|
Oil and Gas in British Columbia
The Government of British Columbia is committed to promoting the
development and exploration of resources in all regions of the province.
Petroleum industry activities are vital to the provincial economy,
generating significant economic wealth each year and employing thousands
of British Columbians.
In 2006, 1416 wells were drilled in British Columbia. Total Crown
revenue collected from oil and gas royalties, sales of gas rights, fees
and rentals was $2.14 billion. Production of natural gas was 1.16 Tcf -
the same high level as 2005. The sales value of oil and gas production
was $7 billion. Industry investment was $6.1 billion.
Investing in British Columbia
Under
the leadership of Premier Gordon Campbell, over the past several years
the Province has taken steps to make investing in oil and gas more
efficient and cost effective. BC has: cut corporate income
taxes to 13.5%; eliminated the Corporate Capital Tax; eliminated the
sales tax on production machinery and equipment for the oil and gas
sector; and introduced the Oil and Gas Development Strategy for the
Heartlands (OGDS) including:
-
Roads:
Promoting better access to resources through Public Private Partnerships,
royalty credits and direct government investment
-
Service
Sector Strategy: Supporting business growth through a marketing
strategy and skills development. $500,000 in skills development
funding from government has been matched by industry.
-
Royalties:
Targeted royalties focused on drilling deep, marginal and summer wells;
and unconventional and new basins.
BC is also working to make more information available about BC's
resources through resource assessments pertaining to shale, shallow,
tight, deep and coalbed gas; and interior basins.
Coalbed Gas
The Provincial government is facilitating the
development of coalbed gas (CBG) throughout the province. New
legislation creates greater certainty for CBG ownership; a new coalbed
gas royalty will address the unique economic characteristics of
developing coalbed gas resources; and environmental and community
information projects are ongoing.
Last Updated:
May 08, 2008
|
