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The Magazine of the Canadian Association of Petroleum Landmen June 2008 THE NEGOTIATOR Look What’s Surfaced Rising Commodity Prices and Challenges to Land Acquisition in Alberta CAPL Celebrates 60 Years Ned Gilbert – The “Original” Landman Production Allocation Unit Agreements The Single Well Unit 2008 CAPL CONFERENCE

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Page 1: NEGOTIATOR - Canadian Association Of Petroleum … · in part or in full without the consent of ... of Petroleum Landmen NEGOTIATOR Features June 2008 2 2008 CAPL ... Soothing music

The Magazine of the Canadian Association of Petroleum Landmen

June 2008

THE NEGOTIATOR

Look What’s SurfacedRisingCommodityPricesand

ChallengestoLandAcquisitioninAlberta

CAPL Celebrates 60 Years NedGilbert–

The“Original”Landman

Production Allocation Unit AgreementsTheSingleWellUnit

2008 CAPLCONFERENCE

Page 2: NEGOTIATOR - Canadian Association Of Petroleum … · in part or in full without the consent of ... of Petroleum Landmen NEGOTIATOR Features June 2008 2 2008 CAPL ... Soothing music

MONTRÉAL OTTAWA TORONTO CALGARY VANCOUVER NEW YORK CHICAGO LONDON BEIJING blakes.com

Cultivating a growing business in a sustainable environment.

Blakes offers a wealth of first hand industry knowledge and established expertise in M&A, joint ventures, projects, operational issues and regulatory and environmental matters, which allows us to efficiently and effectively assist our clients in achieving optimal success.

When you are ready for legal advisers that can help foster the growth of your business, sign on with Blakes.

Blake, Cassels & Graydon LLP

Blakes has been ranked as a leading oil and gas law firm since 2003 and is "praised by clients for being an 'honest and solution-oriented business team'.” Chambers Global: The World's Leading Lawyers for Business 2008

For three consecutive years, Blakes has been "recommended" in the area of energy law. PLC Which Lawyer? Yearbook 2008

Two Blakes lawyers listed in the area of natural resources law. The Best Lawyers in Canada 2008

"Consistently recommended" oil and gas practice since 2002. The Canadian Legal Lexpert Directory 2007

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Senior Editorial BoardDirector of Communications

Sue Klassen [ph] 503-8651Advertising Editors

Clark Drader [ph] 537-1771Bradley Campbell [ph] 724-5136

Coordinating EditorTom Hunter [ph] 517-6822

Feature Content EditorCandace Kendrick [ph] 260-4796

Regular Content EditorMarah Graham [ph] 386-6517

Social Content EditorPaul Cooper [ph] 237-1229

Editorial CommitteeKellie D’Hondt [ph] 920-9479Mary Grant [ph] 645-3932Jennifer Ho [ph] 296-3054Mark Horne [ph] 589-5033Mark Innes [ph] 818-7561Claire Jenkins [ph] 269-6343John Knox [ph] 645-5613Nielsen Rand [ph] 806-2985Joe Swift [ph] 542-6789

Design and ProductionRachel Hershfield, Folio Publication Design

PrintingMcAra Printing

SubmissionsFor information regarding submission of articles, please contact a member of our Senior Editorial Board.

DisclaimerAll articles printed under an author’s name represent the views of the author; publication neither implies approval of the opinions expressed, nor accuracy of the facts stated.

AdvertisingFor information, please contact Clark Drader (537-1771) or Bradley Campbell (724-5136). No endorsement or sponsor-ship by the Canadian Association of Petroleum Landmen is suggested or implied.

The contents of this publication may not be reproduced either in part or in full without the consent of the publisher.

2008–2009 CAPL Board of DirectorsPresident

Robert Telford, P.Land [ph] 403-503-5265Vice-President

Ken Gummo, P.Land [ph] 403-296-6044Director, Business Development

Frank Terner, P.Land [ph] 403-691-3056Director, Communications

Sue Klassen [ph] 403-503-8651Director, Education

Len Moriarity, P.Land [ph] 403-237-1448Director, Field Management

Noel Millions [ph] 403-645-2728Director, Finance

Dalton Dalik, P.Land [ph] 403-290-3669Director, Member Services

Margaret Ariss [ph] 403-539-1107Director, Professionalism

Robyn Van den Bon, P.Land [ph] 403-503-5276Director, Public Relations

Robin Thorsen [ph] 403-509-8182Director, Technology

Jason Tweten [ph] 780-462-4486Secretary/Director, Social

James Condon, P.Land [ph] 403-215-8614Past President

Cindy Rutherford, P.Land [ph] 403-539-1777

Suite 350, 500 – 5 Avenue S.W. Calgary, Alberta T2P 3L5 [ph] 403-237-6635 [fax] 403-263-1620www.landman.ca

Betty Cousins [email protected] Grieve [email protected] Irene Krickhan [email protected] Steers [email protected]

Also in this issue

10 2008CAPLSquashTournament

10 Retirements

11 2008CAPLGolfTournament

14 31stAnnualCAPLTrapShoot

21 InMemoriam

22 200810kRoadRaceandFunRun

22 JuniorLandmanClassic

23 2008CAPLPresident’sSpringBall

24 UtilityCorridors

26 CAPLMemberProfile

THE NEGOTIATORThe Magazine of the Canadian Association

of Petroleum Landmen THE NEGOTIATOR

Features June 2008

2 2008 CAPL Conference Chris Bartole

4 Ned Gilbert – The “Original” Landman Suzanne Stahl

9 Rising Commodity Prices and Challenges to Land Acquisition in Alberta

Zeke Reimers

12 Production Allocation Unit Agreements Paul Negenman

InEveryIssue15 MessagefromtheExecutive

17 GetSmart

19 RosterUpdates

28 CAPLCalendarofEvents

28 JuneMeeting

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One Of the West COast’s mOst pOpu-lar destinatiOns, the riChness Of its Culture and diversity Of its surrOundings offers visitors to Victoria a

trulyuniquerangeofpursuitstopartakein,espe-

ciallyforusprairiedwellers.Thisyear’sConference

offers delegates and guests the best thatVictoria

hastooffer,withadozenseasideandmountain-

sideactivitiestochoosefrom,alongwithevening

eventsguaranteedtobelegendary.

WiththeFairmontEmpress literallyacrossthe

street from Victoria’s Inner Harbour and in close

proximitytomoresecludedoceanquays,youwon’t

have to go far to participate in seaside activities

suchassailing,S.C.U.B.A.divingandseakayaking.

The mountainside activities will be centered

around stunning Bear Mountain Village and the

Jack Nicklaus co-designed Bear Mountain golf

course.Baskinbreathtakingmountainviewswhile

youandyourRyderCuppartnerteeoffononeof

themanychallengingholes.Thosethatgetcaught

up in themusicofcritically-acclaimed ’80scover

band Broken Toyz on Monday evening will be

happytoknowthatthebusforgolfdoesn’tdepart

2008CAPLConference

Written By

CHRIS BARTOLE2008 Capl COnferenCe aCtivities Chairman

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200, 6001 - 1A Street SW, Calgary AB T2H 0G5 free 1-866-432-8555 fax 252-7145

444-5700

Official CAPL insurance broker for over 18 years

preferred ratesspecial discountsfree offers

underwritten by:

for CAPL members

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until 8:00AM! Not interested in golf? Enjoy the same mountain

vistas from the private terrace of Santé Spa at theWestin Bear

Mountainbetweentreatmentswhilefriendsfinishtheirround.

For those looking to maximize their educational exposure

at the Conference, look no further than the Leadership and

Strategic Planning Seminar. The first educational activity to be

offeredontheTuesdayoftheConference,thisseminar–custom

designedspecificallyforLandmenbytheUVicFacultyofBusiness

– compliments our Leadership theme and is relevant for Land

managementprofessionalsofallranksanddisciplines.Butdon’t

get caught indoors all day; sign up for an afternoon activity as

wellandheadseawardwiththeWhaleWatchinggrouportoBear

MountainforthePanacheCookingExperience!

Ifyou’dratherexplorethebeautyoftheinteriorofVancouver

Island(alongwithsomeofitsbest-keptsecrets),besuretoconsider

hiking,theCulinaryTourortheCowichanValleyBicycleTour.

AlsonewtotheVictoriaConferencearetwoorganizedwind-

upeventstobeheldpost-activitiesonTuesdayafternoon;oneat

the world-famous StickyWicket Pub for participants of seaside

activities and one at Jack’s Place (in Bear MountainVillage) for

participants of mountainside activities. Organized to provide an

additionalnetworkingopportunityfordelegatesandguests,relax

with participants of other activities and listen to tales of who

came the closest to a hole-in-one and who caught the biggest

salmonorhalibutontheSportFishingtrip.

We’ve been reassured by

many of the Victoria locals

that weather in the region

is absolutely fabulous in

September, so register early

anddon’tgetleftbehind!

For evening events, your

experience begins Sunday

nightasyoumingleunderthe

stars within the manicured

RoseGardenoftheFairmontEmpressattheWelcomingReception.

Soothingmusicanddimlightingcomplimenttheeleganceofthis

uniquelocationandsetthestageforthe2008Conference.

Have you always, secretly of course, wanted to dress up like

JonBon Jovi (circa1986)orDavidHasselhoff fromKnightRider?

Perhapsyou’relookingforanexcusetowearyourSwatchwatch,

Conversehi-topsandChip&Peppert-shirtagain?Ifso,our“Back

tothe80s”MondaynightThemeNightisforyou!

Thisyear’sConferenceconcludesinvintagestyle,withavisit

to the Coconut Grove Club! Join us for an evening of cocktails,

greatfood,entertainment,musicanddancing–allwithinanight-

clubthatscreamsHollywoodglamour!

Onbehalfofmyselfandtheentirehard-workingActivities&

EventsCommittee,welookforwardtoseeingyouinVictoria!m

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as part Of the CeleBratiOn Of Capl’s 60th anniversary, it is an apprOpri-ate time tO hOnOur, refleCt On and respeCt sOme Of the peOple and events that have influenCed and COntriButed tO Our histOry. One of

themost timelyand interestingstories is thatof

NedGilbert,whohappenstobethelongeststand-

ingmemberofCAPL,andwasoneoftheoriginal

eight participants who sat down at the very first

meeting of the founding association, the Alberta

Landmen’sAssociation,formedinMay1948.

Ned’s career in the Canadian oilpatch has

spanned over 60 years. Ned became a Canadian

citizenin1967,andtoday,attheyoungageof85,is

still registeredasaprofessionalengineer,profes-

sional geologist, and professional landman and

residesinCalgarywithhiswifeEvelyn.

CareerE.E.(Ned)GilbertwasborninMadison,Wisconsin.

In 1941, Ned tried to enlist in the US Air Force

but he was turned down because of his height

(6'5")! In 1944, while attending the University of

NedGilbert–The“Original”Landman

Written By

SUzANNE STAHLpuBliC relatiOns COmmittee

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Wisconsin, he was drafted, but at the time had just recovered

fromtwoboutsofpneumoniaandwasconsideredtoounhealthy

for enlistment.The chairman of his faculty then decided that

Nedshouldgetajobeventhoughhewasn’tfinishedhisdegree.

He applied to both California Standard and Sun Oil, and was

offered a job by both companies. Ned accepted Sun Oil’s offer

and was immediately sent to Amherst, N.S. for a summer of

field work, then was transferred to Evansville, Indiana to learn

wellsitegeology.

NedwasthensenttoCalgarywherehearrivedonJanuary5,

1945.Overthecourseofthatwinter,Sunacquired250,000acres

nearBrooksandaseismiccrewwassenttoCanadainthespring

of1945.TheseismiccrewandNed’sbossstayedinCanadauntil

thefallof1945whentheyallleftforwarmerclimates.Nedwas

leftbehindandbecamethesoleemployeeinCanada.Hishome

and office was a room at the Palliser Hotel. Ned was 23 and

recallsthosetimesasbeingsomeofthemostenjoyablehecan

recollect.Hethoughtitwasgreatfuntodevelophisowngeologi-

cal prospects, draft the maps, type the reports and mail them

to Sun’s head office in Philadelphia. After his prospects were

approved,heproceededtogetthelandbysimplyfilingrequests

withtheGovernmentortheCPR.Bythespringof1946,Nedhad

acquiredonemillionacresinAlbertaandalittleoveramillion

inSaskatchewanforSun,whicheventuallyledtothediscoveries

oftheConsort,Bulwark,Sibbald,andCoronationgasfields.

“Basicallytherewashardlyanyoneheretostart.Inmyown

case,Istartedwithacompanythathadover27,000employees.

But in Calgary it was me. I did my own geology, my own land

work, my own typing and I got the project off to head office.

Once I got the approval, I got the land then I started to get it

drilled.All by myself. So a landman and a geologist were one

andsamesometimes”.

Leasing opportunities seemed endless. Ned tells of the abil-

itytopickuphalfamillionacresfromtheCPRortheCrownin

a single afternoon.“The map was blank. One day we picked up

1,362,359acresjustbyfightingatitwiththeAlbertagovernment.

Ittookseveralofustodoitbecauseeachoneofuscouldonlytake

out100,000acres.”

Nedremembersthecostofhisfirstsurfaceleaseat35cents

which he leased from a shepherd out on the prairies.When he

thinksbacktooilpricesofaround$1.87abarrelandthepriceof

gasaround$0.10permcfGilbertlaughs:“IfIhadknownthatgas

pricesweregoing tohit$10.00 (permcf) in2001, I surelywould

havemortgaged,ifnotmysoul,thenanythingIcould.”

Sun sent Ned to Canada to source out opportunities for

Sun Oil of Pennsylvania, a company of 27,000 employees and

was told to find oil, but all Ned found was gas. “Every time

Igotanothergaswell,thebosswouldcallmeinandsay,‘Findme

anoilwell.’”

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Inlate1946,NedreturnedtotheUniversityofWisconsinand

completed a B.Sc. degree in Geology. He returned to Calgary in

May1947.By1948,Ned’sCanadianOfficestaffhadbecomelarge

enoughthatSunOildecidedthatatage26hewastooyoungto

be responsible for the entire Canadian operation, so they sent

Mr.GeorgeDunlapfromTexastoruntheoperation.Nedwasgiven

the opportunity to become Manager of either Geology or Land.

NedchoseLandandstayedwithSunOiluntil1972.

Oil sands and arctic frontier visionarySunOildevelopedandmadepossiblethefirstoilsandsprojectin

Canada.WithNed’sbroadexposuretomostaspectsoftheexplo-

rationbusinesshehasbeenabletoforeseeopportunitieswhere

many,withmorespecificknowledge,couldnot.

Imperial may have beat Sun Oil to the first big oil discov-

ery at Leduc in 1947, but Sun Oil was looking at the bigger

picture. Even in the 1940s, Sun Oil chairman, J. Howard Pew,

was concerned about the eventual decline of conventional oil

production intheUS,sohesentanenvoytoCanadatocheck

intotheoilsands.In1948Nedrecommendedacore-holedrilling

programtotesttheoilsandsinAlberta.Theinitialresultswere

poor,andin1951thecompanydecidedtodroptheirCanadian

land holdings, though Ned argued for staying the course. Sun

Oil, influenced by the passion and belief in the potential for

the Canadian oilsands that Ned Gilbert would not relinquish,

has today, turned out to be one of the greatest profit centres

forSuncor,butnotwithoutalotofanguishwhenoilwas$4.00

perbarrel.

“Asearlyas1944,MrJ.HowardPew(ChairmanoftheBoardof

Directors of Sun Oil), was interested in theAlberta tar sands and

Iunderstandthatheactuallyvisitedthem.”WhenNedwasstationed

inCalgaryin1945/46,NedfrequentlymetwithDr.KarlClarkathis

laboratoriesinEdmonton.“Oneday,Ireceivedarequestfromone

oftheSunOilresearchlaboratoriestoshipthemarailroadcarload

oftarsands.AfterIexplainedtothemthedifficultyofsuchalarge

quantity (there was no access by rail or even road at that time),

the lab said they would get along with a barrel or two.” Dr. Karl

ClarkgraciouslygaveNed25barrelsthatwereinthestorageyard

in Edmonton. However, it turned out that they had sunk into the

groundandwerenearlyburied.Theywereeventuallydugupand

shippedbytruck.In1948,NedobtainedSunOil’sfirsttwoTarSands

permits adjacent to Dr. Clark’s lab at Bitumount. Ned also picked

up additional land for Sun Oil, including the current GCOS plant

siteandtwoofthepropertiesarenowcalledFirebag.Firebagwas

initially called “Gilbert’s Folly” because it was believed that there

wouldbenobitumen.

Ned’s thought of J. Howard Pew is that he is one of the

ultimate oil sands visionaries as he recognized the potential

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of the oil sands and its importance to the development of the

NorthAmerican economy. Ned once presented a report to him

in Philadelphia along with Mr. George Dunlap with the recom-

mendation tobuild theGCOS (GreatCanadianOilSands)plant.

Mr.PewtookthemtotheSunOilCompanyBoardRoomandhad

Ned and George sit at the edges to provide help if requested.

HerecallshimsayingtotheBoard“Gentlemen,eitheryouapprove

thisprojector Iwillhandle itmyself.” (At that timehewasthe

seventhrichestmanintheUSAandhisbrotherJNwaseighth).

Mr.Pew’sconfidenceintheoilsandsresultedinSunOilinvesting

morethat$250milliontobuildtheGCOSproject,andin1967,it

wasthelargestprivatedevelopmentevercarriedoutinCanada.

“InowknowthatMr.Pewstronglyandpersonallysupportedthis

programandhewouldreleaseanyneededscientistorengineer

from his duties wherever he was and immediately send him

onthecompanyplanetoFt.McMurray.”Nedthinksthatalarge

statue of Mr. J. Howard Pew should be constructed at the front

gateofSuncor’soilssandsplantbecausewithouthisleadership

anddeterminationtheprojectwouldneverhavebeendone.

NotonlywasNedinterestedinandanadvocateoftheoilsands

potential.Healsoknewfromhisearlydays,andwiththebegin-

nings of petroleum activity in theArctic Islands and Northwest

Territories, that he wanted to position Sun Oil in the area.

WhenhecouldnotinitiallyinterestthecompanyintheArctic,he

visited informallywith J.C. (Cam)Sproule.CamgaveNedamap

showingtheGlobalMarinelands(actuallytheice-coveredwaters

between the islands). Subsequently Ned negotiated the acquisi-

tionofthoselandsforthecompany.

association – Capl and aaplMostofuswerenotinaposition,attheearlystagesofourcareers,

tomakethedecisionwhetherto“bealandman”orto“beageolo-

gist” – Ned actually was. He is happy today that he chose to be

a landman. He values the importance of the role that the land

fraternity plays in the industry, and has been a front-runner in

pioneeringtherolesthattheCAPLandAAPLhaveplayedinthe

education and networking opportunities offered by the associa-

tionstolandmen.

“Without the CAPL, we wouldn’t have the getting together

of landmen.Landmenneedtoget togetherandwork together.

So it started out mostly as a social club, but even during my

perioditbecamequiteeducational.Theywereaverygoodgroup

ofpeople,andweneededtogettogetheranddeveloprelation-

ships.We’dgotomeetingsanddiscussproblemsandsolutions

inourbusiness.”

“I went to my first AAPL convention (1954) well equipped

with one of the favourite tools of a Canadian landman, four

purple ‘socks’ containing a fluid not available at that time in

the USA”. These, of course, were bottles of Seagram’s Crown

Royal in theirpurplesacks.Nedwoulduse thesemementos to

attract the attention of theAAPL president, vice-president and

Conference Chairman, requesting a meeting with them early

in the convention schedule to share his ‘Canadian souvenirs’.

In succeeding years, he continued this practice, each time

making a pitch to theAAPL that they should accept Canadian

landmenasmembers.Hebelievedittookthreeannualmeetings

beforehewassuccessful.

In 1956, Ned became the first member of the AAPL from

Canada. In 1957, Canada was set up as the ninth region within

theAAPLmembershipandGilbertbecamethefirstdirectorfrom

Canada.“Because my boss was a landman himself he was very

supportive of my attending the quarterly directors’ meetings

whichmetwithlandmen’sgroupsacrosstheUS.”

Gilbert’s next project was to encourage the AAPL to hold a

convention in Canada.At the New OrleansAAPL Convention in

1958,NedandGordonWard(thenAlbertaLandman’sAssociation

President) made their first pitch to hold anAAPL Convention in

Canada. “When the first meeting was held at that Convention,

eachmember foundaBankofCommercemaponhischairand

whentheopeningspeakersarrivedtheyfound1000menallhold-

ingaspreadoutmapaboutfullnewspapersize.TheBanktoldme

yearslaterthiswasprobablythebestPRtheyeverhadfortheiroil

andgasdepartment.WealsoputonacocktailpartyfortheAAPL

Executive. I remainedaDirector in1958and1959. In1960 Iwas

madethe2ndVice-PresidentandIbelieveIgaveacocktailparty

fortheAAPLExecutivethatyearat theLosAngelesConvention.

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Rockford Land Ltd.➣ Alberta Crown Sales

➣ Freehold Mineral Acquisitions

➣ Surface Acquisitions

Scott Clapperton

[email protected]

Suite 119, 2526 Battleford Ave SW Calgary, Alberta T3E 7J4 287-3500

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IcontinuedmypracticeofbringingatleasttwobottlesofCrown

Royal as gifts and it was probably about 1959 that we received

permissiontoholdthemeetingattheBanffSpringsin1962.”

Ned had much assistance from the Edmonton and

Saskatchewan landmengroups for theorganizationof theBanff

Conference, but none were more instrumental in bringing this

historic event to Canada than Ned Gilbert.AsAAPL Convention

Chairman,NedGilberthadG.D.(Gordon)Ward,A.N.(Al)McCruden

and J. H. (Herb) Hughes of the Alberta Association to help him.

The Alberta Association of Petroleum Landmen was the official

Canadiansponsorofthishistoricevent.

“Therewasan initialexpectation that theconventionwould

beheldatBanff in1961when Iwas1stVice-PresidentofAAPL.

Idonotrememberwhatcausedthechangebutasyouknowitwas

heldtherein1962. IwasabouttobebothPresidentoftheAAPL

and Convention Chairman, and for reasons that I now perhaps

wishIhadnot listenedto, Iaskedthat InotbemadePresident.

I did not see how I could do justice to both projects while also

beingDivisionLandManageratSunOil.”

ThevalueoftherelationshipwiththeAAPLhasbeenproven

through educational support in the earlier years as well as the

samefundamentalbenefit that theCAPLprovides–networking.

The CAPL members are known to phone AAPL members and

checkreferencesonAmericanlanddeals.

associations and awards1945 JoinedtheAAPG(AmericanAssociationofPetroleumGeologists)

–longestservingmemberinCanada

1945 JoinedtheCSPG(CanadianAssociationofPetroleumGeologists)

1948 JoinedtheAPL(AlbertaLandman’sAssociation)asoneoftheoriginalmembers

1948 JoinedAPEGGA(AssociationofProfessionalEngineers,Geologists,andGeophysicistsofAlberta)

1956 JoinedAAPL(AmericanAssociationofPetroleumLandmen)–firstmemberfromCanada

1999 AAPG(AmericanAssociationofPetroleumGeologists)–Byunanimousrequest,becametheFirstPresidentoftheCanadaRegionwhichwasinstitutedin1999whenAAPGcreatedinternationalregions

1999 RecipientofCIM’sJ.C.SprouleMemorialPlaque

2001 AAPGHonouraryMembershipAward–forhispioneeringroleintheearlydevelopmentofthemodernoilsandsindustryandhissubsequentdedicationtoeducationandmanagementtrainingintheoilindustry.

2002 CAPLHerbHughesAward–CAPL’shighesthonour

importance of educationNed is a strong advocate of continuing education. He has been

active in many Calgary organizations and continues to be so.

One of his most interesting roles commenced in 1986 when he

becametheinitialIndustryDirectorandthefirstinstructorinthe

inaugural year of the Petroleum Land Management specialty in

theFacultyofManagementattheUniversityofCalgary,arolein

whichheactivelycontinueduntil1994.

todayToday Ned is still active in the Canadian oilpatch. He is the

President of Gilbert Management Ltd. and provides consulting

adviceforminerals,oilsands,oilshale,coal,specialprojects,and

mineralcompensationclaims.Ned’scurrentpassionishisbelief

in the commerciality of the Pasquia Hills oil shale prospects in

Saskatchewanandhasconsulted fora fewcompanies in recent

yearsonthatplay.

On Being a landmanNedconcedestohispassion,enthusiasmandpureloveoftheoil

andgasbusinessandhowthelandmanfitsintoit:“Landmenare

thegrease thatmakes theoil industrywork.Theengineersand

the geologists and the geophysicists all think that they’re very

important,butagoodlandmancanmakeitallfittogether.”m

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Rising Commodity Prices and Challenges to Land Acquisition in Alberta

One Of the primary Challenges faCed By land agents is balancing the opposing interests of the client with

therequestsoflandownersinregardstocompensation.Whether

acquiring new takings, settling damages, or conducting rental

reviews,stayingabreastofvolatilecommoditypricesisessential

toensuringfairandreasonablenegotiations.

Sincetheearly1970s,pricesforfarmcommoditiesingeneral

and foodgrains inparticular,hadbeenonafluctuatingdecline.

However,sincethespringof2007,pricesforallofthedominant

food grains (canola, barley, wheat, etc) have climbed steadily;

in some cases 100% or more than just a year ago.Whether the

currenteconomicvaluesforfarmcommoditieswillbelonglasting

orjustablipontheradarisopentoopinion.Thepopularposition

seemstobethatpriceswillcomebackdownsomewhat,buthow

muchisunclear.

Therearemanyunderlyingcauses for therise inprices, too

numerousandcomplicatedtoexplainfullyinanarticlethissize.

Essentiallyitallcomesdowntoourcurrentunstableworldwide

economyandtheruleofsupplyanddemand.Worldwidecommod-

itystockpilesformostfoodgrainsareatthelowestlevelssince

1950sandtheexplodingpopulationsinAsiaandAfricaarecreat-

ingademandthatwillcontinuetorapidlyincrease.Secondly,in

NorthAmerica,emergingmarketsforgrainsandoilseedsusedin

theproductionofethanolandbio-fuelshaveincreaseddemand

dramatically.Thirdly,thecollapseoftheUnitedStatessub-prime

mortgagemarket,USdollar,andpendingrecessionhasresulted

in many investors moving investment capital to commodities

whichareseenasmorestableinarecessionmarket.Thepressure

fromanyofthesecausesisnotexpectedtosubsideanytimesoon

sowearerequiredtoplanourdealingswiththisinmind.

All of this brings us to the difficulty faced by Land Agents

in trying to negotiate Loss of Use rates for wellsite acquisition,

pipeline damages and rental reviews. Consider the following

exampleofatypicalcroprotationforacentralAlbertaproducer

nearDelburne:

2008,Canolacontractedat$15.00/bu,50bu/acre =$750.00/acre

2009,DurumWheatcontractedat$8.50/bu,50bu/acre =$425.00/acre

2010,Barleycontractedat$5.00/bu,100bu/acre =$500.00/acre

3yearaveragegrossreturn =$560.00/acre(rounded)

New acquisitions in this area for the preceding 2 years had been

signedatapproximately$350.00/acreforLossofUseoncultivated

lands,thisincreaseisstriking.WiththeAlbertaSurfaceRightsBoard

havingconsistentlygrantedcompensationawardsreflectinggross

returnsasopposedtodeductingcostsofproduction,LandAgents

areobligedtocalculateLossofUseratesbasedongrossreturns.

ConsiderthefollowingscenariosbasedoncalculatingLossof

Useat$560.00/acreasopposedto$350.00/acre:

1)Arentreviewona5acrewellsiteoncultivatedland

Result:anincreaseof$1050.00ontotalrent

2)Adamagesettlementfora5acrepipelinebuiltin2007

Calculating3yearsat200%totalloss(100%/66%/33%),

Result:adifferenceofalmost$2100.00

Ofcourse,itisimportanttokeepinmindthatdifferentoperators

vary widely in the methods and formulas they utilize to settle

damages,howeverthekeywouldbetonotethatcompensationto

landownershasthepotentialtoincreasegreatly.

Theincreasingrateshavealsoeffected,toalesserdegree,the

other 3 heads of compensation. Consider that rates for general

disturbance and adverse effect are typically higher in areas of

elevatedlandvalue,andthatagriculturallandvalueisincreased

bythemonetaryreturnsavailablefromtheland.

Land acquisition for Oil and Gas Exploration in Alberta has

becomemorecomplicatedinrecentyears;theincreaseinlossof

usevaluesisyetanotherexample.Inmostdistrictsanargument

couldbemadethatpaymentsforlandvaluesandlossofusewere

consistentlyabovethe“goingrates”,andthatoilandgasproduc-

erswereeffectively“payingapremium.”Withtoday’smarketfor

foodgrainsthisseemsnottobethecaseanylonger.

Intoday’senvironmentitismoreimportantthaneverforLand

Agents to be informed and educated on the evolving markets to

effectivelyperformtheirduties.TheCanadianWheatBoard,Alberta

Agriculture,The Canadian Grain Commission, andTheWinnipeg

CommodityExchangeallhaveusefulwebsiteswhileTheWestern

Producerisaveryhelpfulprintpublicationforgrainprices.

Our current situation is also perhaps another argument in

favorofprogramssuchastheCanadianAssociationofProfessional

Landmen(CAPL)ProfessionalSurfaceLandman(PSL)designation

thatdemandshighereducationalstandardsandtestingtoinsure

thatthemenandwomennegotiatinginthefieldhaveacomplete

understandingoftheindustryasawhole.

Quoting the words of the Greek philosopher Epictetus: “It is

impossibleforamantolearnwhathethinkshealreadyknows”.m

Zeke Reimers

LandSolutions

Edited by: Brodie Allen and Michael Hulme

on behalf of the F.A.M. Communications Committee

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2008 CAPL Squash TournamentTheCAPLSquashTournamentwasheldonSaturday,March8at

theGlencoeClub.Onceagain, thecompetitorsweretreatedtoa

greatnightofcompetitivesquash,lotsoflaughsandcamaraderie,

andafabulousassortmentoffood,funandprizes.Thetopteams

thisyearwere:

1stplace: JaredStackhouse,PhilSchnell,Amanda

Kuspira&GregStrachan

2ndplace: SteveLudgate,LenMoriarity,Darren

Springinatic&GrameWright

3rdplace: JohnBoone&RobPitchford

4thplace: SolanaJear,DonAustin,TrevorSchoenroth

&JeffBrewer

Last(14th)place: ScottClapperton,DanCicero,HannifDhanani,

ColinTaylor&NatalieSt.Hilaire

Congratulationstothecommitteefortheirgreatworkinmaking

thetournamentasuccess.Thistournamentcontinuestobeoneof

thepremiereventsontheCAPLsocialcalendar.Specialthanksto

allthenewplayerswhocameouttotrythiseventwelookforward

toseeingyounextyear!

the sponsors for the tournament were:Shirt Sponsor

geoLOGICSystemsLtd.

Platinum Sponsors

AltusGroup

CavalierLand–ADivestcoCompany

RockfordLandLtd.

Gold Sponsors

ConocoPhillipsCanadaLimited

GalleonEnergyInc.

PioneerLand&EnvironmentalServices

HorizonLandServicesLtd.

BristolLand&LeasingLtd.

BrittLandServicesLtd.

CanaccordAdams

CrescentPointEnergyTrust

CyriesEnergyInc.

HuntOilCompanyofCanada,Inc.

MadalenaVenturesInc.

MantaSportLtd.

NexenInc.

OneExplorationInc.

QuesterreEnergyCorp.

RidgebackExplorationLtd.

ScottLand&LeaseLtd.

StandardLandCompanyInc.

ThackrayBurgess

TristarOil&GasLtd.

XITechnologiesInc.

Silver Sponsors

DefiantResourcesCorporation

FairborneEnergyLtd.

FairmountEnergyLtd.

FocusCorporation

MidwestSurveysInc.

ResultEnergyInc.

RoyNorthernLand&Environmental

StormExplorationInc.

Donors

PrairieLand&InvestmentServicesLtd.

TrueNorthLandServicesLtd.m

Retirementsnew Brunswick department of energy

TheCAPLwould like toannounce thatRonPhillipsandClintSt.

PeterhaveretiredfromtheNewBrunswickDepartmentofEnergy.

After 39½ years service with the Department, Ron Phillips

retiredApril30,2008.HeretiredastheManager,PetroleumTenure

fromtheMineralsandPetroleumDevelopmentBranch.

OnMarch28,2008,ClintSt.Peterretiredafter37yearswiththe

Department.Priortohisretirement,hewastheSeniorHydrocarbon

ResourceGeologistfromtheGeologicalSurveysBranch.

TheCAPLwouldliketowishbothRonandClintallthebestin

theirretirement.m

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1318 – 11th Avenue S.W. 6

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2008 CAPL Golf Tournamentmonday – august 25th, 2008Country hills golf Course

after the suCCess Of Our august 2007 tOurna-ment (June rain-Out nOt Withstanding), CAPL is

pleased to announce that our 2008 tournament will once again

beheldattheCountryHillsGolfClub.Therewillbemorningand

afternoondraws inanattempttoaccommodateasmanyofour

membersaspossibleandtheformatofthetournamentwillonce

againbeaTexasScramble.

Look for entry forms in the May and June issues of

The Negotiator aswellasontheCAPLwebsite.Thetournamentcost

willbe$180.20(includingGST).RegistrationbeginsMay20th,2008.

Contact Jeff Talbot @ 233-1655, email at [email protected]

[email protected],ext.110,emailatcurquhart@prope-

lenergy.comifyouhaveanyquestionsregardingthetournament

orsponsorshipopportunities.m

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Production Allocation Unit Agreements

(The Single Well Unit)ThetraditionalunitagreementandtheProductionAllocationUnit

Agreement (PAUA)are, inmyhumbleopinion, trulymagnificent

legaldocumentsthat:

(a) allow for theequitableandeconomicproductionofoil and

gas where you have diverse working interest (WI), royalty

(GOR)andlessor(LOR)partiesinapool(s)orwell;

(b) provide a mechanism for regulatory compliance where you

donothavecommonownershipinapoolorwhereyouare

commingling production among pools and spacing units;

and

(c) increase lease continuation certainty through the amend-

mentoftheleasestoprovideforcontinuationbywayofunit

operations.

Theincreaseinhorizontalwelldrillinghasbeenthedriverinthe

use of PAUAs.A PAUA is required in horizontal wells where the

productivehorizontallegscrossmorethanonespacingunitand

thereisvariedWI,GORorLORparties.

However PAUAs may also be used for vertical wells, where

parties are increasingly producing from multiple pools within a

single wellbore and commingling production to a single meter

point.Thisverticalcommingledproductionfrommultiplepoolsis

morethanaverticalpooling(sinceeachpoolisaseparatespacing

unit),soaPAUAshouldbeused.

Common OwnershipTheregulatoryrequirementofcommonownership inaspacing

unitor largerproductionunit is thebedrock rational forPAUAs

(see for example the Oil and Gas Conservation Regulations,

Alberta).Regulatorybodiesrequirethatproductionoccurequita-

blyamongtheWIandLORowners.Failuretoestablishcommon

ownership in a spacing unit or larger production unit is a

non-complianceeventandcanleadtoshuttinginwellsandother

regulatorywoes.

WhereyouhavevariedWIorLORsinproductionfromasingle

wellbore, equitable production can only be assured where the

partieshaveagreedtothemethodofallocationofsuchproduction.

Thisisespeciallythecasewhereproductionfromeachhorizontal

leg or vertical completion cannot be individually determined or

metered. Where you cannot actually measure production from

tracts having differing ownership, the only method to equitably

allocate production among owners is by way of a PAUA which

allocates production from the production allocation area to the

varioustracts.

freehold lease ContinuationThe other fundamental benefit of unitization is the ability to

amend freehold leases to provide for continuation by way of

unit operations as opposed to actual operations from the said

landsunder the lease.APAUAshouldalwayscontainaarticle

on leasecontinuationandamendment.Agoodexample is the

Alberta Energy model form PAUA (which can be downloaded

fromtheAEwebsite,underTenureforms).Article9ofthisPAUA

providesthat:

9.1ContinuationofLeases

All operations conducted with respect to the Production

Allocation Zone or production of Production

AllocationSubstancesshall,exceptforthepurpose

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ofcalculatingpaymentstoRoyaltyInterestOwners,

be deemed conclusively to be operations upon or produc-

tion from the Production Allocation Zone in each Tract,

and such operations or production shall continue in full

force and effect each Leaseandanyotheragreement

orinstrumentrelatingtotheProductionAllocation

Zone or Production Allocation Substances as if

such operations had been conducted on, and a

well was producing from, each Tract or portion

thereofintheProductionAllocationArea(empha-

sisismine).

9.2LeasesAmended

Each Lease and any other agreement or instru-

ment relating to the Production Allocation Zone

or Production Allocation Substances is hereby

amended only to the extent necessary to make it

conformtothisAgreement.

ThesemagicwordsmustappearinyourPAUAinordertoproperly

amendyourleaseandthelessormustbeapartytoandsignthe

PAUA.Youcannotbindthelessorunlesstheyhaveagreedinwrit-

ingtotheamendmentstothelease.

Pleasenotethatsuchanamendmentmustalsobecaveatedon

titleinordertobeenforceableasagainstthirdparties.Theoriginal

leasecaveatcanprotectonlythetermsoftheoriginallease,not

amendments. Failure to file such a caveat could lead to a top

lesseesuccessfullylapsingyouroriginalleasecaveatifyoudonot

haveproductionfromthesaidlandsunderyourlease.

special Consideration for gOrAnoftenoverlookedelementofcommonownershiponunitiza-

tion is the GOR holder. Such parties are often but not always

includedaspartiesintheunitagreementsuchthattheGORhold-

ersroyaltyiscalculatedbaseduponunitproduction

Calculating the GOR

YoucannotassumethataGORisalwayspaidbaseduponunit-

ized production.You must confirm that the GOR holder was a

partytoandsignedthePAUA.InsuchacasetheGORwillappear

asaroyaltyorencumbrancebesidetheappropriatetractsinthe

unit Exhibit. If so, the GOR is calculated based upon unitized

production.

However, if theGORholderdidnot sign theunitagreement,

theGORisnotpayablebaseduponunitizedproductionbutrather

from production from the GOR lands. This can lead to bizarre

results in traditional units depending on where the GOR lands

are located. Sometimes a GOR holder will refuse to sign onto a

unitasamajorwell is locatedontheGORlands. Insuchacase

theGORwillcontinuetobecalculatedfromproductionfromsuch

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well, regardless of the impact of waterflood or other enhanced

recoverytechniquespushingadditionaloilthroughthewellbore.

Oftenafteranumberofyears (andsalesof theassets) theGOR

stopsbeingcalculatedbaseduponthesaidlandsandstartstobe

paidonunitizedproduction.Notok.

GORs and Common Ownership

ApotentialcommonownershipissuecanalsoariseifGORhold-

ersareignoredonunitization.Asindicatedabove,PAUAareoften

used where it is not possible (or economic) to determine the

volumes of production from each leg or completion over time

as all volumes are measured at a single meter. If a GOR holder

isnotapartytoaPAUAinsuchacase,theycancertainlyargue

that common ownership has not been established.The rational

for commonownership is equitableproduction. If aGORholder

cannotestablish theshareofproduction fromthewellbore that

theGORpertainsto,theGORholdercannotbeequitablycompen-

sated.Thiswillat leastleadtoalawsuitandperhapsregulatory

non-compliancemeasures.

In my practise I run across very few new wide area unit

agreements. Itseemsashamenot to takeadvantageofunitiza-

tion in any situation possible.This is especially the case where

companiesareundertakingenhancedrecoveryprojects (suchas

complex water floods or CO2 projects) on a pool wide basis on

older well defined pools. In such situation a unit will allow for

common ownership and tenure certainty in undertaking costly

andlongtermprojects.

The good news is that the PAUA seems to have become an

industrystandarddocumentthathorizontalwelloperatorsuseon

adaytodaybasis.Hopefullywewillcometoseeincreaseduseof

thePAUAinverticalwellcomminglingsituations.m

Paul Negenman

Partner, EnerLaw LLP

31st Annual CAPL Trap ShootThe 31st Annual CAPL Trap Shoot will be held at the AHEIA

CalgaryFirearmsCentre(nearDeWinton)onSaturdaySeptember

13,2008.Competitionwillstartat9.00AMandconsistoftwo16

yardevents,aslider,afinalhandicapevent,and,asusual,buddy

shootsandAnnieOakleys.

Registrationfeeswillremainthesameaslastyearat$106.00

for CAPL members, $95.00 for students, and $117.00 for Guests

(GSTincluded).Theregistrationformandwaiverofliabilitymust

bedownloadedfromtheCAPLwebsite.TheTrapShootCommittee

would appreciate receiving your completed registration form,

waiverofliability,andfeesassoonaspossible.Newshootersand

sponsorsarealwayswelcome.

The fee includes 100 competition targets (12 gauge shells

provided),beverages, lunch,awards,andthespecialeventshoots.

Award presentations and refreshments will follow the shoot.

Entriesarelimitedto80,sopleasepre-registerassoonaspossible.

The primary purpose of the shoot is to network and have

a safe, enjoyable time while attempting to break as many clay

targets as possible. It’s also great practice if you plan to go bird

huntingthisfall.

All skill levels, from beginner to expert, are welcome. CAPL

members interested in finding out more about the sport of

trapshootingcancontactanyof themembersof theTrapShoot

Committee foradditional information.Shotgunsareavailableat

theFirearmsCentreforusebynon-ownersforanominalfee.m

HugoPotts 508-8965 DaveKinton 668-5220

JeffBaggsJr. 335-2126 JeffBaggs 637-2432

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Message from the Executive

my term as president Of the Capl has COme tO an endand

I have had a wonderful year of chal-

lenges toadd tomyoverallexperience

asalandman.

This year the industry has had the

opportunity to deal with the Royalty

Review Panel for the Province of Alberta. This caused uncer-

taintyandupheavalformanyofusinunderstandingwhatthose

changes could mean to our organizations. Although oil prices

soared, natural gas prices languished behind, which caused

a few of us old-timers to remember the cycles of past in our

industry and the immediate impact they can have on landmen.

Thankfully,priceshaveturnedupwardandmorerecentcertainty

bytheGovernmentofAlbertahasseemedtohelpAlbertaproduc-

ersunderstandtheimpactonroyalties.

The CAPL continues to be sought after by regulators and

industry organizations to give valuable input on new initia-

tives impacting our roles as mineral and surface negotiators

and administrators of those resources. Credit goes to our many

volunteerswhorepresentthisorganizationandIwouldaskeach

member who is not on a committee consider giving of some of

yourtime,howeversmall itmaybe.Wearerespectedandbeing

heardbythemultitudeoforganizationstheCAPLinteractswith

onadailybasis.

Apersonaldisappointmenttomethispastyearwasthe68%

affirmative vote, versus 75% approval level in order to proceed

with registration under POARA. Understanding that we are a

strongly opinionated group of individuals made it important to

followupthataspectofourbusinesswiththesurveythisspring.

Morethan400membersputtheiropinionstopaperandhelped

theincomingandfutureBoardhaveguidanceinmovingtheorga-

nizationintoplaceswheremembershaveindicated.Iencourage

allofyoutomakeyouropinionsknowntomembersoftheBoard.

Youcanbeassuredthattheinformationprovidedinthesurvey

will be read and analyzed by the incoming Board under Rob

Telford’s guidance and the organization will attempt to imple-

mentthosephilosophies.

I expect thatmanyofourmembershavebecome intimately

familiarwiththe2007OperatingProcedureandthefutureimpact

thatwillhaveonourindustry.Thisdocumentrepresentsuntold

hours of input by the Committee chaired by Jim MacLean and

assisted by many of the landmen and lawyers working in the

industry.TheCAPLishighlyregardedinthisrolewithintheindus-

try and we continue to be the guidepost for contractual issues

surroundingoperatingandmanagingoilandgasresources.

Ihopeyouagreewithmethatwecanallbeveryproudofthis

organizationandtheroleweplayinprovidingeducation,informa-

tionandnetworkingopportunitiesformembers.Wearefortunate

thatthroughallthechallengesinourindustryandtherolesthat

ourmembersplay,weprovideprofessionalinputtoallaspectsof

thelandrole.

Ithasbeenaprivilegeformetorepresentthemembersinmy

roleasPresident.TheCAPLisadiverseorganizationthatallofus

canbeproudof.Itcontinuestosurprisemewiththeamountof

energyourvolunteersspendbringinginformationintoourorga-

nization. We are also very fortunate to have a dedicated group

ofsponsorswithoutwhomourorganizationcouldnotbringthe

samelevelofservicetoallmembers.Thissponsorshiptouchesall

ofaspectsoftheCAPL.Mythanksgoouttothosesponsorsforthe

generositytheyshow.

With the experience I have had, and the knowledge I have

gained in understanding our organization, I expect to continu-

allyhavesomeformofinvolvementvolunteeringwiththeCAPL.

I hope to have the opportunity to sit on a committee with the

manyofour1650membersatsometime.m

Cindy R. Rutherford, P.Land

President

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Get Smartthe Capl education Committee is pleased to present the following courses:

Advanced Surface Rights

June 3, 2008 8:30 a.m. to 4:30 p.m.

Thisseminar isdirected towardsmembersof industrywithfive

or more years experience and is intended to summarize and

describeallfacetsofsurfacerightswithintheoilandgasbusiness.

Registrants should consider Introduction to Surface Rights or at

least5yearsoffieldexperienceasaprerequisiteforthiscourse.

An Interpretive Approach To Dealing With ROFR Issues

June 4, 2008 8:30 a.m. to 4:30 p.m.

This seminar is intended for more senior landmen who are

responsible for analyzing various situations in which ROFR

issuesmayariseand recommendingor implementingappropri-

ate corporate responses thereto.The seminar will be presented

in two parts.The morning will be devoted to a presentation of

legalprincipleswhichmayberelevanttoROFRsituationsanda

suggestedinterpretativemethodologyforanalyzingandrespond-

ingtounusualROFRscenarios.

Legal presentation topics will include:

• The burdensome nature of ROFRs and interpretative default

rules

• ROFRcomplianceandchallengesforuncertainty

• ROFRs,jointownershipandroyalties

• Unmatchableconsideration

• Majortransactionsandpackagedeals

• ROFRsandcorporatere-organizations

• ROFRsinvolvingbothlandandfacilities

Intheafternoon,aseniorlandmanwilljointhelawyersinaround

tablediscussionofROFRissuesandspecificfactscenariosgath-

eredbythepresentersandsubmittedtothepanelbythecourse

participants. Prospective course participants are encouraged to

submittheirfavouritechallengingROFRproblemtotheinstructor

priortoorattheseminarforconsiderationanddiscussioninthe

afternoonroundtablediscussion.

Facilities Overview (PSL Course)

June 5, 2008 8:30 a.m. to 4:30 p.m.

Aonedayseminarforsurfacelandagentswillgiveanoverview

ofmanykeyaspectsofoilandgasfieldoperations,facilitiesand

practices. Upon completion of the course land agents will have

abasicunderstandingofthekeyaspectsinvolvedinfieldopera-

tions.ThisseminarwillcoverthefollowingstagesintheLifeCycle

ofawell.

Coming in september and October 2008Ethics (Course 2)

september 9, 2008 1:00 p.m. to 4:30 pm

Thisseminarisdesignedtohelpparticipantsdeepentheirunder-

standingoftheroleofethicsinthelifeofaprofessionalandasa

memberofCAPL.

Fiduciary Duties

september 9, 2008 9:30 a.m. to 12:00 p.m.

This seminar is intended to experienced landmen and joint

venturepersonnelwhoareinvolvedinacquisitions,divestments

andothertransactionsorinterpretationofexploration,operating,

jointventuresandotheragreements.

Directive 056: ERCB Energy Development Application &

Directive 60: Public Consultation Requirements (PSL Course)

september 10 & 11 8:30 a.m. to 4:30 p.m.

This seminar is designed for land agents, land administrators,

operationsengineersaswellasanyotherpersonnelwhomaybe

responsibleforAEUBapplicationsorregulatorycomplianceissues.

Production Agreements

september 16, 2008 8:30 a.m. to 4:30 p.m..

This seminar is designed for industry personnel who require a

goodunderstandingofagreementscommonlyusedinrelationto

theproductionandjointventureoilandgas.

Industry Activity And Mitigation Of Groundwater Effects

(PSL Course)

september 30, 2008 8:30 a.m. to 4:30 p.m.

Thisseminarisintendedtohelplandpersonnelunderstandland-

ownerconcernsregardinggroundwaterrelatedissues.

Resolving Conflict Through Negotiation

October 1, 2008 8:30 a.m. to 4:30 p.m.

Thisseminarisdesignedforlandmenandotherindividualswho

wish to upgrade their communication skills through the use of

interest-basednegotiations.Thisnegotiationmodelisthemodel

used in the settlement of disputes by the Alberta Energy and

UtilitiesBoardandsubscribedtobytheC2CTaskForce.

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Contact: John Pullar or Ken Holmes800, 734 – 7 Avenue S.W. Calgary, Alberta T2P 3P8

p. 403.571.5263 f. 403.571.5266www.explorersoftware.com

2008EXPLORER™ Software Solutions Ltd.June Update

EXPLORE

CS*EXPLORER©

Integrated Oil & Gas Software

CS*Image©

Integrated Imaging

CS*JointInterest©

Service & Facility Agreements

EXPLORER Online Business Processes©

Customized Online Policy & Procedure Manuals

Oil & Gas Property ManagementConsulting • Information Management Services

Product Support • Training

your options . . .your options . . .

EXPLORERTM Software

Solutions Ltd. is pleased to

announce that we will be

hosting our Boy’s and Girl’s

Avenue 15 Charity Golf

Tournament on June 19th,

2008. After two years off,

we hope that our customers

will come out to support this

wonderful cause. Looking

forward to seeing you all

there.

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Well Spacings And Holdings

October 2, 2008 8:30 a.m. to 4:30 p.m.

This seminar is designed to help become familiar with the

concepts and regulations associated with drilling spacing units

andtargetareasinAlbertaandBC.

CAPL Royalty Procedure

Royalty Agreements

October 6, 2008 1:30 p.m. to 4:30 p.m.

This seminar is intended for landmen, administrators, lawyers

and production accounting personnel requiring a senior level

reviewoftheCAPLRoyaltyProcedure.

Geology

October 7 & 8 2008 8:30 a.m. to 4:30 p.m.

Thisseminarisdesignedforoilandgaspersonnelthatrequirea

generalunderstandingofgeologicalprospectevaluation.Landmen,

technologists and other personnel involved in written or oral

communicationwiththegeologicaldepartmentwillbenefitfrom

attendingthisseminar.

CAPL Operating Procedure Operational Issues

October 9, 2008 8:30 a.m. to 4:30 p.m.

This is a one day seminar directed at Industry personnel who

requireaworkingunderstandingoftheCAPLOperatingProcedure

andhowitaddressesspecificoperationalissuescurrentlyfacing

ourIndustry

Aboriginal Affairs New Course!november 19, 2008 8:30 a.m. to 12:00 p.m.

This session is especially useful for those interacting with

Aboriginalgovernments,businessesandcommunities,andhelps

in building positive relations to enhance our effectiveness with

Aboriginalpeople.m

Registration can be done online at www.landman.ca. Full course

descriptions can be found in the 2008 CAPL Course Calendar

which is available online at www.landman.ca. For further

information, please contact the CAPL office either by

phone at 237-6635, or email [email protected].

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Calgary, AB403.290.0008

Edmonton, AB780.414.0008

Bentley, AB403.748.2661

Lloydminster, AB780.870.5226

Victoria, BC250.389.2212

Whatever the direction, we can take you.LandSolutions has the knowledge and resources to plan, implement and manage all aspects of your land and consultation requirements.

www.landsolutions.ca

Lampman, SK306.487.2505

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Roster Updates

Jeffrey Badyk, P.Land Canetic resources inc.

to independent

Edward Barclay, P.Land tusK energy Corporation

to enCana Corporation

Linda Bigelow enterra energy Corp.

to independent

M. Elizabeth Burke-Gaffney, P.Land paris energy inc.

to independent

Jason Chadwick defiant resources Corporation

to mancal energy inc.

Kevin Chau KC holdings Corp.

to re/max real estate (mountain view)

On the move

new membersThe following members were approved by a Motion

on May 10, 2008:

Applicant Current Employer Sponsors

Active

Ross Armstrong d.r. hurl mike Bellefeuille

& associates ltd. robert fraleigh

Craig pittman, p.land

Terry Cutting mcnally land glenn Kruyssen, p.land

services ltd. robyn van den Bon, p.land

peter Zboya, p.land

Micheal Dobovich pioneer professional Janet harren

services group paul mandry

Craig pittman, p.land

Wendy Dunn apache Canada ltd. Wayne geddes, p.land

sherryl larson, p.land

robert Weeks, p.land

Karen Fast devon Canada maureen huck

lois Kaake, p.land

Jill malo

Jared Frese Canadian natural James Condon, p.land

resources limited Jason heilman

Wilf vielguth, p.land

Amy Gowertz nal resources margarete Baxter

management limited marny harvey

susan levy

Brent Lewis mcnally land John lanaras

services ltd. noel millions

robert telford, p.land

Susan Mundy enCana Corporation Brodie allen

mark reich

William Wahl

Bente Nelson enCana Corporation mary Jo Case

andrew fulford

robert telford, p.land

Sarah Phillips enCana Corporation susan hargreaves, p.land

ted lefebvre, p.land

esther Watt

Elaine Reykdal Quicksilver resources Brock Campbell

Canada inc. Cal gazdag

robert sheedy

Adrienne Schipperus Compton petroleum marjorie Blumhagen

Corporation david dyer

garry mcCullough, p.land

Steve Telford mcnally land michael anderson

services ltd. noel millions

robert telford, p.land

Shaun Williams husky Oil Operations Jeff french

limited anne hand, p.land

Kim urban, p.land

Student

Joelle Dunne university of Calgary robert schulz m

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Jacqueline Currie, P.Land nexen inc.

to independent

Margaret Curts provident energy ltd.

to pengrowth Corporation

Amanda Fisher independent

to nuvista energy ltd.

Shona Gillis roper land Consultants ltd.

to statoilhydro Canada ltd.

George Hardisty independent

to Black pearl energy ltd.

Terry Henkelman Canadian landmasters resource services ltd.

to Cavalier land ltd.

Jennifer Ho petro-Canada Oil and gas

to Crescent point energy trust

Chris Lamb taQa north ltd.

to galleon energy inc.

John Levson apache Canada ltd.

to independent

Angelica Lyall pearl exploration & production ltd.

to seaview energy inc.

Jaime MacRae storm exploration inc.

to independent

Jerry McIsaac mcislandco ltd.

to husky Oil Operations limited

Colin McKinnon, P.Land Bp Canada energy Company

to apache Canada ltd.

R. Locke McPherson paris energy inc.

to independent

Carolyn Montgomery, P.Land C. montgomery petroleum land

Consulting ltd.

to tri mont resources ltd.

Paula Montgomery nal resources management limited

to penn West petroleum ltd.

Trevor Murray Cyries energy inc.

to iteration energy ltd.

John Nesbitt, P.Land independent

to pacific rodera energy inc.

Anne Parsonage petro-Canada Oil and gas

to independent

Gary Peddle Cyries energy inc.

to independent

Steve Roth rockyview energy inc.

to tristar Oil & gas ltd.

Tyler Semashkewich integrity land inc.

to independent

David Shenstone sumurun holdings inc.

to Black goose holdings inc.

Tony Smith Kereco energy ltd.

to Bonavista petroleum ltd.

Joe Swift independent

to nuvista energy ltd.

Nolan Treble penn West petroleum ltd.

to Quicksilver resources Canada inc.

Kenneth Young, P.Land independent

to avante garde energy Corp. m

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In Memoriamit is With great sadness that the Capl annOunCes the passing Of an industry iCOn – auBrey Kerr, who was a significant contributor to The

Negotiator.HesharedhistorywiththeCAPLinhismonthlycolumn

“EchoesofYesteryear”during2002to2004.

samuel aubrey Kerr, p.geol.Arenownedgeologist,author,historianandmemberofAPEGGA,

Calgary’sAubreyKerr,P.Geol.,diedFeb.19at92.Mr.Kerr,whoseoil

industryrootsgobacktobeforethehistory-changingdiscoveries

nearLeducinthelate1940s,establishedhimselfafterretirement

as a constant learner and a knowledgeable resource person on

geologyandthepetroleumindustry.

“Forpeoplewhowouldlisten,hewasawonderfulresource.For

peoplewhowouldn’t,hewasprobablytoomuchofan indepen-

dentmind,”saidaretiredchairmanoftheNationalEnergyBoard.

Quoted in a Calgary Herald tribute written by David Finch,

Roland Priddle continued: “Aubrey loved the profession of geol-

ogyand later in retirementsuccessfully recaptured inhisbooks

the early glory days of the Alberta industry, particularly Leduc

and Redwater, and the people associated with those profoundly

important discoveries. For that work alone, the Alberta public

oweshimadebt.”

Born Samuel Aubrey Kerr in Orillia, Ont., on Nov. 29, 1915,

Mr.KerrwenttoschoolanduniversityinToronto.Aftermovingto

Vancouver,heearnedamaster’sdegree ingeology in1942 from

theUniversityofBritishColumbia.

ThewareffortandImperialOilhadhimlookingforoil,inthe

wake of the peak of production and a quick drop off atTurner

Valley.

Years later,Mr.Kerrwouldsay:“Therewasutterlyno future

in the oil business.TheTurnerValley field was producing about

15,000barrelsadayandwasonitslastlegs.”

Thingschanged.ImperialLeducNo.1struckcrudeonFeb.13,

1947.ArealpossibilityofevenmoreoilunderthePrairiesbegan

totakeshape.

Mr.KerrwasImperial’schiefgeologistandinchargeofnearby

ImperialLeducNo.2.ItbecameanothersuccessforImperialand

Alberta,provingtheexistenceofevenlargerquantitiesofoiland

adeeperreef,onMay7,1947.Thereefalonecontainedmorethan

390millionbarrelsofit.

SaidMr.Kerrin2007:“Wecouldtellitwasgoingtobeavery

prolificone.Thenewsgotbacktoheadoffice,evenallthewayto

NewYork,prettyquickly.”

Mr. Kerr would call his work in the Leduc field “the great-

est achievement I ever had. There was almost that element of

Christopher Columbus about it, of sailing into that unknown

world. What happened in those weeks and months in 1947

changedthewholefaceofAlbertaforever.”

Mr.KerrbecamechiefgeologistforAlberta’sHomeOilin1949.

WhenthefederalgovernmentcreatedtheNationalEnergyBoard

in1959,itselectedKerrasitschiefgeologist.

BackinCalgaryinthe1970s,Mr.Kerrsawtheneedtorecordand

collectthehistoryoftheoilpatchwhilemanyofitsplayerswerestill

alive.Hecollectedarchivalmaterials,andwasalsothedrivingforce

behindthecreationofthePetroleumIndustryOralHistoryProject

in 1981. The project is a collection of recorded and transcribed

interviews with more than 300 personalities in the Canadian oil

industry,andtodayitresidesattheGlenbowArchives.

Mr. Kerr published extensively. His articles on petroleum

history appeared in, among others, the Canadian Society of

PetroleumGeologists’Reservoir,theCanadianInstituteofMining,

MetallurgyandPetroleum’s Journal of Canadian Petroleum Technology,

theCanadianAssociationofPetroleumLandmen’sNegotiator,and

Oilweekmagazine.

He also wrote books, which for the most part he self-

published and hand-sold. They included Atlantic No. 3, 1948

in 1986, Corridors of Time in 1988, Leduc in 1991, Redwater in

1994, Corridors of Time 2 in2000,Corridors of Time 3 in2004and

A Sampling of Searchers in2007.

Hisworkearnedhimplentyofrecognition.Mr.Kerrreceived

theDistinguishedServiceMedalfromthePetroleumSocietyofthe

CIMMin1990anditsDistinguishedLecturerAwardin1991.

In1994,thePetroleumHistorySocietyawardedhimthebest

bookoftheyearprizeforRedwateranditslifetimeachievement

award.The CSPG gave him honorary membership in 1997, the

same year he began contributing a series of historical articles

toReservoir.

The University of Calgary awarded Mr. Kerr an honorary

doctoroflawsdegreein1998,andhewasalsoinductedintothe

PetroleumHallofFame,thatyear.m

Reprinted with Permission from the PEGG, April 2008

helen KozakIt is with deepest sadness that the CAPL announces the recent

passingofamember.HelenKozakpassedawayonApril19,2008

at theageof65.HelenKozakstartedworking intheoilandgas

industry at Canadian Hydrocarbons Limited approximately 36

yearsago.Uponherpassingshehadherownconsultingcompany

calledHMKLandConsultingLtd.HelenwasamemberoftheCAPL

since1986.Shewillbetrulymissedbyallwhoknewher.m

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Established 1978

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2008 10k Road Race and Fun RunOnCe again, Capl memBers have Been invited tO attend and partiCipate in the Cspg/Cseg 10 Km rOad raCe and fun run. The20thannualracewilltake

place onWednesday, September 10, 2008 at 6:00 p.m.This is an

excellentopportunitytocompeteandsocializewithmembersof

CAPL,CSPG,CSEGandthegeneralpublic.

Thecourse isflatandeasyalongthescenicBowRiverpath-

way and will start and finish at the Eau ClaireYMCA.The race

features include: numerous category awards, draw prizes, post-

race refreshments, dinner at a downtown restaurant, reduced

entryfeeforCAPLmembersandacommemorativesouvenir.

Whether you consider yourself a serious runner or a recre-

ationaljogger,pleasejoinusforthisfunevent.Furtherdetailsand

entryformswillbeavailableinthecomingmonthsontheCSPG

andCAPLwebsites.m

should you have any questions please contact:DaveBracey,716-6399

[email protected]

Junior Landman Classic elbow springs golf Club, thursday July 31, 2008 Sign in: 7 am. Shot-gun start: 8 am, Dinner and prizes to follow

Cost: $150 (includes green fees and cart, practice balls, buffet

dinner and great prizes)

Club Rental: $25

The Junior Landman Classic is a golf tournament organized

to introduce PLM students and recent graduates to industry

Landmen.This tournament is a great way for students to meet

industry mentors while providing an opportunity for members

of industry to interact with and meet their current and future

peers.Pleasecomeoutandjoinusforafunfilleddayofgolfand

networking.Thetournamentisascrambleformattournament,so

alllevelsofplayarewelcome.

Forinquiriesortoreceivearegistrationformviaemail,please

contact Matias Fernandez (Matias.Fernandez@conocophillips.

com/260-2029)orAdamFellows(Adam.Fellows@bonavistaenergy.

com/514-7384). Sponsorship opportunities are available, please

contacttheabovefordetails.m

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The Clearinghouse gives Sellers the option of two forms of divestiture market services for properties.Auction – Live and internet bidding on assets valued up to $15MM.Sealed Bid Process – for mid value negotiated transactions on assets ranging from $5MM to $100MM.

NOW ACCEPTING PROPERTIES FOR UPCOMING AUCTIONSThe Clearinghouse is now accepting properties to be sold at our June 26, 2008 Auction.

David B. Horn, President (403) 775-1802

Should you wish to sell properties in the auctions or have any questions regarding the auction process, please contact us at:

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2008 CAPL President’s Spring Ball

the Capl president’s spring Ball was held on

Saturday,April12,2008attheCalgaryWestinHotelwithapprox.

300CAPLmembersandguests inattendance.Thethemeofthis

year’seventwas“TreasuresoftheOrient”,athemewhichprovided

acollaborationofexcitementandstimulationforthesenses.

Theeveningbeganat6:00pmwithahostedchampagnerecep-

tion.Uponfollowingthestepsuptothegreathalla4footdragon

Icesculptureflankedwithflutesofbubblygreetedthoseentering.

Atapproximately6:50p.m.thetroopofMidnightTaikoDrummers

heraldedinallthegueststotheirseats.Thissetthetoneforthe

evening.Therewasnodoubtthatthebrightsilkdecoratedtables

andtheenergeticandcolorfulFilipinotroopofgymnasts,martial

artsexpertsandentertainersincreasedthelevelofexcitement.

Theballroomwasdecoratedbeautifully.Smalllightsadorned

orangeblossomtreesreminiscentofaJapanesegarden,complete

with Buddha bar music and dimly lit Zen like surroundings.

Theentireroomandstagewerescatteredwithtreesandvarious

otherplantings.Thetableswerebeautifullydecoratedwithfloor-

lengthtableclothsofalternatingbrightoranges,limegreensand

sheerfuchsiaoverlays,eachtablehadabrilliantflutedcentrepiece

richwithdelicateJapaneseblossoms,miniatureorchidsandlilies.

Whileguestsdinedonanarrayofsumptuoustreasuresfrom

theorient.Thefourcoursedinnerwasspecificallydesignedbythe

ChefsoftheWestinforourevent.Wewereentertainedbetween

coursesbytheJingWoMartialArtstroopandtheHonanShaolin

GoldenDragonteamthatmadechaseamongstthetablesending

upinacolorfulbattleonthedancefloor.

Afterdinner,guestsdancedthenightawaytothemusicofthe

TR3 who played a number of dynamic sets that kept the dance

floorfullthroughouttheevening.

I would like to take this opportunity to first thank all of

our sponsors. Without your generous financial sponsorship,

we would not be in a position to hold an event of this caliber.

Secondly, I would like to thank Cindy Rutherford, our current

president,andeachofthe14pastpresidentsfortheirattendance

andsupport. Iwouldalso like to thankeachandeverymember

andguestforyoursupportinattendingthisyear’sball.

Lastly, and certainly not least, I would like to thank the 2008

CAPLPresident’sSpringBallCommitteeconsistingof, JohnCovey

(Co-chair), Gloria Boogmans, JoAnna Skukan, Lorne Schaufert,

AmandaCain,KristyHalat-Skulsky,SallyJacksonandJimThompson

foralltheireffortsinmakingthisyear’seventagreatsuccess.m

Michele Beitel, Co-chairman

2008 CAPL President’s Spring Ball Committee

2008 Spring Ball Committee members. (L-R): Kristy Halat-Skulsky, Amanda Cain, Sally Jackson, JoAnna Skukan, John Covey, Lorne Schaufert, Gloria Boogmans, Michele Beitel

2008 Spring Ball President’s Reception. Front (L-R): Denis McGrath, Lynn Dyson, Bill Cunningham, Jack Irwin, Cindy Rutherford, Neil Cusworth. Back (L-R): Brad Goodfellow, Jim Moore, Tim Martin, Ian Clark, Harlow Way, Guy Anderson, Jim Gibney, Greg Strachan, Gary Montgomery

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Utility Corridorsthe City Of Calgary and the City Of edmOntOn entered intO a JOint prOJeCt to develop criteria for

contaminationwithinutilitycorridors.Thisprocesswasinplace

asof2003.

Throughaseriesofstudiesandreports,informationwasprovided

oninvestigationsandremediationofcontaminatedutilitycorridors.

In the past eight years, there have been over 90 investigations

completed within British Columbia and Alberta. These investiga-

tions have resulted in the remediation of contaminated soils and

groundwaterwithinutilitycorridorstolevelsbeyondthosepresently

requiredbyprovincialand/orfederalstandardsandguidelines.

Unlike a number of states within the United States, which

provide state-funded remediation through programs such as

the Petroleum Cleanup Fund of Vermont, Canada has no such

meansthroughwhichathirdpartymayobtaincompensationfor

injury and damage caused by hydrocarbon releases other than

the court system. The alternatives that face an impacted third

party in Canada are limited to consultation with the ‘polluter’,

or investigation(s) and subsequent legal action. The investiga-

tionsconductedforutilityproviderswithinBritishColumbiaand

Albertahaveresultedinthenegotiationandrecoveryofcostsfor

damagetoinexcessof$2.6M,withmoreactionspending.

Theopinioncurrentlyheldbysomeutilityauthoritiesisthatthe

standardsand/orguidelinespresentlyadvocatedfortheinvestigation

and remediation of contaminated sites do not adequately address

issues includingpotentialdamages toutilities. Inaddition, theydo

notnecessarilyaddressotherrelevantcontaminantsofconcern,or

theirreactivityintheenvironmentwithrespecttoutilitystructures.

Althoughutilitycorridors typicallycontainfillmaterials that

aremorepermeablethanadjacentnativesoils,intrusiveinvesti-

gationsinthesecorridorshasremainedlimitedduetopotential

liabilityandhealthandsafetyconcernsifutilitiesarephysically

damaged. Additionally, documentation of utilities at sites that

have a long and diverse land use history may not identify all

undergroundstructures.Afurthercomplicatingfactorforidenti-

ficationofcontaminationarisesduetoadiversityofinvestigative

techniques forcontaminatedsoilandgroundwater.Somemeth-

odologies can yield soil and groundwater analytical data that

willbehighlyvariable,whichmayultimatelyunderestimatethe

concentrationofparticularcontaminantsofconcernandconse-

quentlytheirpotentialtoimpactreceptors.

the top eight concerns for utility corridor impact are:1.Susceptibilityofutilitycorridortopenetrationofhazardousor

dangerousforeignsubstances.

2.Risk analysis of penetration (underground storage, dumping,

linefeed)inclusiveofallriskswithin75meters.Crossreactivity

onallidentifiedsubstances(i.e.couldtwosubstancescreatea

poisonousgaswhenmixed?).

3.Benchmarkconditionsofsoil,waterandutilityinfrastructure.

4.Characteristics of the hazardous or dangerous foreign

substances, such as: elements, toxicity, mobility, reactivity,

metamorphosisanddegradationcharacteristics.

5.Impact of the hazardous or dangerous foreign substances on:

PVC,metal,water,soilandmostimportantlyhumanlife.

6.What will be acceptable criteria (i.e. 2001 Risk Management

Commercial/Industrialcriteria)?

7.Remedial options for the hazardous or dangerous foreign

substances.

Asbestos Sampling – Older Pipe

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8.Seasonal considerations: frost, water table, and temperature

fluctuations.

some of the post contamination concerns are: 1.Riskmanagementofoff-sitecontamination.

2.Forensicfingerprintingofsourcematerials.

3.Plansformonitoringshiftindirectionofplume.

4.Inclusion of utility corridor personnel (crews) as applicable

ExposurePathwayReceptors,aswellas,

a.all necessary precautions should be taken by crews upon

construction within the contaminated area (i.e. ensure

personalprotectiveandsafetyequipmentareused).

b.vapourmonitoringshouldbeconductedinanytrenchwithin

theareaofsuspectedcontaminationdeeperthanthreemeters

oruponanyhydrocarboncontaminationencountered.

in addition, the following should be considered:1.Sealaroundutilitieson-siteintheplume

a.ifanyprivateutilitiesareencounteredduringtheexcavation,

thetrenchwillbesealedwitharesistantmaterial.

2.RiskManagementofoff-sitecontamination

a.upon source removal, a sample will be removed from the

excavationfromanareaofhighestcontamination.

b.thesamplewillbefingerprintedtoidentifytheexacthydro-

carboncomponentspresent(i.e.forensicanalysis).

c. when the utility company or consortium is required to do

construction in the area of the approximate contamination

plume(i.e.waterlinebreakorscheduledlineupgrades)and

suspected contamination is found, a sample will also be

fingerprintedtoconfirmthesource.

d.if the contamination off-site matches the on-site finger-

printing sample and is above 2001 Risk Management

Commercial/Industrial criteria, then the owner will be

responsiblefortheproperdisposalofthesoilstocomplete

waterlinetrenching.

Until relatively recent times, exposure to hydrocarbon contami-

nantsandinfrastructuredegradationby-productshasnotbeenfully

realized nor managed appro-

priately.Potentialhazardsand

liabilitiesthatmaybeencoun-

tered due to the presence of

petroleum hydrocarbons,

includethefollowing:

•explosion hazard within

manholes due to the pres-

enceofflammablefuels;

•explosive gases with cables

thatmayigniteduringcable

splicing;

•exposure to benzene and

polycyclic aromatic hydro-

carbons(PAH)ingasolineanddiesel;

•exposure to PAH compounds and asbestos resulting from the

deterioration of black-fiber duct systems when hydrocarbon

productsdissolvethismaterial;

•exposuretoPAHandphenolcompoundsthatcanbemobilized

fromcreosote-treatedconduitsystemsinthepresenceofother

hydrocarboncompounds;

•formation of microbial colonies with unknown human health

concerns;and

•hydrogensulphide(H2S)resultingfromtheanaerobicmicrobial

activitythatisstimulatedbythepresenceofacarbonbasedfood

source(dissolvedhydrocarbons).

Inconclusion,caveatsassociatedtorightofwaysmayberequired

to define cause and effect scenarios associated to all materials

withinthecorridoralongwithasharedliabilityclauseforthosein

commoncorridors.Thesecaveatswouldhavetoremainevenafter

linescontainedwithinhavebeenabandoned.m

Deidre A. Macht

Synergy Co-ordinator, Environmental Assessment and Liabilities

Environmental & Safety Management, City of Calgary

H2S in Utility Corridor

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CAPL Member Profilerob telford1. How did you initially become

introduced to the Land industry/

Why did you want to become a

landman?

In 1987 I was working in the field

of nuclear medicine and had the

opportunity tomeetNormMcNally

who explained to me what a

landman was and did. Over the

next year he approached me to see if I would be interested

inbecominga landmanandworking in theEdmontonArea.

After tagging along on a couple of projects I decided that

Ienjoyedtheopportunitytomeetwithpeople,negotiateinterests

andsettledisputes.Idecidedtopursuetheopportunitybecause

I couldsee that itwouldbeaverydynamicandchallenging

career which would provide an opportunity to work with a

varietyofpeopleandcorporations.

2. What have been the highlights of your career as a landman?

Thehighlights inmy career so farwould include theoppor-

tunity to work with numerous experienced individuals in

our association and in our industry. I find it amazing to see

how these individuals are involved in our association and

community and their willingness to mentor and give back.

Another highlight would include obtaining my P.Land

designation in 1998. Lastly a major highlight is being asked

to run for the Board of Directors in 2004 and being able to

representourassociationthisyearasPresident.

3. What do you think the highlight has been, so far,

volunteering on the CAPL Board of Directors?

I believe my main highlight so far has been working with

all of the volunteers of the various committees. I am

always amazed at the efforts and creativity that individuals

exert on every project or event the CAPL is involved with.

Onespecificeventthatstandsoutisthe2005SteerRafflewhere

inamatterof6weeksa4Hfundraisingeventwasorganized.

Itraisedcloseto$10,000forthe4Hfoundationforthebenefit

of kids and, in turn, has lead to a very strong relationship

betweentheCAPL,4HAlberta,theCalgaryStampedeandthe

generalagriculturalcommunity.

4. As incoming President, what do you hope to contribute to

the CAPL membership within the upcoming year?

OverthenextyearIhopetoworkwiththeBoardofDirectors

to make some changes that were indicated in the recent

survey that was carried out and is now available on our

website. Ingeneral, thesurvey indicates thatourassociation

hasaverystrongbaseofvolunteersand,asawhole,likethe

direction the organization has been going in recent years.

Themainfocuswillbeincreasingprofessionalism,education,

and ethical conduct, while maintaining the great opportuni-

tiestonetworkandsocialize;ingeneraladdingmorevalueto

ourmembership.Inaddition,thisyearmarkstheassociation’s

60thanniversaryandinOctoberwewillbetakingtheoppor-

tunitytoreviewitscolourfulhistory.

5. Personal Interests outside of Industry (What are your

interests and recreational activities?)

Outsideofwork,Ihaveseveralinterestsincludingbothsports

andkids.Ienjoytheopportunitytotakeinagameofgolf(not

thatyouwouldeverknowbythewayIplay)aswellaswork-

ingwithkids.Overthelast12years,mywifeLyndaandIhave

become very involved in the foster/adoptive process in the

province.Wehaveenjoyed theopportunity tomakeadiffer-

enceinmanychildren’slives.m

Kellie D’Hondt

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custo

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CAPL Calendar of EventsJune 3 Tuesday AdvancedSurfaceRights 3 Tuesday BoardMeeting 4 Wednesday AnInterpretiveApproachtoROFRIssues 5 Thursday FacilitiesOverview(PSLCourse) 9 Monday SaskatchewanLandSale 11 Wednesday AlbertaLandSale 18 Wednesday BCLandSale18-21 Wed–Sun AAPLAnnualMeeting 25 Wednesday AlbertaLandSale 26 Thursday GeneralMeetingm

July 1 Tuesday CanadaDay 9 Wednesday AlbertaLandSale 16 Wednesday BCLandSale 18 Friday PLMCharityGolfClassic 23 Wednesday AlbertaLandSalem

august 4 Monday HeritageDay 6 Wednesday AlbertaLandSale 11 Monday SaskatchewanLandSale 13 Wednesday ManitobaLandSale 13 Wednesday BCLandSale 20 Wednesday AlbertaLandSale23-24 Sat–Sun SummerNAPEExpo 25 Monday CAPLGolfTournamentm

June MeetingCapl, Capla & irWa annual networking night pre-stampede partythursday, June 26, 2008

Time: 4:00 p.m. until 9:00 p.m.

Location: Flames Central

219 – 8 Avenue S.W.

Members: $31.50 (includes GST)

Guests: $42.00 (includes GST)

Ticket includes buffet dinner and drink tickets. Sponsorship oppor-

tunities for this blockbuster event are still available. Please contact

JeffHohnat645-8250.Creditcardorderscanbefaxedto263-1620or

[email protected]

topurchasetheirticketsfromtheCAPLofficebyJune19,2008.m

september 1 Monday LabourDay 2-6 Tues-Sat SalmonFishing 3 Wednesday AlbertaLandSale 9 Tuesday Ethics 9 Tuesday FiduciaryDuties 9 Tuesday BoardMeeting 10 Wednesday 10KRoadRace 10 Wednesday BCLandSale10-11 Wed-Thurs Directive056&Directive60(PSLCourse) 13 Saturday TrapShoot 16 Tuesday ProductionAgreements 17 Wednesday AlbertaLandSale21-24 Sun-Wed 2008CAPLConference 30 Tuesday GroundwaterEffects(PSLCourse)m

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At IHS, we provide the landscape of the Canadian oil and gas industry.IHS provides the most complete and accurate crown and detailed freehold land database in Canada.

With over 50 years of data accumulation for Freehold, Open and Disposed Crown, First Nations and Dominion Lands, the IHS Land dataset is the most trusted and comprehensive within theCanadian oil and gas industry.

With daily auditing procedures, the IHS Land dataset ensuresquality and completeness to provide you with the most reliable,comprehensive and high-quality data for your business.

See for yourself. Call your Account Executive at 403 770 4646for more information.

See further. See opportunity. See clearly.

403 770 4646www.ihs.com/energy

©2007 IHS Inc. All Rights Reserved.

IHS is very proud to berecognized as one of the“Best Workplaces in Canada”for 2007.

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It’s easy to switch to geoSCOUT. We swear.

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