Canada En­ergy re­ceives con­di­tions re water dis­posal

Canada En­ergy Part­ners Inc. can re­sume water dis­posal op­er­a­tions if it lim­its daily dis­posal vol­umes to 200 cu­bic mpd. It must also in­stall seis­mic de­tec­tion and cease dis­posal if the safety fac­tor at the Peace Canyon Dam falls be­low a cer­tain level.

Stockwatch Daily - - FRONT PAGE - Mr. Ben­jamin Jones re­ports

CANADA EN­ERGY Part­ners Inc. has re­ceived a de­ci­sion from the Bri­tish Columbia Oil & Gas Com­mis­sion (OGC) that will al­low re­sump­tion of water dis­posal if cer­tain con­di­tions are met. The ad­di­tional con­di­tions are: (1) daily dis­posal vol­umes are limited to 200 cu­bic me­tres per day; (2) in­stal­la­tion of seis­mic de­tec­tion and ac­celerom­e­ter equip­ment with reg­u­lar re­port­ing of gath­ered data; and (3) a re­quire­ment to cease dis­posal if BC Hy­dro’s safety fac­tor at the Peace Canyon Dam falls be­low an ac­cept­able level. The com­pany be­lieves that it can meet these con­di­tions and will pro­ceed to re-es­tab­lish water dis­posal op­er­a­tions as soon as prac­ti­ca­ble.

In early March, 2017, BC Hy­dro, the Crown util­ity com­pany, no­ti­fied the OGC that it be­lieved the com­pany’s dis­posal oper­a­tion im­posed a risk of in­duced earth­quakes that could dam­age its Peace Canyon Dam. The OGC is­sued a sus­pen­sion or­der March 16, 2017, ter­mi­nat­ing water dis­posal op­er­a­tions at the com­pany’s Peace River dis­posal fa­cil­ity. The com­pany re­quested a tech­ni­cal re­view which was con­ducted from April to July, 2017. Con­cur­rent with the tech­ni­cal re­view, the com­pany ap­pealed the sus­pen­sion or­der to the Oil & Gas Ap­peal Tri­bunal but the ap­peal was de­nied in Au­gust. The OGC no­ti­fied the com­pany on June 16 that it was con­sid­er­ing can­celling the com­pany’s water dis­posal well per­mit. How­ever, based upon an ex­haus­tive re­view of the tech­ni­cal data, on Dec. 4, 2017, the OGC de­cided not to can­cel the com­pany’s dis­posal well per­mit and to al­low re­sump­tion of water dis­posal as long as cer­tain con­di­tions are met.

The OGC de­ci­sion can be read in its en­tirety at the com­pany’s web­site.

We seek Safe Har­bor.

Jonathan Bah­nuik, Kyle R Bur­nett, Ben­jamin Jones, John Gra­ham Proust, Win­ston R Pu­ri­foy

(CE) Shares: 90,394,534

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