Oil & Gas – Page 9

Sharing Geological Pore Space Disposal Capacity

On November 22, 2022

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.

The AER Quietly Implemented a Two-Tier Mandatory Closure Spend Target

By Drew Yewchuk

On November 8, 2022

In Natural Resources, Oil & Gas

By: Drew Yewchuk

Regulatory Change Commented On: The AER’s Inventory Reduction Program

PDF Version: The AER Quietly Implemented a Two-Tier Mandatory Closure Spend Target

Starting in mid-2021, the Alberta Energy Regulator (AER) adopted a new liability management framework to address the problems of inactive conventional oil and gas assets. The new liability management framework includes mandatory closure spend targets, a requirement for companies to spend a certain amount on closure work each year. The mandatory closure spend targets deal with the liabilities of inactive assets and not orphan assets (it is not to be confused with the orphan fund levy, used to fund the Orphan Well Association that abandons and remediates wells with owners that went bankrupt).

The Sequoia Bankruptcy Part 4: Costs Lost in Time and Perpetual’s New Subsidiary

By Drew Yewchuk

On September 21, 2022

In Oil & Gas

By: Drew Yewchuk

Cases Commented on: PricewaterhouseCoopers Inc v Perpetual Energy Inc, 2022 ABQB 592

PDF Version: The Sequoia Bankruptcy Part 4: Costs Lost in Time and Perpetual’s New Subsidiary

This is part 4 of a series on the litigation resulting from the Bankruptcy of Sequoia Resources Corp. (Sequoia). Part 1 covered the first application for summary dismissal and an application to intervene. Part 2 covered a costs decision against the trustee and the appeal of the first summary dismissal. Part 3 covered interlocutory decisions and the appeal of the second summary dismissal decision.

The Alberta Energy Regulator Enforces New Licensee Capability Assessment and Restricts License Eligibility of AlphaBow

By Drew Yewchuk

On August 17, 2022

In Oil & Gas

By: Drew Yewchuk

AER Administrative Sanction Commented On: 202207-13, AlphaBow Energy Ltd.

PDF Version: The Alberta Energy Regulator Enforces New Licensee Capability Assessment and Restricts License Eligibility of AlphaBow

The Alberta Energy Regulator (AER) issued an administrative sanction to AlphaBow Energy Ltd. on July 28, 2022. Two aspects of the sanction make this an interesting case rather than a routine enforcement action: first, the history of AlphaBow, and second, that the administrative sanction is the AER implementing their new approach to liability management, so the terms and the ultimate outcome of this administrative sanction are a decent indication of things to come.

Alberta’s Orphan and Unreclaimed Oil and Gas Assets in July 2022

By Drew Yewchuk

On July 16, 2022

In Oil & Gas

By: Drew Yewchuk

Annual Report Commented On: Orphan Well Association Annual Report 2021/2022; AER Bulletin 2022-23 Mandatory Closure Spend Target Set for 2023

PDF Version: Alberta’s Orphan and Unreclaimed Oil and Gas Assets in July 2022

The Orphan Well Association (OWA) released their annual report for 2021/2022 this month, and the AER posted Bulletin 2022-23 updating the mandatory closure spend targets. This post discusses these two documents and describes the current state of Alberta’s orphan and inactive oil and gas assets. For greater background on the OWA and the history of the problem, see here.