Thursday, March 23, 2017

Edmonton Journal 11 hrs · In a news conference in Edmonton, Premier Rachel Notley called the payout “good news” and confirmed the money will be used for remediation of abandoned wells that no longer have corporate owners.--Julie Ali Everyone thinks Mr. Trudeau provided directed funding to the Notley for the abandoned well program. I think he provided money to stimulate the economy. So why is Ms. Notley getting us to pay for the liabilities of big oil? I don't want to pay for the work that should be done by the oil and gas industry. They have earned billions of dollars and why was there not a requirement for the money upfront to ensure that these orphan wells would be reclaimed on their dime?-

In a news conference in Edmonton, Premier Rachel Notley called the payout “good news” and confirmed the money will be used for remediation of abandoned wells that no longer have corporate owners.
OTTAWA — Alberta is getting a $30-million payment from Ottawa to clean up “orphan wells” — and boost employment in a slowly recovering energy industry —…
EDMONTONJOURNAL.COM
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Julie Ali Everyone thinks Mr. Trudeau provided directed funding to the Notley for the abandoned well program. I think he provided money to stimulate the economy. So why is Ms. Notley getting us to pay for the liabilities of big oil? I don't want to pay for the work that should be done by the oil and gas industry. They have earned billions of dollars and why was there not a requirement for the money upfront to ensure that these orphan wells would be reclaimed on their dime?
LikeReplyJust now
Michelle Schmode-Mitchell Check your land records and find these abandoning owners! These leases should have been dealt with on their dime not taxpayers.
LikeReply79 hrsEdited
Darryl Stewart Most would be bankrupt
LikeReply39 hrs
John Maguire And weve been led to believe oilsands sites will never be abandoned due to bankruptsy etc. Ya right...
UnlikeReply38 hrs
Darryl Stewart Believe here are newer rules now that they have to have the money for abandoning the wells before licence is given
LikeReply18 hrs
Dan Belisle Yes, all oil companies now contribute to a clean up fund, something that came into being around 2000, I believe.
LikeReply7 hrs
Sandra Laushway John Maguire - abandoned wells aren't oilsands sites - they are drilling rig sites, be it for gas and/or oil.
LikeReply7 hrs
Peter McClure That's not how it works. Because the wellsites were leased, it it is the well operators who are responsible. And when the wells stop producing, they just declare bankruptcy and walk away.
UnlikeReply24 hrs
Marcel Paul Brodeur Canadian Natural Resources Ltd. is going to be the biggest culprit, if not already so! They continually buy low flowing wells, and deplete them! Although I'm not sure how they will pay for the abandonment, and reclamation of these properties before they are returned to the crown! I can only guess that they will become insolvent once they have made their money and just walk away like so many oil companies have in the past. Think it is far time that the Government makes them pay up front for the decommissioning of these sites, and to look more closely at the extent of the contamination of all oil and gas properties including pipelines!
UnlikeReply24 hrs
Denver Fleming They already do. You are very miss informed
LikeReply13 hrs
Julie Ali Denver Fleming How does government get the oil and gas industry to pay for their pollution? I can't see how giving them $30 million dollars for the orphan well program when they are sitting on billions of dollars of assets is holding them accountable. Ms. Notley should have used the stimulus money in other ways rather than abjectly handing it over to big oil. She can't blame the Liberals for her own failure at a backbone.
LikeReply6 mins
Todd Kinniburgh It costs roughly $30000 to reclaim a well. Abandoning a well costs hundreds of thousands of dollars. 
The problem, lawyer Keith Wilson says, is “rather than clean those wells up… properly seal them, reclaim the land and give it back to the landowner”
 companies “decide it’s cheaper for them to just pay the annual compensation payment to the landowner than pay the hundreds of thousands of dollars or millions of dollars involved in doing a proper clean up.”

The clean has two main stages. First wells are “abandoned” and safely sealed shut. Then they are “reclaimed” meaning contaminants are removed and the land is restored. The landowners are just as culpable.
UnlikeReply27 hrs
Denver Fleming Sorry. Your figures are WAY out. A well with tubing in it is averaged out to be about 35000 to abandon. 
Surface reclamation is about 23k. 


These numbers are from the AER... you can become informed about this if you look at their site.
LikeReply2 hrs
Ricardo Casanova First thing I thought of when I saw that picture is that they looked like a couple of JW's
LikeReply3 hrs
John Paterson Oh ho ho ho. 

He's going to give Albertans $8 each so they can stimulate the economy. How about not taking the billions instead?
LikeReply18 hrs
Peter McClure No. He's not. Read the article before commenting - you're embarrassing yourself again.
LikeReply4 hrs
John Paterson I knew it was all a lie.
LikeReply4 hrs
Ken Michel Not that I condone taxpayers having to pay for industry's mess, but at the same time, the federal government is actually subtracting a tax incentive for drillers to explore for new wells at a time when it is needed most. And by how much? Pretty much the exact amount that they are giving for well cleanup in the first year (approximately $35 million a year for four years). That, my friends, is pure politics. What a goat rodeo.
LikeReply6 hrsEdited
Peter McClure Demand for oil is dropping. It would be foolish for the government to invest in new oil fields when there is no market for what we're producing now.
LikeReply4 hrs
Ken Michel Peter McClure Peter, there was no investment on their part. This was an allowance to depreciate the full value of the well in the first year if it was successful. Now, they can only depreciate 30% a year, which makes new well exploration financially riskier. With the increased risks, the O&G industry small players will be less likely to risk drilling a bad well, and therefore, the government doesn't get any taxes anyway. This is clearly a nod towards the environmental lobby that they ticked off when they approved pipelines. Like I said, it was politics.
LikeReply3 hrs
Susan Csapo Heaven forbid you make the companies accountable for the sites!!
LikeReply39 hrs
Darryl Stewart If they still existed I'm sure they would ...
LikeReply38 hrs
John Maguire Ya thanks pcs....why didnt they pay into a cleanup fund?
LikeReply18 hrs
Susan Csapo Pcs raped & pillaged Alberta for way to long..Never get my vote!!
LikeReply8 hrs
Todd Kinniburgh Susan Csapo The problem, lawyer Keith Wilson says, is “rather than clean those wells up… properly seal them, reclaim the land and give it back to the landowner” companies “decide it’s cheaper for them to just pay the annual compensation payment to the landowner than pay the hundreds of thousands of dollars or millions of dollars involved in doing a proper clean up.” The landowners are just as culpable...
LikeReply17 hrs
Denver Fleming Susan Csapo. You do know own that the liberals started the way that the liability management currently is.... and do you know that the Alberta royalty and liability management are used as the highest standard world wide.....?
LikeReply2 hrs
Julie Ali Denver Fleming If this is true why did we never know about the two oil spills per day record in Alberta? Why are families in rural Alberta complaining about fracking health problems? Why is the well water on fire in Rosebud? The spin won't work anymore. Families have been impacted by industry work and the AER has done very little if anything to help them. I mean calling folks names is not my idea of help. Also the PCs made the AER immune from lawsuits. I wonder why.
LikeReply2 mins
Valerie Stork Wandinger why would dip <<< cut drilling deductions-- hes phasing out our energy industry
LikeReply37 mins
Bob Spornitz So this is a good deal: Quebec gets 13 thousand million and Alberta gets 30 million? Seems fair to me.
LikeReply9 hrs
Kendyl Hudson "13 thousand million"? Did you tell your kid to make up a really big number?
LikeReply88 hrs
Bob Spornitz If you understood English you would know that is the amount of dollars we gave to Quebec as equalization last year.
LikeReply8 hrs
John Maguire Its like your attempting to make numbers sound bigger. Just do it properly we all get it.
LikeReply18 hrs
Kendyl Hudson We don't "give" money to Quebec any more than you "give" money to your neighbor on disability or income assistance when you pay taxes. Maybe you should learn how the "thousand millions" of dollars are collected and spent.
LikeReply1 hr
Todd Kinniburgh $30 Million equals $366 per abandoned well @ 82000 abandoned wells. Hahaha!
LikeReply7 hrsEdited
Sandra Laushway Yep, 30 Million won't go very far in cleaning up these abandoned wells.
LikeReply7 hrs
Julie Ali Why are we paying for even one abandoned well?
LikeReply1 min
Sandra Laushway Hmmm -- apparently 82,000 of these wells in Alberta -- just how far do you think 30 million will go in getting these wells cleaned up?
LikeReply8 hrs
Kendyl Hudson Farther than $0
LikeReply48 hrs
Sandra Laushway Kendyl Hudson - I think we all know that already but it will run out before half of them are cleaned up.
LikeReply18 hrs
Kieran-Evan Fraser Sandra Laushway better some then none
LikeReply18 hrsEdited
Sandy Ann Kieran-Evan Fraser - Sandra replied to Kendyl - that we all know that already that some is better than none but it won't go very far in getting these wells cleaned up the way they are required to be cleaned up and put back to bed.
LikeReply8 hrs
Kieran-Evan Fraser Oh I know but it's a start
LikeReply8 hrs
John Maguire I guess do none then hey Sandra....pcs should have set up a fund to deal witg this decades ago. The oiksands have one.
LikeReply18 hrs
Pete Bauer Totally. If they can't do them all then they should do none. It's like house work, if I can't clean my entire house in 1 day I don't even bother starting. It's a super good system🙄🙄🙄
LikeReply18 hrs
Sandra Laushway John Maguire - you're reading things that aren't there John, and again you blame the past government -- maybe the oil companies should have done this when their wells weren't producers - the oilsands don't have anything to do with these abandoned wells John - surely you know that.
LikeReply17 hrs
Peter McClure They should have, Sandra, but for decades, small producers just declared bankruptcy and walked away when the wells ran dry. And the cleanup deposits they paid were nowhere near enough to pay for reclamation.
LikeReply14 hrs
John Maguire Sandra laushway...huh...oilsands mines have a fund they have to pay into incase they turn into deadbeats. The government rewuires it on leases. Why didnt the last government enact this type of requirement on a lease for a rig. Especially after tve first 10000 deadbeats or so....
LikeReply3 hrs
Janice Reid King 30 million to Alberta and billions overseas. Wow.
LikeReply13 hrs
Todd Kinniburgh $30 Million equals $8 for each person in Alberta. SMH 😒
LikeReply19 hrs
Kendyl Hudson Good thing they're not handing it out then. Did you read the article?
LikeReply18 hrs
Todd Kinniburgh Yup!!! My point is $30 Million is FA. Plus, kicking the O&G industry in the 🍒 or 🍑 when it's already down.
LikeReply8 hrs
Peter McClure On the contrary, Todd, those rigs are sitting idle right now. The $30 million will put a lot of them back to work doing reclamations.
LikeReply4 hrs
Todd Kinniburgh Peter McClure reclamation has nothing to do with drilling rigs. Reclamation in the O&G industry has to do with beautification of the well site back to its original state. Abandonment has to do with drilling or service rigs.
LikeReply3 hrs
Todd Kinniburgh Reclaiming 82000 abandoned wells would cost roughly $2.5 Billion.
h t t p://globalnews.ca/news/2307275/interactive-the-hidden-cost-of-abandoned-oil-and-gas-wells-in-alberta/
LikeReply7 hrsEdited
Denver Fleming You're WAY out. There are not 82000 Wells needing abandonment without a deposit already in place... 

Look up orphan well association. 


There are about 1500 Wells per year on the list. 
Their budget is 35 million. 
This covers another full year to get ahead one more year... 

It's all there for you to read. Ask questions anytime.
LikeReply2 hrs

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