OIL AND GAS CONSERVATION RULES AMENDMENT REGULATION
Oil and Gas Conservation Act
July 14, 2020
109/2020
For information only: Made by the Alberta Energy Regulator on June 18, 2020 pursuant to section 10 of the Oil and Gas Conservation Act. 1 The Oil and Gas Conservation Rules (AR 151/71) are amended by this Regulation. 2 Section 3.071(1) and (2) are repealed and the following is substituted: Application for Determination of Costs 3.071(1) An application under section 30(2) of the Act (a) for a determination of the costs of providing reasonable care and measures to prevent impairment or damage, suspension costs, abandonment costs, remediation costs or reclamation costs for a well, facility, well site or facility site, and (b) for the allocation of the costs in clause (a) to each working interest participant in accordance with its proportionate share in the well or facility made by a person who conducted the work where ordered or directed by the Regulator must be made in accordance with this section. (2) Unless otherwise directed by the Regulator, an application referred to in subsection (1) must include (a) the applicant's full legal name, business address, telephone number, email address and the name of a contact person for the applicant, (b) the legal description and licence number of (i) the well, facility, well site or facility site that has been provided with reasonable care and measures to prevent impairment or damage, (ii) the well, facility, well site or facility site that has been suspended or abandoned, or (iii) the well site or facility site that has been remediated or reclaimed, (c) a complete list, totalling 100 per cent of the working interest, of the working interest participants in the well or facility at the time the costs were incurred, (d) each working interest participant's full legal name, last known business address, telephone number and email address, the name of a contact person for each working interest participant and the proportionate share of the costs for each working interest participant for which the application is being made, (e) a detailed description of the total costs incurred in the provision of reasonable care and measures to prevent impairment or damage or in the work of suspension, abandonment, remediation or reclamation, supported by receipts for the costs incurred and for salvage revenue, if any, (f) in the case of a determination of costs for (i) the provision of reasonable care and measures to prevent impairment or damage, a statement that (A) the provision of reasonable care and measures in respect of the well, facility, well site or facility site was carried out in accordance with the Regulator's rules and other requirements, and (B) the Regulator's records have been updated to reflect the work performed, (ii) suspension or abandonment, a statement that the suspension or abandonment of the well, facility, well site or facility site has been completed and was carried out in accordance with the Regulator's rules and other requirements and that the Regulator's records have been updated to reflect the work performed, (iii) remediation, a statement (A) that an environmental site assessment has been completed in accordance with the applicable requirements and that the Regulator's records have been updated to reflect the work performed, or (B) that provides the number of the remediation certificate issued for the well site or facility site, or (iv) reclamation, a statement that a reclamation certificate has been issued for the well site or facility site and that provides the number of the reclamation certificate issued for the well site or facility site, and (g) any other information required by the Regulator. (3) An application for a determination of costs under subsection (2)(f)(i) or (iii) may be made only after the abandonment or remediation work is completed, unless otherwise permitted by the Regulator. 3 Section 16.541(1) and (2) are repealed and the following is substituted: Application for Payment from Orphan Fund 16.541(1) An application under section 70(1) of the Act for payment from the orphan fund of a defaulting working interest participant's share of the costs in providing reasonable care and measures to prevent impairment or damage, suspension costs, abandonment costs, remediation costs or reclamation costs for a well, facility, well site or facility site incurred by the working interest participant who carried out the work must be made in accordance with this section. (2) An application referred to in subsection (1) must include (a) the applicant's full legal name, business address, telephone number, email address and the name of a contact person for the applicant, (b) the legal description and licence number of (i) the well, facility, well site or facility site that has been provided with reasonable care and measures to prevent impairment or damage, (ii) the well, facility, well site or facility site that has been suspended or abandoned, or (iii) the well site or facility site that has been remediated or reclaimed, (c) a complete list, totalling 100 per cent of the working interest, of the working interest participants in the well or facility at the time the costs were incurred, (d) each working interest participant's full legal name, last known business address, telephone number and email address, the name of a contact person for each working interest participant and the proportionate share of the costs for each working interest participant for which the application is being made, (e) a detailed description of the total costs incurred in the provision of reasonable care and measures to prevent impairment or damage or in the work of suspension, abandonment, remediation or reclamation, supported by receipts for the costs incurred and for salvage revenue, if any, (f) in the case of a determination of costs for (i) the provision of reasonable care and measures to prevent impairment or damage, a statement that (A) the provision of reasonable care and measures in respect of the well, facility, well site or facility site was carried out in accordance with the Regulator's rules and other requirements, and (B) the Regulator's records have been updated to reflect the work performed, (ii) suspension or abandonment, a statement that the suspension or abandonment of the well, facility, well site or facility site has been completed and was carried out in accordance with the Regulator's rules and other requirements and that the Regulator's records have been updated to reflect the work performed, (iii) remediation, a statement (A) that an environmental site assessment has been completed in accordance with the applicable requirements and that the Regulator's records have been updated to reflect the work performed, or (B) that provides the number of the remediation certificate issued for the well site or facility site, or (iv) reclamation, a statement that a reclamation certificate has been issued for the well site or facility site and that provides the number of the reclamation certificate issued for the well site or facility site, (g) a request that the Regulator deem a working interest participant to be a defaulting working interest participant in accordance with section 70(2)(b)(iii) of the Act, (h) a summary of the steps taken to collect the costs from the defaulting working interest participant, and (i) any other information required by the Regulator. (3) An application for payment under subsection (2)(f)(i) or (iii) may be made only after the abandonment or remediation work is completed, unless otherwise permitted by the Regulator.