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$67 million owing

Alberta Energy Regulator suspends Calgary-based SanLing Energy’s operations

Mar 5, 2021 | 12:44 PM

The Alberta Energy Regulator has suspended all of Calgary-based SanLing Energy’s licenses for wells, facilities and pipelines in the province, as the regulator says the company owes $67 million for its end-of-life obligations.

The AER says they have ordered the company to suspend all wells, facilities, and pipelines while ensuring they are left in a state that is safe to the public and environment. The regulator has also ordered that SanLing comply with past orders to clean up past spills and contamination. They have also been ordered to provide a detailed plan of how they will maintain the care of its wells, facilities, and pipelines while they are suspended.

SanLing holds AER licences for 2266 wells, 227 facilities and 2170 pipelines.

The regulator says repeated attempts to bring SanLing into compliance have failed. As a result, the AER has little confidence in SanLing’s ability to conduct its operations safely and “is taking this measure to protect the public and environment and to minimize financial risk”.

“If SanLing, or any company, wants to do business in Alberta, they must follow our rules,” said Blair Reilly, director of Enforcement and Emergency Management. “We cannot allow a company that has ignored the rules continue to operate—that’s not in Alberta’s interest.”

The AER adds SanLing may be able to resume operations if they meet the conditions of the reasonable care and measures order.