Ann: Stonehorse Makes Further Oil and Gas Investment in Canada, page-72

I asked an accountant the same question and their interpretation was the same as yours.
i.e. the profit is $50/Barrel instead of $20/Barrel if oil is sold at $70/Barrel.
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The cost includes royalties, i dont know about tax's.
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But maybe Tax does not make much of a difference since stonehorse will be spending money on new wells during this tax year.
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well 50$ profit a barrel is better than $20 a barrel, better profit margin and more similar to their previous profit margins.
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Thank for your insight Niz, these gives me more confidence and the moat of profit margin should protect us from changes in price of oil.
It also mean the tables produced earlier in this thread are a bit to conservative and the revenue might well be greater.
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Thanks Niz.