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ARTICLE · 31 MARCH 2017

Lien Periods For Work Done On Oil Sands Projects In Alberta

Miller Thomson
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In Davidson Well Drilling Ltd. (Receiver of) v Bank of Montreal, 2016 ABQB 416 (the "Davidson Well Case"), the Alberta Court of Queen's Bench indicated that general improvements on oil sands mining projects...

CanadaEnergy and Natural Resources
Leanna Olson
Leanna Olson
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In Davidson Well Drilling Ltd. (Receiver of) v Bank of Montreal, 2016 ABQB 416 (the "Davidson Well Case"), the Alberta Court of Queen's Bench indicated that general improvements on oil sands mining projects that involve the drilling of exploratory oil or gas wells qualified for the extended 90-day lien registration period under the Alberta Builders' Lien Act, R.S.A 2000 c B-7 (the "BLA"), and acknowledged that, as a consequence, the 45-day lien period may apply to work done on a different part of the project site.

The Davidson Well Case provides a long-awaited judicial precedent from the Alberta Courts interpreting "oil or gas well" or "oil or gas well site" and whether or not it excludes certain work on oil sands sites. Since 2001, when the BLA was amended to include an extended registration period for liens on an "oil or gas well" or an "oil or gas well site", it has been unclear whether oil sands projects qualify for the extended period. The BLA does not contain

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