ENERGY

Petroleum Plaza - North Tower
9945 - 108 Street
Edmonton, Alberta
Canada T5K 2G6

May 14, 2004

INFORMATION LETTER 2004-11

SUBJECT: INTERIM RENTAL WAIVERS FOR P & NG AGREEMENTS WITHIN
EUB APPLICATION AREA

This Information Letter replaces IL 2003-28 and applies to P & NG agreements acquired
prior to December 11, 1996, that have had a well or wells shut-in by the EUB pursuant
to the Chard-Leismer Decision (Decision Report 2003-023) or General Bulletin 2003-
028 and subsequent decisions related to General Bulletin 2003-28. Refer to Schedule
A of Interim Shut-In order 03-001 on the EUB’s website at:
http://www.eub.gov.ab.ca/bbs/documents/submissions/BitumenGas/Exemptions.xls

This Information Letter does not apply to agreements where all wells have been
exempted from the shut-in orders or to agreements in the Surmont area, which are
subject to the Surmont Agreement.


Rental Waiver

Effective May 1, 2004, the Department of Energy will accept applications for a one-year
rental waiver, under Section 8(1)(d) of the Mines and Minerals Act. P & NG
agreements with an anniversary date of May 1, 2004 to April 30, 2005 (Decision Report
2003-023) or those agreements with an anniversary date of August 31, 2005 or earlier
(General Bulletin 2003-028) are eligible, subject to the following:

1. The agreement was issued prior to December 11, 1996, or originated from a P&NG
Licence issued prior to that date; and,
2. Well(s) drilled on the agreement have been shut-in by the EUB pursuant to the
Decision Report or General Bulletin.

The rental waiver will apply to the entire agreement for the full year and will be
granted at its anniversary (rental due) date.

…2

Applying for the Rental Waiver

If you qualify for the rental waiver, please submit your request along with:

1. Statement indicating if the application qualifies under Decision Report 2003-023
or General Bulletin 2003-028;
2. List of shut-in well(s) and affected agreements;
3. Date the agreement was issued; and a
4. Statement identifying if you are a monthly statement client.

to:
Grace Matias
Manager, Licence & Lease Continuation
Alberta Department of Energy
9945 –108 Street
Edmonton, Alberta
T5K 2G6

The Department of Energy will refund agreement rentals for qualifying agreements,
which have already been paid for the upcoming 2004/05 rental period.

For those agreements where the anniversary (rental due) date has not occurred, the
rental charge will be suppressed and the charge will not appear on your Monthly
Statement or invoice.

For further information please contact:

Audrey Murray, Director

or

Grace Matias, Manager
P & NG Tenure Operations


Licence & Lease Continuation
Telephone: (780) 422-9435


Telephone: (780) 422-9395











Don Keech






Assistant Deputy Minister






Alberta Department of Energy
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