Monthly Archives: April 2017

Orphan wells in Alberta

April 25, 2017 0 Comments

Surface Casing Ventflow Testing

The case of Lexin draws attention to the AER’s handling of orphan wells in Alberta. Alberta may be exposed to up to $300 Billion in liabilities to clean up inactive wells. Producers claim the regulator is protecting large producers at the expense of small companies. This favoritism is not the best way to manage inactive wells in the province.

Smith and Robins represent one of the landowners, who have flocked to Alberta's surface rights board, to ask companies like Lexin to pay rent for using their land to mine oil and gas and try to force it clean these places.

Lexin is the largest and most irresponsible company to speak of for its poor performance. It is due to the growing problem of the contamination of abandoned, orphaned and inactive wells and finally, external entities to pay for those damages, that is to say , Taxpayers through public bodies or the entire oil industry that exists in the province of Alberta.

The AER has made a sum of liabilities for damages that have so far reached the amount of $ 30.5 billion; a source linked to the industry for being a former employee of the same indicates that the overall total could reach $ 300 billion.

Producers claim the regulator is protecting large producers at the expense of small companies. This favoritism is not the best way to manage inactive wells in the province: Click here to read more:

Continue reading