Benefits Agreements

Benefits Agreement Template ( 34 Kb)

A Benefits Agreement template has been developed that will assist industry in concluding Benefits Agreements relating to exploration licensing activities. This Benefit Agreement template mirrors section 68 of the Yukon Oil and Gas Act, with respect to balancing First Nation and Yukon interests.

For additional information regarding Benefits Agreements please contact us.

FAQ's on Benefits

When is a benefits agreement required?
Section 68 ( 1.3MB) of the Yukon Oil & Gas Act states that no oil and gas activity shall be carried out under the authority of a licence unless there is in effect a benefits agreement. Where work related to the oil and gas activity is anticipated to entail costs less than $1 million, in any 12-month period, a benefits agreement is not required.

Who is to be involved in a benefits agreement?
Normally, the agreement is to be tripartite, between the licensee, the Minister on behalf of the Government, and the Yukon First Nation on whose settlement lands or traditional territory the activity will be carried out.

What is to be the content of a benefits agreement?
The agreement is to contain undertakings by the licensee to provide to First Nations, local residents, and other Yukoners opportunities for employment and training, and opportunities to supply goods and services to the licensee and contractors.

The benefits are to be commensurate with the nature, scale, duration and cost of the work.

Is a benefits agreement required for every licence issued?
No. An agreement may cover activities to be carried out under several licences and is only required for projects where the anticipated cost is over $1 million in any 12-month period.

 

Oil and Gas Menu