Royalty Deal Details Royalty is triggered. At this pricing level, Hangingstone Project 1 is estimated to have an annual operating netback of approximately $120 million (net of a $4 million upsized Royalty payment). The Royalty is not expected to materially impact economics of future Hangingstone expansion phases or other future Thermal Oil development projects and there are no associated commitments for future development.
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Hangingstone | | Other Thermal Assets |
Realized Bitumen Price | Royalty | Implied WTI* | | Realized Bitumen Price | Royalty | Implied WTI* |
$C/bbl | % | US$/bbl | | $C/bbl | % | US$/bbl |
Below $50/bbl | 0% | | | Below $60/bbl | 0% | |
$50/bbl to $69.99/bbl | 2% | $75-91 | | $60/bbl to $79.99/bbl | 2% | $78-94 |
$70/bbl to $89.99/bbl | 4% | $91-108 | | $80/bbl to $99.99/bbl | 4% | $94-110 |
$90/bbl to $109.99/bbl | 6% | $108-124 | | $100/bbl to $119.99/bbl | 6% | $110-126 |
$110/bbl to $129.99/bbl | 8% | $124-141 | | $120/bbl to $139.99/bbl | 8% | $126-142 |
$130/bbl to $149.99/bbl | 10% | $141-157 | | $140/bbl to $159.99/bbl | 10% | $142-159 |
$150/bbl and above | 12% | >$157 | | $160/bbl and above | 12% | >$159 |
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