Jean says government’s bold action on orphan wells “making a big difference”

Lac La Biche-Fort McMurray MLA and Minister Brian Jean says there are positive signs when it comes to cleaning up orphan wells.

A statement was released on Wednesday from the Minister of Energy and Minerals says the government’s “bold” action is “is making a big difference.”

The Alberta Energy Regulator put out their inaugural Liability Management Performance Report, which prompted statements from Jean and Minister of Environment and Protected Areas Rebecca Schulz. 

“The AER report demonstrates the progress made in moving oil and gas infrastructure through stages of closure work. For example, in 2022, the number of inactive wells in Alberta decreased to 83,000 from 91,000 – a nine per cent reduction,” said Jean in a statement. 

“Industry is doing its part. In 2022, companies spent approximately $700 million to clean up liabilities – exceeding the closure spending requirements of the AER by 65 per cent. In total, more than $1.2 billion was spent on cleanup and closure work in 2022.

“In 2022, a mandatory closure spending quota was introduced by the AER, requiring industry to spend at least $422 million collectively on closure and cleanup work. At the same time, the Alberta Site Rehabilitation Program provided grants to service sector companies to conduct closure work, and the Orphan Well Association continued its cleanup of orphan sites.”