Bill 90 (Legislature 11, Session 4)

L11 S4 7001

Alberta — Bills

Bill No. 90 of 1951. A BILL TO PERMIT THE TEMPORARY EXPORT OF GAS TO MONTANA FOR ESSENTIAL DEFENCE PRODUCTION. NOTE. This Bill enacts a new Act to be known as HThe Gas Export Act". The purpose of the Act is to permit the temporary export of gas to Montana which is required for essential defence production. Mr. Charles E.

Wilson, the Director of Defence Mobiliza tion for the United States, has requested that a limited supply of gas be exported for a period of five years to assist in meeting the requirements of Anaconda Copper Mining Company which is engaged in the production of copper, zinc, manganese and other minerals vital to defence. The Government of Canada has officially advised Alberta that the need for this gas is urgent in the interests of national defence. The Bill a,ccordingly authorizes the export of a limited quantity of gas for a period of five years.

The Bill authorizes The Petroleum and Natural Gas Conservation Board, with the approval of the Lieutenant Governor in Council, to grant a permit for the removal from the Province of gas which is essential to enable the continued production by the Anaconda Copper Mining Company of copper, zinc, manganese and other minerals vital to defence. The Board may grant the permit without the necessity of a hearing.

The permit may authorize the M,cColl-Frontenac Oil Company Limited and the Union Oil 'Company of California to remove gas from the Province and deliver it to the Montana Power Company for use Dr consumption in the min ing, smelting, reduction and refining operations of Anaconda. The gas is to be remDved solely from such fields, pools or wells in the Pakowki Lake area as may be designated by the BDard.

A comparatively short pipe line will be required to ,connect the Pakowki Lake field with the Montana Power Company's natural gas system between Outbank and Shelby and sufficient steel has been made available for this purpose. The provisions of The Oil and Gas Resources Conserva tion Act, 1950, apply to the drilling for and production of the gas. The provisions of The Gas Resources Preservation

ii Act, except in so far as they are varied by this Act, are applicable to the permit granted under this Act and to the permit holder. The Bill provides that the maximum quantity of gas that may be removed from the Province under the permit shall not exceed ten billion cubic feet per year and forty million ,cubic feet per day. The gas is to be used ex;clusively to enable the Montana Power Company to meet the requirements of the Anaconda Copper Mining Company for defence production to the extent that it is unable to do so from its own reserves of gas.

If The Petroleum and Natural Gas Conservation Board is of the opinion that the Montana Power Company is using the gas to enable it to extend its existing services or to supply customers not being served at the date of the granting of the permit or for any purpose other than that authorized by this Act, the quantities of the gas that may be exported under the permit may be reduced or the permit may be -cancelled. The permit terminates at the end of five years if it is not previously cancelled.

At any time prior to the can cellation or termination of the permit the holder may apply to the Board under The Gas Resources Preservation Act for a permit to export gas and all the provisions of that Act shall apply to the application. This Bill ,comes into force upon assent. KENNETH A. McKENZIE, Legislative Counsel. (This note does not form any parrt of the Bill but is offered in explanation of its provisions.)

BILL No. 90 of 1951.

An Act to Permit the Temporary Export of Gas to Montana for Essential Defence Production. (Assented to ,1951.) HIS MAJESTY, by and with the advice and ,consent of the Legislative Assembly of the Province of Alberta, ena-cts as follows:

Short Title. 1. This Act may be cited as "The Gas Export Act".

Interpretation. 2. In this Act, unless the context otherwise requires,-

Short title (a) "Board" means The Petroleum and Natural Gas "Board" Conservation Board constituted under the provisions of The Oil and Gas Resources Conse1~vation Act, 1950; (b) "gas" means all natural gas, both before and after "gas" it has been subjected to any treatment or process by absorption, purifi-cation, scrubbing or otherwise, and includes all other fluid hydrocarbons not de fined as oil; (c) "oil" means crude petroleum oil and all other hydro- "oil" ·carbons, regardless of gravity, which are or can be recovered from a pool in liquid form by ordinary production methods. 3.

(1) Notwithstanding any provision of The Gas Re- Permit to sources Preservation Act, the Board, with the approval of remove gas the Lieutenant Governor in Council and subj ect to the provisions of this Act, may grant a permit for the removal from the Province of gas which is essential to enable the continued production by the Ana'conda Copper Mining Company of copper, zinc, manganese and other minerals vital to defence.

(2) The permit'may be granted without any hearing by the Board. 4. The permit may authorize the McColl-Frontenac Oil Authori~y Company Limited and the Union Oil Company of California of permIt to' remove gas from the Province and to. deliver it to the Montana Power Company for use or -consumption in the

Removal of gas 2 mInIng, smelting, reduction and refining operations of the Anaconda Copper Mining Company. 5. The gas may be removed solely from such fields, pools or wells in the Pakowki Lake area as may be designated by the Board from time to time. Application 6.

(1) All the provisions of The Oil and Gas Resources ~~~';J.a~il Conservation Act, 1950, and the regulatio~s thereunder are Resources applicable to the drilling for and productIon of the gas. Cpnserv(£tion :~k ~9~~> G(£S (2) All the provisions of The Gas Resources Preserva- Resources tion Act and the regulations thereunder, e~cept in so far ~~~e;~ta- as they are varied by or are in eonflict with the provisions of this Act, are applicable to the permit granted under this Act and to the holder thereof.

Quantity of gas removed Use of gas removed Board may,- reduce quantity of gas removed cancel permit Condition of permit Term of permit 7. The maximum quantity of gas that may be removed from the Province under the permit shall not exceed,- (

a) ten billion cubic feet in any year; and (

b) forty million cubic feet in any day. 8.

(1) The gas removed from the Province under the permit shall be used exdusively to enable the Montana Power Company to meet the requirements of the Anaconda Copper Mining Company for its smelter and reduction works at Anaconda, its smelter and redu,ction works at Great Falls and its mining operations at Butte, to the extent that the Montana Power Company is unable to do so from its own reserves of gas.

(2) If the Board is of the opinion that the Montana Power Company is using the gas so removed to enable it to extend its existing services or to supply customers not being served at the date of the granting of the permit, or to supply any requirements other than those mentioned in subsection (1), the Board, in its' discretion, with the approval of the Lieutenant Governor in Council, may,- (

a) reduce the annual and daily maximum quantities of gas that may be removed from the Province under the permit; or (

b) cancel the permit.

(3) It is a condition of the permit that the records of the Montana Power Company shall be made available for i:gspection by the Board or by any person authorized by the Board to the extent necessary to determine whether the gas removed from the Province is being used and con sumed in accordan,ce with this

section . . 9.

(1) The permit grant~d under this Act, if not pre VIOusly cancelled under

sectIOn 8 or under the provisions of The Gas Resources Preservation Act, shall terminate five years after the date of coming into force of this Act.

(2) At any time prior to the cancellation or termination tli~~~~i~n of the permit the holder of the permit may apply to the gas for use Board under The Gas Resources Preservation Act for per- ~~S::i~ere mission to remove gas or cause gas to be removed from Province the Province for use or consumption elsewhere than within the Provin,ce and all the provisions of the said Act shall apply to the application. 10. This Act shall come into force on the day upon which ~~~~~~ce it is assented to.

No. 90. FOURTH SESSION ELEVENTH LEGISLATURE 15 GEORGE VI 1951 BILL

An Act to Permit the Temporary Export of Gas to Montana for Essential Defence Production. Received and read the First time ................ . Second time ..................................... . Third time .................. . HON. MR. TANNER. Title: 1951 (11th, 4th) Bill 90,

An Act to Permit the Temporary Export of Gas to Montana for Essential Defence Production

Document details

Collection	Alberta — Bills
Citation	L11 S4 7001
Type	bill
Volume / chapter	L11 S4 7001
Language	en
Format	json
Source	PROVINCIAL
Identifier	79108bf051e93834d157487ac224e1d1dca189b1

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