Bill 94 — Third Session, 16Th Legislature, 19 Elizabeth Ii the Legi8Lative Assembly of A:Lberta Bill 94 An Act To Amend the Oil and Gas Conservation Act, 1969 (Legislature 16, Session 3)

L16 S3 4786

Alberta — Bills

1970 Bill 94 Third Session, 16th Legislature, 19 Elizabeth II THE LEGI8LATIVE ASSEMBLY OF A:LBERTA BILL 94

An Act to amend The Oil and Gas Conservation Act, 1969 HON. MR. PATRICK First Reading ............................. . Second Reading ............................ . Third Reading ............................. . Printed by L. S. Wall, Queen's Printer, Edmonton

BILL 94 1970

An Act to amend The Oil and Gas Conservation Act, 1969 (Assented to , 1970) HER MAJESTY, by and with the advice and consent of the Legislative Assembly of the Province of Alberta, enacts as follows: 1. The Oil and Gas Conservation Act, 1969 is hereby amended.

Section 5 is amended by striking out the word "and" at the end of clause (c), by adding the word "and" at the end of clause (

d) and by adding the following clause: (

e) to control pollution above, at or below the surface in the drilling of wells and in operations for the production of oil, gas and crude bitumen and other operations over which the Board has jurisdiction.

Section 22, subsection (1) is amended (

a) as to clause 14 by adding after the word "drilling" the words "and producing", (

b) by adding the following clause after clause 27: 27 a. prescribing the measures to be taken to con trol pollution above, at or below the surface in the drilling of wells and in operations for the production of oil, gas and crude bitumen and other operations over which the Board has jurisdiction;

Section 81 is amended (

a) by striking out subsections (2) and (3) and by substituting the following subsections:

(2) Two copies of the forms of each unit agree m~nt and unit operating agreement shall be filed wIth the Board before or within one month after their effective date.

Explanatory Notes I. This Bill amends

chapter 83 of the Statutes of Alberta, 1969.

Section 5 presently reads: 5. The purposes of this Act are (

a) to effed the conservation of, and to prevent the waste of the oil, gas and crude- bitumen resource.s of Alberta, ' (

b) to secure the observance of safe and efficient practices in the loca~ing, spac~ng, drilling, equipping, c-ompleting, reworking, testmg, loperatmg and abandonment of wells and in operations for the production of oil, gas and crude bitumen, (

c) to afford each owner the ,opportunity of obtaining his share of the production of oil or gas fflom any pool or of crude bitumen from any ,oil sands deposit, and (

d) to provide for the recording and the timely and useful di.s semination of information regarding the oil, gas and crude bitumen resources lof Alberta. The amendments to

section 5 and 22 of the Act are designed to broaden the scope of the Act in order to permit the Oil and Gas Conservation Board to take measures to control pollution arising from any drilling or producing operations.

Section 22, subsection (1), clause 14 presently reads: 22.

(1) The Board may make regulations 14. restricting drilling operations in water covered areas, and pre s'cribing any special measures to be taken in such operations;

Section 81, subsections (2), (3) (4) and (5) presently read:

(2) Two copies of the form of each unit agreement, which shall include a participation schedule, shall be filed with the Board before or within one month after its effective date.

(3) Where the form of a unit agreement has been filed with the Board, the unit operator shall, (

a) immediately upon the coming into effect of the agreement or upon the filing of the form of agreement, whkhever is later, advise the Board as to what tracts have qualified for inclusion in the unit area, and (

b) immediately upon any change in the unit area coming into effect, advise the Board of each addition to or deletion from the unit area, and shall file, as soon as possible, with the Board copies of any amendment to the unit agreement and any new participation schedule.

(4) Where a pool or part thereof is (

a) subject to a unit agreement filed with the Board, or (

b) within a block, the Board, on application, may ,order that any provision of this Act or the regulations regarding the development and production of the oil or gas resources be varied or suspended in the pool or part thereof for the duraUon of the unit opera'tion or block.

(5) If, by a unit agreement filed under subsection (2), or by an operating agreement complementary to such a unit agreement and filed with the Board, the owners of oil and gas interests and the operators agree that a designated person shall be their agent with respect to their functions, powers, duties, obligations and resp,onsibil lties under the Act, the performance or non-performance thereof by such designated person shall, subject to

section 101, be deemed con clusively to be the performance or non-performance by the owners or operators otherwise responsible therefor under the provisions of the Act. The amendments are made for the purpose only of requiring the filing of a unit operating agreement as well as the unit agreement where owners of oil and gas interests enter into a unit operation scheme.

(3) Where the forms of a unit agreement and unit operating agreement have been filed with the Board, the unit operator shall, (

a) immediately upon the coming into effect of the agreements or upon the filing of the forms of the agreements, whichever is later, advise the Board as to what tracts have been quali fied for inclusion in the unit area, and (

b) immediately upon any change in the unit area coming into effect, advise the Board of each addition to or deletion from the unit area, and shall file, as soon as possible, with the Board, copies of any amendments to either of the agree ments. (

b) as to subsection (4), clause (

a) by adding after the words "unit agreement" the words "and unit oper ating agreement", (

c) as to subsection (5) by striking out the words "filed under subsection (2), or by an operating agreement complementary to such unit agreement and filed with the Board" and by substituting the words "or unit operating agreement filed under subsection (2)".

Section 105 is amended by adding the following sub section:

(5) Where the Board has granted an application under

section 106 to permit the keeping of records and the filing of reports for a battery or group of wells, the battery or group operator shall be deemed to be the agent, duly ap pointed and registered under this section, of the licensee of each well in the battery or group for purposes related to that well. 6. This Act comes into force on the day upon which it is assented to. 2

Section 105 provides for the registration with the Board by well licensees and others of certain information, including informa tion pertaining to the appointment of an agent.

Section 106, referred to in the new subsection (5), presently reads: 106. The Board, up'on application, may permit the keeping of records or the filing of reports for a battery or group of wells at which the product of wells is commingled before measurement, but in such case (

a) the figures shall be attributed to individual wells in the battery or group in a manner satisfactory to the Board to indicate 'l.S nearly as possible the actual production of the individual wells, and (

b) the attributed figures shall represent the production lof each well for all purposes. Title: 1970 (16th, 3rd) Bill 94,

An Act to amend The Oil and Gas Conservation Act, 1969

Document details

Collection	Alberta — Bills
Citation	L16 S3 4786
Type	bill
Volume / chapter	L16 S3 4786
Language	en
Format	json
Source	PROVINCIAL
Identifier	17f191d904028777e6362b8281cfb86cb87332ec

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