Redwater: The Saga To Continue In 2018

As detailed in previous BD&P articles and updates, the litigation surrounding the insolvency of Redwater Energy Corporation (Redwater) has had profound ripples throughout the Western Canadian energy industry. The saga is now set to continue at the highest court in the country, with the Supreme Court of Canada having granted leave to appeal the case on November 9, 2017 on an expedited basis. While obtaining a final definitive ruling in the matter is desirable, in the meantime industry participants are left with the continuing uncertainties. The case will be heard in early 2018, but a decision is not expected for some time following the conclusion of the appeal.

The case involved Redwater, a junior oil and gas company, being pushed into insolvency proceedings by its primary secured creditor, Alberta Treasury Branches. The receiver/trustee, Grant Thornton Limited, in its mandate to realize on the estate, engaged potential purchasers on producing assets while