By Kuhl, Nick on March 4, 2020.
Oil and gas will be on the agenda in Lethbridge Thursday.
During the regular weekly SACPA session, set for noon at the Royal Canadian Legion, speaker Regan Boychuk will present “Is the Sun Setting on Alberta’s Conventional Oil and Gas Producers?”
Boychuk is a leading expert on the problem of reclaiming aging oil and gas infrastructure in Alberta. His analysis is informed by years of original research into royalties and liabilities, as well as decades of on-the-ground experience in the oil and gas industry.
Alberta’s conventional oil and gas liabilities have been growing for decades, with reported estimates ranging from $58 to $130 billion involving 450,000 oil and gas wells, 400,000 kilometres of pipelines and 1.4 trillion litres of fluid waste. It was recently revealed Alberta’s oil and gas companies now owe $178 million in unpaid rent and property taxes to farmers and municipalities.
The speaker will argue that Alberta can’t or won’t charge companies market competitive royalties for its oil and gas, and can’t or won’t make anyone clean up their mess without forcing bankruptcy, and the fact the oil patch cannot (or simply refuses to) pay its rent and taxes, all point towards an unfortunate reality: the sun is setting on Alberta’s storied conventional oil and gas industry.