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The Limits to Summary Judgement in Oil and Gas Compensatory Royalty Cases

By Nigel Bankes

PDF Version: The Limits to Summary Judgement in Oil and Gas Compensatory Royalty Cases

Case commented on: Laird v Sword Energy Inc., 2014 ABQB 13.

This decision of Justice Don Manderscheid confirms that it will a rare case in which a lessor will be able to obtain summary judgement for a claim of compensatory royalties under an offset well clause under an oil and gas lease. As such it casts further doubt on the correctness of Justice Lee’s judgement in 1301905 Alberta Ltd v Sword Energy Ltd., 2013 ABQB 113, which was the subject of an earlier post here.

Arbitrators Have the Last Word on Procedural or Interlocutory Matters

By Jonnette Watson Hamilton

 PDF Version: Arbitrators Have the Last Word on Procedural or Interlocutory Matters

Case commented on: Suncor Energy Inc v Alberta, 2013 ABQB 728

Suncor Energy Inc v Alberta is a decision by Chief Justice Neil Wittmann on an appeal by the provincial Crown from an arbitration tribunal’s order on a procedural point. Suncor Energy Inc. began arbitration proceedings in January 2011 to resolve a dispute over royalties to be paid on the production of mined bitumen to the province. The issue before the Chief Justice was a narrow one, namely, whether the refusal of the arbitrators to refer a question of law to the court, concerning the application of section 50 of the Mines and Minerals Act, RSA 2000, c M-17, to the production of records that the Crown received from oil sands producers other than Suncor, was a decision that could be appealed. The Chief Justice decided that the court did not have jurisdiction to hear the Crown’s appeal under either section 17(9) or section 44 of Alberta’s domestic arbitration statute, the Arbitration Act, RSA 2000, c A-3. In doing so he confirmed that the competence-competence principle, which allows an arbitral tribunal to determine its own jurisdiction, underlies sections 17 and 44. While not as explicit on this point as was the recent decision of the Ontario Court of Appeal in Ontario Medical Association v Willis Canada Inc, 2013 ONCA 745 at paras 19-37, the Chief Justice’s decision gives effect to the statutory grant of authority to the arbitration tribunal to have the last word on procedural or interlocutory matters that arise during the course of arbitration.

The Curious Case of the Greater Sage Grouse in Alberta

By Shaun Fluker

 PDF Version: The Curious Case of the Greater Sage Grouse in Alberta

Legislation commented on: Emergency Order for the Protection of the Greater Sage Grouse, PC 2013-2045 

The Greater Sage Grouse is on the brink of disappearing from the Canadian landscape and, in doing so, is leaving its mark on the Species at Risk Act, SC 2002, c 29 (SARA).  Readers may recall that the sage grouse recovery strategy prepared under SARA was the subject of dispute several years back over the extent to which critical habitat for a species listed as endangered or threatened must be identified in the strategy (See Nigel Bankes’ ABlawg post “Is SARA growing teeth?”). The sage grouse recovery strategy has recently been amended (2013) to include all known critical habitat – both mating sites and year-round habitat – in Canada and to identify threats to the sage grouse (see here).  But since the overwhelming majority of sage grouse habitat falls on provincial lands in Alberta, SARA offers little real protection to the sage grouse here in the absence of an Order in Council from federal Cabinet directing that SARA apply to provincial lands.  Cabinet issued an Emergency Protection Order under section 80 of SARA in December 2013 that, to my surprise, applies to Alberta lands and the Order comes into force on February 18, 2014.  This comment discusses the significance of the Order, adding to existing commentary (see Martin Olszynski’s earlier ABlawg post here, Janice Walton of Blakes LLP here and Jason Unger of the Environmental Law Centre here).

Alberta Reviews Compliance with the Specified Gas Emitters Regulation

By Ana Maria Radu

PDF Version: Alberta Reviews Compliance with the Specified Gas Emitters Regulation

Document Commented On: 2012 Greenhouse Gas Emission Reduction Program Results

In November 2013, Alberta released the review of 2012 compliance results with the Specified Gas Emitters Regulation, Alta Reg 139/2007 (SGER). Alberta was the first Canadian province to develop legislation regulating greenhouse gas (GHG) emissions. The SGER requires established facilities (i.e. facilities existing in 2000) that emit more than 100,000 tonnes of GHGs a year to reduce their emissions intensity by 12% below a baseline established between 2003 and 2005. Relative to business as usual, the 2012 compliance review shows that the results have been less than stellar.

The Not Quite Twelve Days of Northern Gateway

By Martin Olszynski

PDF Version: The Not Quite Twelve Days of Northern Gateway

Decision Commented On: Report of the Joint Review Panel for the Enbridge Northern Gateway Project

When the Joint Review Panel’s report for the Northern Gateway Project (the NGP Report) was first released, I knew that exam marking and other commitments would prevent me from posting a timely comment (in contrast, see here and here).  I had hoped to make up for my tardiness by eventually writing a post using a holiday theme, as the Environmental Law Centre’s Jason Unger did so well with respect to other environmental law developments here. My own idea was to write something along the lines of ‘The Twelve Days of Christmas.’ Alas, it is mid-January and it seems that the time for such ornamentation has passed; a plain and simple discussion of some of the more interesting aspects of the NGP Report will have to do.

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