Marketing Crown royalties

The Alberta Petroleum Marketing Commission (APMC) is responsible for the collection of in-kind resources, marketing and valuation of the Crown’s conventional crude oil royalties, as well as setting and publishing the calendars, pricing and notifications.

APMC is also responsible for maximizing the value from marketing and managing the Crown Conventional oil Royalty In Kind (CORIK) barrels since April 1, 2021 (after agent agreement termination).

APMC ships CORIK barrels on all systems under the shipper code 0PMC (the Shell shipper code A6JG has been disabled effective March 31, 2021). A portion of the CORIK barrels will be sold at the lease level and will need to be forecast and split accordingl​y. Please refer to the Pipeline Allocation List as it outlines the shipper of record for each pipeline. Reminder: lease barrels are not shipped by 0PMC but must be split to 0PMC.

Notice to operators:

Each month the Alberta general revenue account gets the net revenue from crude oil sales.

Net revenue includes:

  • total sales less purchases and costs

Purchases could include diluent to blending heavy oil for easier transportation. Other costs could include pipeline or transport fees. Field prices, used for transacting over and under delivered volumes, are determined for every Crown battery in the province.

Natural gas and natural gas liquids and most bitumen royalties are paid in cash (the only exception is oil sands operators participating in the Bitumen Royalty-In-Kind (BRIK) policy (which is also implemented by the APMC).

Alberta has determined this system will continue, and APMC will acquire volumes it needs by contracting directly with suppliers at market prices and paying for these volumes with cash.

Diluted bitumen is required for processing at the Sturgeon refinery.

Pipeline allocation lists

The pipeline allocation list indicates where the Crown volumes are being managed. It is the responsibility of the battery operator to deliver the Crown’s Royalty oil and report the volumes.

Additional information like the industry reporting calendar can be found in Oil reporting and forms.

Pipeline allocation letters and list

Pipeline operator reporting

Since August of 2016, pipeline operators have been required to report through Petrinex. Contact Petrinex for account access and submission directions.

Petrinex resources

Petrinex is a petroleum information tool for industry serving Alberta, Saskatchewan, British Columbia and Manitoba. It has public information and an extranet for reporting.

Petrinex contact information and website

Hours: 8:15 am to 4:30 pm (open Monday to Friday, closed statutory holidays)
Phone: 403-297-6111 (Calgary)
Toll free: 1-800-992-1144
Fax: 403-297-3665
Email:[email protected]

Website: Petrinex

Pricing

The APMC determines a number of prices and allowances used in the calculation of the royalty volume and valuation. It sets the oil par price and Alberta Natural Gas Reference Price, which are posted monthly and include the following additional prices:

  • Natural Gas Liquids Reference Price
  • Sulphur Corporate Average Price
  • Sulphur Default Price

Additional information can be found in the Natural gas reporting calendars.

Market access

APMC is responsible for exploring new opportunities to building new markets for oil and gas products within North America and globally. APMC is also improving access to current and new markets for oil sands products, and vetting proposals coming into government in these areas.

APMC engages with industry proponents who are seeking greater government understanding or commercial involvement in their proposals. Conversations have included:

  • Transportation infrastructure
  • Pipeline development
  • Rail origination terminals
  • Rail export terminals
  • Dock and storage facilities

Enhancing value

APMC explores and develops new value-added opportunities. Alberta’s oil sands, natural gas and natural gas liquids are some of the resources targeted for higher value products.

In July 2021, the processing agreement was extended another decade and Alberta took a 50% stake in the refinery, learn how taxpayers will get a better deal.

APMC engages with industry proponents to understand, assess and vet proposals coming to government. Conversations have included:

  • partial upgrading
  • upgrading
  • refining
  • petrochemical projects

The commercial arrangement with the North West Redwater Partnership (NWRP) Sturgeon Refinery Project supported the building of the first refinery built in Canada in over 35 years. It added value to Alberta by:

  • securing taxes, provincial and property taxes are an estimated $100 million annually
  • minimizing environmental impacts by  being the only refinery in Canada to be designed with a carbon capture solution
  • employing Albertans, construction began in 2013, at peak construction, over 8,500 workers were on site daily, thousands of other jobs were added in engineering firms and fabrication shops
  • upgrading bitumen resources to higher value products, since Phase 1 in 2017, the refinery has been processing approximately 79,000 barrels per day of diluted bitumen from Alberta’s oil sands into much higher value products. This includes low-carbon ultra-low sulphur diesel, vacuum gas oil, diluent, and natural gas liquids.
  • planning for the future, additional phases will create the opportunity to maximize production of lower carbon fuels to support new employment and explore opportunities for product synergies and downstream petrochemical development with other industrial facilities

Contact

Connect with the Alberta Petroleum Marketing Commission:

Hours: 8:15 am to 4:30 pm (open Monday to Friday, closed statutory holidays)
Phone: 403-297-5514
Toll free: 310-0000 before the phone number (in Alberta)
Fax: 403-297-5400
Email: [email protected]

Address:
Alberta Petroleum Marketing Commission
Centennial Place, West Tower
Room 250, 5 Street SW
Calgary, Alberta T2P 0R4

Contact

Chief Executive Officer
Alberta Petroleum Marketing Commission

Toll free: 310-0000

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