Supply costs for natural gas wells in Saskatchewan range from $1.21 per mcf to $5.14 per mcf for vertical wells. CERI did not have enough data to assess on Saskatchewan’s horizontal wells. Similar to the other provinces in the WCSB, it can be expected that the supply costs of horizontal wells in Saskatchewan will be less expensive than the vertical well supply costs. Horizontal wells will continue to make up a higher proportion of drilling throughout the 20-year study period.
ration of the study period, from $1138.25 million in 2018 to $11660.64 million, same as Alberta, in 2036. The province also is actively encouraging innovation for cleaner technologies through its Centre for the Demonstration of Emissions Reductions Technologies, otherwise known as C-DER. C-DER 4is a Saskatchewan-based test and verification facility that provides real-world testing, demonstration and verification of emissions reduction technologies. The centre’s research focuses on methane emissions reduction and will expand to carbon dioxide, hydrogen sulfide, mono-nitrogen oxides, and sulfur oxides. It also encourages local producers to test new technologies through the Saskatchewan Petroleum Research Incentive program. v
Footnotes 1 Yurkowski M. Saskatchewan’s top oil play opportunities. Saskatchewan Geological Survey 2 http://resources.ceri.ca/PDF/Pubs/Studies/Study_159_Full_Report.pdf 3 In CERI study, supply cost is defined as a price of crude oil (or natural gas) required to recover all capital expenditures, The province of Saskatchewan also sees reduced revenues operating costs, royalties, taxes, and a real 10 percent rate of from 2014, however not as drastic as in Alberta. After 2016, return. 4 the revenues are expected to rise continuously through the duSaskatchewan Research Council Del_Filler_HalfHorizontal_Oil_Del_Filler_WESTT.qxd 15-09-04 1:56 PM Page 1
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