BUSINESS PLAN 
              
              
              
             2 Year Business Plan                                                  Department Head: Brad Maynes   
                                                                                              Title: General Manager   
             2017-2018                                                                         Phone: 403-525-8614  
                                                                                   E-mail: bramay@medicinehat.ca 
             Natural Gas & Petroleum Resources  
             Sub departments 1 | 2 | 3 
                                             
               DEPARTMENTAL OVERVIEW  
               Purpose: To provide the maximum dividend 
               possible to the City of Medicine Hat for the benefit 
               of the citizens. 
               Objective: Conduct business in a safe and ethical 
               manner within regulatory standards, maximizing 
               shareholder value and cash flow through 
               controlling costs, expedient abandonment of non-            SERVICES PROVIDED BY THE DEPARTMENT INCLUDE: 
               economic assets, optimizing current production, 
               current asset development, new asset revenue                Business Services – oil & gas marketing, 
               generation, and divestment of non-core assets.              production accounting, reservoir 
                                                                           management, business development, and 
                                                                           performance reporting 
                                                                           Surface Land & Environment – surface land 
                            Total Budget                                   and environmental stewardship 
                           Expenditures                                    Mineral & Joint Venture – manage mineral 
                                                                           leases, partner agreements, and contracts 
                                                    City
                                                    Department             Production Operations – maintain, optimize 
                                                                           and safely operate wells, facilities, and 
                                                                           pipelines 
                                                                           Subsurface Technical – discover new revenue 
                                                                           sources and manage development projects 
                                                                            
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         TABLE OF CONTENTS 
          
          
         Department Overview 
            Corporate Mission Statement  ..............................................................................................   3 
            Organizational Chart ............................................................................................................   3 
            Core Services and Customers .............................................................................................    3 
            Key Performance Indicators for 2017-18 ..............................................................................    3 
            Significant Issues and Trends ..............................................................................................    4 
          
         Current Strategies & Action Plan 
            Strategic Priorities ................................................................................................................   6 
            Service Enhancement ..........................................................................................................   6 
                          
         Financial Plan Summary & Highlights ....................................................................................   7 
                
         2014-2018 Council Strategic Priorities and Key Results.......................................................   9 
          
         Attachments 
            Attachment A – TCA Decision Packages .............................................................................   12 
                                   
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                DEPARTMENT OVERVIEW 
                 
                 
                Corporate Mission Statement 
                “Deliver value through exceptional public service.” 
                 
                Organizational Chart 
                                                                            General Manager 
                                                                               Brad Maynes 
                                                                                 (97 FTE) 
                   Business Services             Surface Land &              Mineral & Joint               Operations              Subsurface Technical 
                                                  Environment                   Venture 
                     Murray Trollope              Kevin Redden                Brad McNeely                  Jim Troyer                  Jody Smith 
                        (13 FTE)                     (8 FTE)                     (7 FTE)                     (57 FTE)                     (9 FTE) 
                                                                                                                                                          
                                                                                                                                                          
                 
                Core Services & Customers 
                NGPR Objective:  Conduct  business  in  a  safe  and  ethical  manner  within  regulatory  standards, 
                maximizing shareholder value and cash flow through controlling costs, expedient abandonment of 
                non-economic assets, optimizing current production, development where economic, and divestment of 
                non-core assets. 
                External Customers: Crown and Freehold surface and mineral lease owners, grazing leaseholders, 
                Provincial  &  Federal  regulatory  agencies,  operating  and  non-operating  partners,  and  service 
                providers. 
                Internal  Customers:  City  of  Medicine  Hat  departments  including  NGPR,  City  Council,  Energy 
                Committee, Gas Distribution, Electric Generation, Finance, Treasury, Legal, Purchasing, and Fleet 
                and citizens of Medicine Hat. 
                                                        
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               Key Performance Indicators (KPI’s) for 2017-18 
               Safety, Environmental & Regulatory 
                       Zero Lost Time Incidents 
                       Zero Preventable Vehicle Incidents 
                       Zero High Risk Environmental Incidents 
                       Zero High Risk Regulatory Incidents 
               Sales Volume 
                       2017 goal = 9,154 boe/day 
                       2018 goal = 10,111 boe/day 
               Operating Excellence 
                       Administrative Costs = $4.49/boe for 2017 and $4.10/boe for 2018 
                       Natural Gas Lifting Costs = $2.17/mcf for 2017 and $2.31/mcf for 2018 
                       Oil Lifting Costs = $14.61/bbl for 2017 and $14.49/bbl for 2018 
               Finding & Development 
                       Goal = $17.16/boe per Growth Strategy 
               Reserves (proved plus probable) 
                       2017 goal = 28,237 mboe 
                       2018 goal = 26,863 mboe 
                                                                                                                                             
                                                   
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