An orphan well is pictured in this undated file photo

By Charles Lefebvre

Province to extend load to Orphan Well Association

Mar 2, 2020 | 2:28 PM

EDMONTON, AB — The province has revealed the first step of its plan to help get Albertans working.

Premier Jason Kenney announced Monday morning that the United Conservative Party will be extending its loan to the Orphan Well Association by up to $100 million. The loan will allow the association to increase its immediate efforts to reclaim orphaned wells in the province.

According to a news release from the province, the loan will generate up to 500 direct and indirect jobs in the oil services.

“Today’s investment is part of our Blueprint for Jobs,” Kenney said in a statement. “This taxpayer investment will create good-paying jobs while improving the environment. Actions like this will help to get Alberta back to work.”

The province and the government are still finalizing specific loan terms and conditions, including a repayment schedule. The release says both organizations have agreed the investment will be completed before April 1, 2021.

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The extension, the government says, will allow the OWA to decommission approximately 1,000 wells and start more than 1,000 environmental site assessments for reclamation.

“By staying on top of the orphaned well inventory, we’re helping to ensure a sustainable energy industry in Alberta,” said Lars De Pauw, OWA executive director, in a statement. “The Orphan Well Association continues to increase our efficiencies while also increasing the number of sites we are addressing. This loan will help us further these efforts while helping Alberta’s service sector and reducing the impact on affected landowners.”