The Benefits of Oil & Gas Activities

Most public discussions on resource development benefits center on the potential for brand spanking new jobs. Job creation could also be limited counting on the size. Duration, and nature of the resource development project and can only grow as development within the natural resources sector grows.

Economic benefits also are available in the shape of rental of oil and gas rights, benefits agreements. Exploration expenditures, and production royalties. The government also benefits by advancing our knowledge of the resource through. Science and innovation. Research and resulting adapted operations practices

demonstrate the advantage of science and innovation. The knowledge gained helps to form better-informed decisions.

Oil & Gas Rights for Rent

Under Yukon’s Oil and Gas Act and Disposition Regulations, the proper to look for and develop resources in Yukon is obtained through a rights disposition process. Companies who obtain these rights must make a piece bid deposit. If the exploration results in the production of oil or gas.

The Benefits

Oil & Gas ActivitiesBenefits agreements are a requirement as well as under the Oil and Gas Act to make sure Yukoners and communities enjoy oil and gas development projects. The corporate must enter into a benefits agreement with the Yukon government and affected. First Nations as well as who would really like to participate. A benefits agreement commits a corporation to supply training, employment and therefore the supply of products and services opportunities for Yukoners and First Nation citizens. The character, scale, duration, and price of the activity affect the extent of advantages.

About 20 percent of the entire expenditure, or quite $16 million, visited Yukon citizens and/or businesses. In total, Northern Cross (Yukon) used the services of 87 Yukon businesses as well as in its exploration-drilling program. Figure 1 below summarizes the worth of employment and goods and services purchased through Yukon-based companies for this program.

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