As discussed in our last newsletter, Alberta Energy started accepting applications for the EHRP on January 1, 2017.

A reminder that new schemes involving water flooding , gas cycling or gas flooding must be located in a pool or a part of a pool where these activities have not occurred previously.  However, please note that amendments to existing schemes can also qualify for the program, if the Minister is satisfied that the scheme is amended/extended stratigraphically (vertically) to target a pool or part of a pool where these activities have not previously occurred.

One of the requirements for the EHRP submission is an Engineering evaluation report, a report which must be authenticated by a registered member of APEGA and prepared in accordance with COGEH or PRMS.  As discussed in a previous newsletter, Benoit's strategic alliance with Gary Metcalfe, of  Acipenser Resources Ltd. allows for the pooling of resources and expertise to conduct this type of work in a timely and cost effective manner.

Applications can be made for any qualifying enhanced recovery scheme submitted to the AER after October 23, 2016 and the application for the EHRP can be made before the AER issues the EOR approval.

Please contact us if you would like some help in this regard.  For more information on Acipenser's services, please click here.   

A reminder that the deadline for retiring 20% of your wells in the IWCP is March 31, 2017. An updated IWCP compliance report will be made available on April 1, 2017 by the AER.  This report will contain the remaining noncompliant inventory and the target quota for the upcoming year for each operator.  Operators who have not retired 20% of their IWCP inventory in the second year of the program may be subject to enforcement action and/or penalties by the AER.

The AER's deemed liability of a well may help you decide which wells to bring into compliance this year, particularly if doing so can reduce your company's LMR security deposit, which may even result in a refund from the AER.

The IWCP and LMR programs should not be considered mutually exclusive.  While a reduction of your company's 2017 IWCP inventory may seem costly, any reduction in your LMR security deposit, by either a reduction in the deemed liabilities or an increase in the deemed assets, will help offset the economic burden.

If you would like to discuss your LMR options and understand how Benoit can help, please contact us or visit our LMR page on our website.

It's not too late to submit the forms for the carbon tax levy exemption and the carbon Remitter. 

Please let us know if you need help filling out the forms and submitting them.

On January 5, 2017, the AER released Bulletin 2017-01, which outlines the steps required to submit artificial lift and tubing information to the AER for the purposes of calculating abandonment liability.

As noted in the Bulletin, submissions need to be received before February 2, 2017 for the liability assessments to be recalculated and considered for the February LMR run.

The AER made several revisions to Directive 013: Suspension Requirements for Wells, effective December 20, 2016. 

For more information on these changes, please click here.

Currently, Phase I assessments (including drilling waste reports) can be submitted as a  single package in any format into the "One Stop Reclamation Certification Tool".  However, after March 31, 2017, submissions will have to be split out into their constituent parts for submission as well as completing the online documentation.  The new submission procedure lengthens the time it will take operators to submit this information.

On December 20, 2016, the B.C Government released an article outlining B.C's adoption of Petrinex.  Please click here for more information.

We've recently updated our website ! We'll be posting important regulatory links and previous newsletters to help keep you informed on important trends and issues.

Let us know what you think!