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From the Archive:

Who is assessed in a licence transfer?

Why does a transfer become nonroutine?

Can AER tell applicants the security amount before filing?

What factors drive security under D088?

Regulatory Intelligence 

Does a farm-use gas well transfer avoid Directive 088?

Category:

Licence Transfers and Liability

Research Basis

Archive Period

2021-2025

Records Reviewed
12
Primary Topics
Directive 088; farm gas well; landowner transfer; holistic assessment; limited eligibility
Current Reference
AER Directive 088; AER Manual 023; AER Directive 067; AER Directive 011; AER Directive 068

Common Question

Does a farm-use gas well transfer avoid Directive 088?

Archive Findings

No. Historical records confirmed that transfer of a farm gas well to a landowner triggers a Directive 088 holistic assessment, just like a transfer between oil and gas companies.

The landowner remains responsible for closure and cleanup liabilities.

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Engineering Insight

Treat farm-use transfers as formal licence transfers. Plan for D067 limited eligibility, D088 review, liability estimates, and possible security before negotiating the transaction.

Current Guidance

Current Directive 088 governs licence transfers and holistic assessment. Directive 067 governs eligibility, and Directive 011 supports estimated liability.

Related Regulatory Insights

Historical newsletter insights that reference the same directive, manual, rule or regulatory requirement.

Jun 1, 2024

Directive 056, H2S and Pipeline Application Updates

This issue summarizes Directive 056, Manual 012, H2S, Directive 059, EPEA pipeline application conditions, OneStop, Directive 011 liabilities, ST98, and facility life-cycle topics.

Nov 1, 2022

Closure Spend Reporting and Directive 088 Updates

This issue covers closure spend reporting, Directive 088 revisions, caribou range extensions, rental waivers, and Saskatchewan and BC regulatory updates.

Apr 1, 2024

ETS Permission Suspensions and Closure Liability Updates

This issue covers ETS permission suspensions for outstanding debt, the CARL program, Directive 088 and Manual 023 closure-liability updates, Directive 055 storage items, wildfire preparedness, and Saskatchewan updates.

Sep 1, 2022

Brine-Hosted Mineral Development and Directive 056 Updates

This issue covers brine-hosted mineral resource development, Directive 056 updates, Directive 067 WIP, Directive 068, OneStop, and Saskatchewan and BC items.

Dec 1, 2023

Water Shortage Advisories and Closure Management Updates

This newsletter covers water-shortage advisories, Manual 023 liability-management framework updates, geothermal tenure, Saskatchewan surface-rights updates, and BC fluid-database, water-policy, and venting items. It is a useful cross-jurisdiction compliance update for operators planning water use and closure obligations.

Apr 1, 2023

Municipal Tax Requirements for Licences and Transfers

This newsletter covers unpaid municipal property-tax requirements for well licences and transfers, fee deadlines, pipeline security, OneStop, Directive 067 and Directive 051 items, water regulation, and Saskatchewan and BC updates.

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