take. On the other hand, cheap, low productivity wells should be encouraged.<BR/><BR/>I assume you are aware that deep gas drilling encourages innovation and value added within the natural gas sector. That's the wave of the future in the natural gas sector whether you realize it or not.<BR/><BR/>What is your opinion on the OSST? It is tax on gross revenues, not profit.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-31415271.post-25910500707031178902007-09-29T13:38:00.000-06:002007-09-29T13:38:00.000-06:00If we are talking gas, and I presume we are, if th...If we are talking gas, and I presume we are, if the market price is uneconomic, the drilling costs are out of line, the exchange rate is a barrier and the exploration risks are too high...the prudent business decision is leave it in the damn ground until it makes sound business, as well as environmental and societal sense.<BR/><BR/>Let the market decide. Remember royalties are only on profits so therefore I as an Albertan owner of the resource don't want unprofitable enterprises in the energy sector.kenchapmanhttps://www.blogger.com/profile/11384045981190810115noreply@blogger.comtag:blogger.com,1999:blog-31415271.post-64254802090146730492007-09-29T13:21:00.000-06:002007-09-29T13:21:00.000-06:00I guess as over the top as "leave it in the damn g...I guess as over the top as "leave it in the damn ground" as uttered by Alberta energy czar Bill HunterAnonymousnoreply@blogger.com