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ARTICLE · 24 DECEMBER 2020

Implementation Of Alberta's New Liability Framework For Oil And Gas Reclamation

Osler, Hoskin & Harcourt LLP
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In July 2020, the Alberta government issued its new Liability Management Framework (the Framework), aimed at reducing the province's inventory of orphan and inactive well sites.

CanadaEnergy and Natural Resources
Sander Duncanson
Sander Duncanson
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In July 2020, the Alberta government issued its new Liability Management Framework (the Framework), aimed at reducing the province's inventory of orphan and inactive well sites. That inventory includes close to 97,000 inactive wells and the Orphan Well Association's list of over 7,000 orphan sites in various stages of decommissioning, assessment and reclamation.

On December 17, 2020, the Alberta Energy Regulator (the AER) announced [PDF] the latest steps taken to implement the Framework. The Alberta government has now approved changes to the Oil and Gas Conservation Rules (OGCR) and Pipeline Rules to allow the AER to develop new liability management programs. In this article, we provide an overview of these changes and look ahead to what changes are still to come.

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