Frontier Lands Petroleum Royalty Regulations

4 (1) Subject to subsection (2), no royalties are payable in respect of petroleum, produced from project lands, that is

• (a) consumed in drilling, producing, testing, separating or processing for the purposes of the project;

• (b) injected into a formation for conservation purposes;

• (c) consumed in the operation or maintenance of the production facilities of the project; or

• (d) flared.

(2) Subsection (1) does not apply to any petroleum that is wasted within the meaning of subsection 18(2) of the Oil and Gas Production and Conservation Act.