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orphan wells

Orphan Well Association looking to keep momentum going with newly announced federal loan

Apr 20, 2020 | 1:13 PM

The Federal government announced last week that $1.7 billion is being given to western provinces to help with the clean up of orphan wells.

“We’ve been planning already for a large program in 2020 with the previously announced provincial loan of $100 million,” said Lars De Pauw, Executive Director of the Orphan Well Association. “And so, this will help us maintain that momentum, and continue to move forward with a lot of the work that we’ve planned for this year.”

An additional provincial loan of $100 million was announced back in March. De Pauw does say work has yet to get started due to the health guidelines caused by the pandemic.

“Our office has been working remotely, and all of our contractors have been putting plans in place to meet the expectations and safety requirements for social distancing while still being able to work in the field.”

“We’re obviously taking our cues from the government on making sure the safety of our workforce and the communities that we work in are maintained.”

De Pauw says they will only be receiving a portion of the $1.7 billion, but that the money they do receive may help them to offset a lack of funds caused by delays in their annual levy for producer’s from the Energy Regulator.