EDMONTON, Alberta, Oct. 23 (UPI) -- Alberta Premier Ed Stelmach plans to release his royalty plan Wednesday while the province is split on whether he should promote the Royalty Review Panel.
"We will have no choice but to slow down our Alberta-based activity and move investments to other areas," said Randy Eresman, chief executive officer of EnCana.
He warned of negative effects on local consumers and taxpayers, saying EnCana would cut about $1 billion from its investments in Alberta in 2008.
When the Royalty Review Panel released its report Sept. 18, crude prices were at $81.51 per barrel; since then prices have risen to $86.02. Gains in oil and natural gas prices over the past four weeks have been small.
Prices have not dramatically fluctuated at the prospect of a 20 percent increase in taxes and royalties from oil and gas companies.
