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Category: Oil & Gas Page 6 of 54

Updates to the Oil and Gas Liability Management Framework: The New Closure Nomination and The Renamed Closure Quotas

Regulatory Documents Commented on: Directive 088: Licensee Life-Cycle Management (February 2023) and  Manual 23: Licensee Life-Cycle Management (February 2023)

By: Drew Yewchuk

PDF Version: Updates to the Oil and Gas Liability Management Framework: The New Closure Nomination and The Renamed Closure Quotas

The Alberta Energy Regulator (AER) continues to work towards implementing the Government of Alberta’s new Liability Management Framework. This post goes into the details of this implementation, on the assumption the reader is familiar with the ongoing reforms. For some background, see ABlawg’s post from February 2021 here, and my 8 November 2022 post. This post covers the February 2023 updates from the AER: a new Directive 088: Licensee Life-Cycle Management, a new Manual 23: Licensee Life-Cycle Management, responses to an engagement survey on Directive 088, and the Fall 2022 Engagement Session Q&A on Closure Nomination. The AER also released a new explanatory video.

The Legal Status of a Gross Overriding Royalty Carved out of a Crown Lease

By: Nigel Bankes

Decision commented on: PrairieSky Royalty Ltd v Yangarra Resources Ltd, 2023 ABKB 11

PDF Version: The Legal Status of a Gross Overriding Royalty Carved out of a Crown Lease

A Complex Oil and Gas Accounting Decision

By: Nigel Bankes

Case commented on: IFP Technologies (Canada) Inc v EnCana Midstream and Marketing, 2022 ABKB 807 (CanLII).

PDF Version: A Complex Oil and Gas Accounting Decision

Several years ago, I commented on both the original trial judgment in this case (2014 ABQB 470 (CanLII),following a six-week trial going back to 2011) and the Court of Appeal’s decision (2017 ABCA 157 (CanLII)). The posts are here and here. The Court of Appeal ultimately found in favour of IFP and ordered an accounting as the principal remedy but referred certain questions back to a trial judge to be assigned to hear the matter. This is that decision rendered by Justice Charlene Anderson.

Well Abandonment and Reclamation in Ontario

By: Nigel Bankes

Decisions Commented On: Bilodeau v Her Majesty The Queen in the Right of Ontario, 2022 ONSC 1742 (CanLII) and 2022 ONSC 4275 (Costs Endorsement).

PDF Version: Well Abandonment and Reclamation in Ontario

Over the years ABlawg has published numerous comments on the law pertaining to reclamation and abandonment obligations and the associated orphan well fund in Alberta. See, for example, Drew Yewchuk’s many excellent posts on these issues. This comment deals with a recent decision in Ontario which, while in itself a successful enforcement action, does highlight deficiencies in the law and practice pertaining to the abandonment and reclamation of old oil and gas wells in that province.

Sharing Geological Pore Space Disposal Capacity

By: Nigel Bankes

Decision commented on: 2022 ABAER 004, Pure Environmental Waste Management Ltd., Applications 1614037, 1784753, 1809825, 1928016, 1928017, 1928430, 30602032, 30608918, and 30608934 Hangingstone Project, October 20, 2022

PDF Version: Sharing Geological Pore Space Disposal Capacity

This decision is a follow-up decision to two decisions from 2020 dealing with Pure Environmental Waste Management’s Hangingstone waste disposal project: 2020 ABAER 004 and 2020 ABAER 005. I commented on those two decisions here: “More Competition For Underground Disposal Space” and I refer readers to that earlier comment for a more detailed account of the facts.

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