OIL AND GAS LEGISLATION BEING UPDATED

The government is making changes to its oil and gas legislation to keep pace with the new services it is providing to the oil and gas industry.

Energy and Resources Minister Bill Boyd today moved Second Reading of The Oil and Gas Conservation Amendment Act, 2010 and The Freehold Oil and Gas Production Tax Act, 2010. The legislation, in one case an amended Act and in the other, a replacement Act, is necessary as the government moves to better communicate with industry clients through electronic means.

"The spirit of the legislation is the same as that of the previous Acts," Boyd said. "But the small changes that are being implemented provide the authority for us to continue updating the information, data collection and billing systems we use in dealing with industry."

The minister noted that the government is modernizing 20-year-old systems through its Process Renewal and Infrastructure Management Enhancements, or PRIME project. A key component of that project is Saskatchewan's participation in the Petroleum Registry of Alberta, a web-enabled, interactive database widely accepted by the oil and gas industry.

Amendments under The Oil and Gas Conservation Amendment Act, 2010 will expand the authority to license, approve and permit the drilling and operation of wells and other facilities, as well as streamline legislative requirements related to the issuance of licences, approvals and permits.

Changes under The Freehold Oil and Gas Production Tax Act, 2010 will enable efficiencies in the taxation system, allowing for more timely payment by industry of taxes.

"We consulted with the industry on these legislative changes and it was supportive of them," Boyd said. "The new legislation is in line with the reality of an oil and gas industry that is increasingly looking for information and data entry access anytime and anywhere."

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For more information, contact:

Bob Ellis
Energy and Resources
Regina
Phone: 306-787-1691
Email: robert.ellis@gov.sk.ca