A few months ago, Sequoia Resource Corp. told the Alberta Energy Regulator (AER) that it would stop operations without properly decommissioning more than 4000 wells, pipelines, and facilities, meaning that Albertans would be left to foot the bill. Shortly after, the company filed for bankruptcy.
Naturally, we ordered Sequoia to address its end-of-life obligations. We also took a hard look at our role in allowing Sequoia to get into this situation and have made changes in our processes to reduce the likelihood of a similar situation occurring in the future.
Alberta’s energy sector has faced more downs than ups over the last several years. And while we strive to keep our oil and gas sector competitive, we have an equally important obligation to protect the people who live in this province from paying for the mistakes and misfortunes of a business they have no control over.
Read AER President and CEO Jim Ellis’s public statement about facing the challenge of liability in Alberta to learn more.
In the Media
Alberta Energy Regulator seeks broader powers to review oil patch deals
The Globe and Mail | August 8, 2018