EDMONTON, Alberta – In an effort to streamline accounting costs, a number of intermediate Calgary-based oil and gas operators are looking to unique ways to compensate their staff. Case in point, just last week Whitecrap Resources started paying its field staff in bulk oil product with great success. How does this work, you ask? Well, Instead of remitting bi-weekly salary payments via electronic fund transfer, the company’s payroll is managed by field superintendents literally handing over paycheques in bulk hydrocarbon product. Whitecrap’s VP of Human Resources, Brandt Fuqherhim, spoke to 2P News this morning.
“Okay, so here’s the deal. Our field staff has been complaining for years that they are underpaid. Unfortunately for theM, we do not plan to increase their salaries if we are to keep our shareholders happy. But by giving our field staff raw hydrocarbon products, there’s a very good chance that their pay will be much more than the old paycheque, when you think about the way oil prices have been going lately!” – Brandt Fugherhim, Whitecrap executive
2P News’ field correspondent, Rodecker Smith, was on location at Whitecrap’s core operations in the Fux Creek area of central Alberta, and he caught up with a few operators shortly after they received this week’s compensation.
“See the back of my F150 dippin’ down like that? That’s because its carryin’ about 156, four-gallon milk jugs of API sweet crude. Today, I figure it’s all worth about 1200 bucks, but this time next week it could be worth about $1500, so I’m just gonna hang onto them for now,” said Dirk McKrusen, who lives in Valleyview, AB. When asked exactly how he converts this raw oil into money, he continued, “Well, it’s pretty simple. The company setup these oil depot facilities throughout the area where I take the jugs, they measure it, and then give me cash. It’s like a little stock market. I can even buy bulk oil from there if I think it’s gonna appreciate in the short-term. I can turn them in at spot price for WCS, Brent, or even WTI! And because I can touch the oil, this market exchange can’t crash like that FTX crypto bullshit.”
Whitecrap’s HR department plans to introduce similar bulk payments, but in natural gas, starting in 2023 Q2. Instead of using empty 4-gallon milk jugs as they do for oil, the plan is to use spent Sodistream CO2 bottles. “Unlike oil, that does not compress very easily, with natural gas, we can provide little performance-based bonuses by simply increasing the pressure at which the natural gas is stored in the canisters,” Brandt Fugherhim told 2P News.