Our Fees

Phoenix’s professional services fees are flexible and can be structured as hourly rates based on the value of each of the services provided to the client, a fixed monthly fee, a volumetric fee, a percentage of revenue formula, or a fee based on a sharing of the calculated value added.  A typical retainer client can expect to invest between $0.06/boe and $0.12/boe for Phoenix’s services, depending upon the scope of the project.

Each service has been categorized into one of four service levels:

1. Administrative

The Administrative level of service covers approximately 70% of the services provided by Phoenix to junior oil & gas producers. Services included in the Administrative level include contract administration, gas control, marketing accounting, revenue accrual preparation, purchase statement verification, Form “A” crude oil production forecasting, regulatory administration, management reporting, marketing summaries and transportation renewals.

2. Basic Transactional Marketing

The Basic Transactional Marketing level of service includes take-in-kind requests, establishing new daily or monthly spot market sales contracts with established counterparties using pro-forma agreement templates, arranging for transportation service at existing meter stations, optimization of firm transportation capacity utilization, optimization of crude oil delivery points and post-closing transitional work associated with property acquisitions and divestitures.

3. Advanced Transactional Marketing

The Advanced Transactional Marketing level of service includes negotiation of short & long-term sales contracts, arranging for new meter stations connections, negotiation of oil and gas gathering and processing agreements, application for long-term gas & oil export licenses, client representation on industry committees, research & analysis of gathering, processing and transportation alternatives within exploration focus areas and pre-closing property acquisition and divestiture due diligence.

4. Strategic Marketing

The Strategic Marketing level includes very advanced, complex and high impact services requiring a high skill level, extensive training and experience. Services included are development of risk management policies, execution of price risk hedging transactions, corporate acquisitions and divestiture support, business planning, forecasting and modeling, research and selection of human resources and information systems, regulatory intervention, expert witness testimony, arbitration & mediation services, prepaid production financing arrangements and international marketing advisory services.

Time is tracked to the nearest tenth (0.1) of an hour, with no minimum daily or monthly amounts for clients requiring periodic services. Weekend and overtime hourly rates reflect higher (1.5) labour fees. Retainer clients requiring daily or weekly onsite support are charged a fixed monthly retainer fee.

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