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Author: Nigel Bankes Page 3 of 87

Nigel Bankes is emeritus professor of law at the University of Calgary. Prior to his retirement in June 2021 Nigel held the chair in natural resources law in the Faculty of Law.

Taking Stock of the Grassy Mountain Project: Part 3, June 2025

By: Nigel Bankes

Cases and Decisions Commented On: (1) Northback Holdings Corporation v Alberta Energy Regulator, 2025 ABCA 186 (CanLII), (2) Northback Holdings Corporation v. Canada (Environment and Climate Change), 2025 FCA 31 (CanLII), and (3) AER Decision, Northback Holdings Corporation Applications for Coal Exploration Program (CEP) A10123772, Deep Drilling Permit (DDP) 1948547, and Temporary Diversion Licence (TDL) 00497386 May 15, 2025, 2025 ABAER 006

 PDF Version: Taking Stock of the Grassy Mountain Project: Part 3, June 2025

In addition to ABlawg’s coal law and policy series (for the most recent post in that series see here) and our Coal Law and Policy ebook, we have provided occasional posts updating readers on the status of the Grassy Mountain project and litigation related to the project. As the title of the post suggests, this is the third such update following earlier updates in February 2024 and August 2024.

Provincial Referendum Legislation, Citizen-Led Secession Proposals, and Non-Derogation Clauses

By: Nigel Bankes

Bill Commented On: Bill 54, Election Statutes Amendment Act

PDF Version: Provincial Referendum Legislation, Citizen-Led Secession Proposals, and Non-Derogation Clauses

In the dying hours of this last Legislative Session the Minister of Justice, Mickey Amery introduced a series of amendments (Amendment # A6, adopted May 14, 2025 and Hansard at 3494) to Bill 54, the Election Statutes Amendment Act. This is the Bill that will make it easier for parties to call for a citizen-led secession reference. One of the amendments related to proposed changes to the province’s Referendum Act, RSA 2000, c R-8.4. The amendment (the non-derogation clause or amendment) purports to clarify that:

Nothing in a referendum held under this Act is to be construed as abrogating or derogating from the existing aboriginal and treaty rights of the aboriginal peoples of Canada that are recognized and affirmed by section 35 of the Constitution Act, 1982.

An Important Alberta Crown Lease Continuation Decision

By: Nigel Bankes

Case Commented On: APL Oil & Gas (1998) Ltd v Alberta, 2025 ABKB 201 (CanLII)

PDF Version: An Important Alberta Crown Lease Continuation Decision

In the natural resources sector, as in so many other industrial sectors that require major capital investments in physical assets, security of tenure for those engaging in exploration activities (resource lessees) is foundational. And a crucial part of security of tenure for a resource lessee is the expectation that, if they make a discovery, they will be able to hold on to that discovery at least until they have recovered all their investment including a return on risk capital, or better yet, until the discovery has been fully exploited and is no longer profitable to produce. On the other hand, the resource owner (whether private or public (Crown)) wants to ensure diligent exploration and development by the resource operator/lessee, failing which the property should be returned to the owner so as to allow the owner to explore other potential lessees.

The AER Panel Dismisses Appeal in Induced Seismicity Case But Reinforces the Case For a Regional Approach

By: Nigel Bankes

Decision Commented On: Obsidian Energy Ltd. Appeal of Environmental Protection Order March 7, 2025, 2025 ABAER 002

PDF Version: The AER Panel Dismisses Appeal in Induced Seismicity Case But Reinforces the Case For a Regional Approach

In this decision, an appeal panel of the Alberta Energy Regulator (AER) confirmed that the Compliance Liability Management (CLM) Branch had sufficient warrant to issue a remedial Environmental Protection Order against Obsidian on the basis that CLM could reasonably form the opinion that Obsidian’s disposal activities were responsible for induced seismicity events. The decision reveals the complexity of determining cause and effect in cases such as this where there are multiple disposal injectors in the same area. As a result, the decision also supports the need for a proactive regional approach to the use of pore space for disposal (and perhaps other) purposes.

The Municipal District of Ranchland Stands Strong Against More Coal Exploration

By: Nigel Bankes

Case Commented On: Ranchland (Municipal District No 66) v Alberta Energy Regulator, 2025 ABCA 105 (CanLII).

PDF Version: The Municipal District of Ranchland Stands Strong Against More Coal Exploration

The short version of this post is that Justice April Grosse of the Alberta Court of Appeal has granted the MD of Ranchland permission to appeal four questions of law relating to Minister Jean’s cancellation of the coal moratorium and subsequent, but related, decisions of the Alberta Energy Regulator (AER) to reinstate certain coal exploration permits (CEPs). Drew Yewchuk and I examined Minister Jean’s decision to cancel the moratorium here: Coal Moratoriums, They Come and Go. That post provides links to a series of ABlawg posts going back to 2020 dealing with the law and regulation of coal projects in Alberta.

What follows provides context for the decision on this permission to appeal application as well as some analysis of the decision.

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