Royalty rates in Alberta are based on the price of WTI. That royalty rate is applied to a project's Net Revenue if the project has reached payout or Gross Revenue if the project has not yet reached payout. A project's revenue is a direct function of the price it is able to sell its crude for. Since WCS is a benchmark for oil sands crudes, revenues in the oil sands are discounted when the price of WCS is discounted. Those price discounts flow through to the royalty payments.