Competitive Framework for Alaska: 2012

PVM Proposal for New Production In order to make the severance feature match the government take of HB 110 for new production, the following price sensitive sliding scale is proposed: • The sliding scale starts at an oil price of $ 60 per barrel, Between an oil price of $ 60 and $ 180 per barrel, the severance feature would increase with 0.05% per dollar increase, reaching a value of 6% at $ 180 per barrel Thereafter, the sliding scale would increase 0.1% in order to reach a maximum of 15% at $ 270 per barrel. 77

View entire presentation