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Directive 007-1: Allowables Handbook

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Release Date: February 17, 2016

Effective Date: February 17, 2016
Replaces the previous edition released on April 23, 2013.
Released with Bulletin 2016-01.

Purpose of this Directive

This directive explains the AER’s procedures for determining monthly allowables for a production entity (well or block).

Allowables or maximum rate limitations (MRLs) are rate controls applied primarily to oil entities in accordance with an AER order. MRLs are assigned to new oil pools when conservation is or could potentially be an issue. MRLs help minimize depletion impacts on oil pools and ensure that enhanced oil recovery is addressed. MRLs also serve to maintain intrapool equity.