​Tenure - Direct Purchases


Regional Average Price per Hectare for Last Six Sales

For information on using this Regional Average to determine the cost of a private sale, see Information Letter 2006-12.
Frequently Asked Questions follow the table.
(This​ page will be updated each Friday after the Public Sale)
The fiscal year summary is also available.

Sale DatePlains $/haNorthern $/haFoothills $/ha
​ As of 2018 June 13​ $365.85​ $388.99​ $183.34
​​ As of 2018 May 30​ $373.07​ $352.27​ $198.56
​ As of 2018 May 16​ $370.22​ $322.46​ $217.94
​ As of 2018 May 2​ $268.62​ $355.79​ $213.37
​​ As of 2018 Apr 18​ $283.45 ​$362.62​ $212.06
​​ As of 2018 Apr 4​ $276.91​ $339.16​ $281.90
​ As of 2018 Mar 21​ $240.65​ $404.17​ $274.90
​ As of 2018 Mar 7​ $299.79​ $332.21​ $304.12
 As of 2018 Feb 7 $275.36 $265.85 $304.12
 As of 2018 Jan 24 $414.25 $288.67 $674.00
 As of 2018 Jan 10 $391.52 $282.40  $619.26
 As of 2017 Dec 20 $629.81 $367.33 $700.28
 As of 2017 Dec 6 $729.53 $299.35 $800.86
 As of 2017 Nov 22 $696.19 $370.43 $850.12
 As of 2017 Nov 8 $708.12 $380.75 $591.87
 As of 2017 Oct 25 $678.99 $374.77 $310.14
 As of 2017 Oct 11 $671.45 $400.30 $357.64
 As of 2017 Sept 27 $437.70 $319.37 $750.70
 As of 2017 Sept 13 $276.18 $399.84 $987.49
 As of 2017 Aug 30 $336.21 $331.40 $789.57
 As of 2017 Aug 16 $297.34 $255.41 $1,381.57
 As of 2017 Aug 2 $366.58 $264.33 $968.39
 As of 2017 July 19 $343.39 $285.94 $1,122.45
 As of 2017 July 5 $475.11 $272.97 $1,024.49
 As of 2017 June 21 $499.27 $301.43 $914.66
 As of 2017 June 7 $465.36 $318.47 $1,028.39
 As of 2017 May 24 $460.75 $301.55 $995.18
 As of 2017 May 10 $460.94 $310.56 $465.51
 As of 2017 Apr 26 $469.31 $249.54 $172.03
 As of 2017 Apr 5 $336.21 $258.03 $194.43
 As of 2017 Mar 22 $329.20 $205.62 $187.72
 As of 2017 Mar 08 $282.85 $192.08 $187.72
 As of 2017 Feb 08 $274.54 $169.28 $148.95
 As of 2017 Jan 25 $120.84 $144.37 $187.25
 As of 2017 Jan 11 $100.15 $135.11 $204.79
 As of 2016 Dec 7 $89.03 $110.76 $177.79
 As of 2016 Nov 23 $67.81 $125.05 $163.25
 As of 2016 Nov 09 $69.83 $176.49 $163.25
 As of 2016 Oct 26 $88.13 $204.84 $207.66
 As of 2016 Oct 12 $92.88 $229.84 $289.19
 As of 2016 Sept 28 $104.28 $248.28 $139.84
 As of 2016 Sept 14 $122.73 $239.33 $118.34
 As of 2016 Aug 31 $139.13 $259.05 $309.09
 As of 2016 Aug 17 $137.41 $227.91 $228.03
 As of 2016 Aug 03 $137.43 $233.11 $38.37
 As of 2016 July 20 $124.81 $191.38 $8.88
 As of 2016 July 6 $134.27 $188.32 $17.93
 As of 2016 June 22 $77.00 $229.95 $18.28
 As of 2016 June 08 $101.35  $138.39 $18.28
 As of 2016 May 25 $106.05 $147.91 $15.80
 As of 2016 May 11  $102.47 $143.22 $15.80
 As of 2016 Apr 27  $102.73 $152.06 $72.88
 As of 2016 Apr 06 $95.07 $129.21 $76.84
 As of 2016 Mar 23 $100.50 $162.61 $84.16
 As of 2016 Mar 09 $90.47 $194.13 $81.79
 As of 2016 Feb 10 $86.81 $331.67 $80.03
 As of 2016 Jan 27 $87.23 $316.92 $80.03
 As of 2016 Jan 13 $79.33 $344.06 $170.89

 

Frequently Asked Questions

What are the three types of direct purchases?

Portions of Land

A portion of Crown rights in a spacing unit can be acquired through a direct purchase if you control the freehold rights in the balance of the spacing unit (i.e. hold the title to the freehold mineral rights or have an active freehold lease with the title owner). Simply being party to a Farm Out Agreement or Letter of Intent does not mean that you control the freehold rights in the spacing unit.The portion of Crown rights must be less than 50 per cent of the smallest applicable spacing unit for the land.

Single Substance

The holder or designated representative of an active agreement that grants the rights to a single substance (natural gas or petroleum) can acquire the rights to the corresponding single substance.
A Land Agent may authorize his client (for the existing agreement) to facilitate the purchase.

Complementing Rights in an Oil Sands Area

The holder or designated representative of an active oil sands agreement can purchase the associated natural gas rights for the available zones that match their oil sands rights. A Land Agent may authorize his client (for the oil sands agreement) to facilitate the purchase. The new P&NG agreement will be issued in the name of the Land Agent.

Who will receive the notification email within the designated representative company?

The site administrator of the designated representative company must create client accounts and then give each account holder "viewer" status for agreement documents. Everyone with viewer status within the company will receive an email and will be able to retrieve the documents.  If you have questions concerning public sales of Crown petroleum and natural gas rights, please call our information line at 780-644-2577.

What documentation do I need to submit to prove that I control the freehold portion?

To support your request you must submit a statutory declarationPDF icon stating that you or the company have ownership of or control over the P&NG in the freehold portion of the spacing unit. This control may occur by virtue of being the owner of a percentage of undivided interest in the P&NG or the holder of a percentage of undivided interest in the P&NG under a valid and existing freehold lease.

You must indicate on the statutory declaration the substance and zone(s) you own or hold a controlling interest. The Crown lease will be issued with the available corresponding mineral rights.

If my Land Agent holds the freehold agreement, can I apply for the direct purchase?

When a Land Agent holds the freehold agreement for a third party, and the Agent does not wish to facilitate the direct purchase, the Agent can advise the Crown of their client's name and provide authorization to the Crown to deal directly with their client. The bonus, fee and rent will be requested from the client and the agreement will be issued in the Land Agent's name. 

What is the cost to purchase minerals through a direct purchase?

The bonus to purchase a portion of land is $500.00 per hectare with a minimum bonus of $2,000.00.

The bonus to purchase a single substance is calculated at 75 per cent of the regional price per hectare based on the average of the prices bid in the region (Plains, Northern or Foothills) for the last six petroleum and natural gas sales held immediately prior to the date the request is received.

The bonus to purchase complementing rights in an oil sands area is calculated at 125 per cent of the regional price per hectare based on the average of the prices bid in the region (Plains, Northern or Foothills depending on where the requested land is located) for the last six petroleum and natural gas sales held immediately prior to the date the request is received.

The regional price is posted Friday after each public sale. 

A 625.00 issuance fee is applicable to all direct purchases. The first year's rent of $3.50 per hectare with a minimum rent of $50.00 is also required except, when purchasing a single substance where your existing agreement will be amended to include the additional substance.

How long does it take to process a direct purchase request?

Once a request, including all the required information is received, the processing time is approximately two months. 

What if the rights I want to acquire do not qualify for a direct purchase?

If a parcel of Crown rights does not qualify for a direct purchase or the applicant finds the direct purchase terms unsuitable, the parcel may be posted in the first available public sale. 

How do I apply for a direct purchase?

 

A request for a direct purchase must be submitted using the Departments Electronic Transfer System (ETS). ETS gives you access to a web-based posting system for petroleum and natural gas rights.

You can submit a request by logging into ETS and choosing the "Posting Requests" folder. If you do not have an ETS account, you will need to apply for an account so that you can do business electronically with the department. More information about ETS and how to set up an account or change your current account is available here.

If you have questions concerning direct purchases of Crown petroleum and natural gas rights, please call our information line at 780-644-2577.