Thursday, September 27, 2007

Calling For Hike In Oil Sands Royalties

"A government-appointed panel reviewing Alberta's energy royalties called Tuesday for the oil-rich Canadian province to increase its total take from the energy industry by 20 percent a year, or roughly $2 billion Canadian (US $1.97 billion; €1.42 billion)."

How will this affect the Albertan Economy?

1. Albertan will see more more of the Oil Sands revenue in infrastructure and perhaps more rebate cheques.

2. Oil companies worry that rising royalties may slow or hinder production.

With the oil prices rising and Alberta's 175 Billion barrels of oil, second only to Saudi Arabia, many companies will pay the royalties to participate in what may be the biggest economic boom of the century.


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