Industry Zone
Rules, Regulations, Requirements
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Directive 056: Frequently Asked Questions - Participant Involvement
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NOTIFICATION
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Question:
| In Tables 5.1, 6.1 and 7.1 of Guide 56 (now Directive 056), the applicant is required to provided notification to Crown disposition holders. Is the applicant required to contact all Crown disposition holders? Please provide clarification. |
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Question:
| What is the notification radius regarding Crown disposition holders in Directive 056 Tables 5.1, 6.1 and 7.1? |
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Question:
| In section 2.2.2 (16) (o) the applicant is required to advise the participants of its location relative to the emergency planning zone (EPZ) in the project-specific information package. Would information in the project-specific package as to whether the participant is in or outside the EPZ suffice or would more detail be required? |
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Question:
| When a company sends out notification, does it need to wait 14 calendar days to assure that the package was received or is the company allowed to send out the notification packages and then proceed to a licence? |
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Question:
| If a company sends out notification packages by registered mail can the Directive 056 application be sent in after the minimum 14 calendar day period? |
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Question:
| What are the licensing and participant involvement requirements for an applicant who intends to drill a well with the target substance being coalbed methane? |
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COAL/CBM
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Question:
| What are the notification requirements for an applicant who intends to drill through a bed or seam of coal? |
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Question:
| If a well application involves outstanding objections based on the right to produce CBM from split-title lands, what information does the ERCB require the applicant to file with its application? |
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CONFIRMATION OF NONOBJECTION
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Question:
| Does confirmation of nonobjection have to be in writing? |
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Question:
| Where the Crown land is adjacent to freehold land and the Directive 056 radius for personal consultation and confirmation of nonobjection applies, is a company required to conduct personal consultation and confirmation of nonobjection? |
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PUBLIC INFORMATION
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| Question: | I am a landowner in Alberta and would like more information regarding oil and gas development. Where will I find information pertaining to EUB applications for wells, pipelines and facilities? |
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PARTICIPANT INVOLVEMENT REQUIREMENTS
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How do I know what response to select for Step 2, Question 1, on Schedules 2, 3, and/or 4 when there are outstanding objections to an application?
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Section 8.3.4 of Directive 056 indicates that a routine application may be submitted with a cover letter that explains that the planning and proliferations requirements were met and there were no concerns or objection. What do I indicate in my cover letter if none of the surface developments within the EPZ is a residence?
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URBAN CENTRES
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| Question: | Our company is preparing for a well that will be within the boundaries of an urban centre. Directive 056 indicates that we only need to notify the urban authority. Are there any other requirements? |
WORKING INTEREST PARTICIPANTS
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Question
: | What are the EUB's requirements for submitting Working Interest Participant information on Schedules 2.1 and 4.1? |
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NOTIFICATION
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Question:
| In Tables 5.1, 6.1 and 7.1 of Directive 056, the applicant is required to provided notification to Crown disposition holders. Is the applicant required to contact all Crown disposition holders? Please provide clarification. |
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Answer:
| The applicant may exclude Crown disposition holders such as oil and gas industry participants, provided they are not impacted by setback requirements. Applicants are not required to notify encumbrance activities that appear on a land title certificate (e.g., caveat, lien, or mortgage). |
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TOP
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Question:
| What is the notification radius regarding Crown disposition holders in Directive 056 Tables 5.1, 6.1 and 7.1? |
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Answer:
| Directive 056 does not specify a radius of notification for Crown disposition holders in Tables 5.1, 6.1 and 7.1. During the audit process, Facilities Application staff looks for notification within the quarter section that the proposed facility site, wellsite and access road, or pipeline right-of-way is to be located. In situation where a site straddles section boundaries, (e.g., unsurveyed territory) and there are different Crown disposition holders in each quarter section, both disposition holders would require notification. |
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Question:
| In section 2.2.2 (16) (o) the applicant is required to advise the participants of its location relative to the emergency planning zone (EPZ) in the project-specific information package. Would information in the project-specific package as to whether the participant is in or outside the EPZ suffice or would more detail be required? |
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Answer:
| Notification as to whether a participant is within or outside the EPZ will suffice in the Directive 056 project-specific information package. However, the applicant may choose to include a project map in the project-specific information package identifying where the participant is located relative to the project. |
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Question:
| When a company sends out notification, does it need to wait 14 calendar days to assure that the package was received or is the company allowed to send out the notification packages and then proceed to a licence? |
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Answer:
| For Directive 056 notification purposes, the applicant must allow a minimum of 14 calendar days for participants to receive, consider, and respond to the company's notification package. If a company does not want to wait the 14 calendar days, it may choose to fulfill the personal consultation requirements in lieu of the notification requirements. This would necessitate meeting the person consultation requirements described in Section 2.3.1 of Directive 056. |
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Question:
| If a company sends out notification packages by registered mail can the Directive 056 application be sent in after the minimum 14 calendar day period? |
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Answer:
| Where a company chooses to send a notification package by registered mail, the company may submit the application after it has met the 14 calendar day criteria. |
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Question:
| What are the licensing and participant involvement requirements for an applicant who intends to drill a well with the target substance being coalbed methane? |
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Answer:
| The applicant must identify the Substance Name as Coalbed Methane in Step 5 (Well Detail) of Schedule 4 of Directive 056. Additionally, the applicant must meet the requirement outlined in Section 2.2.2 (16)(f) by identifying the type of substance as coal bed methane in its project specific information letter, and it must distribute a copy of the EUB publication EnerFAQs10 Coalbed Methane to all parties included in its participant involvement program. If during the processing or audit review of the application it is determined that the applicant has not met these requirements, it may be requested to renotify all parties and/or file a licence amendment application. |
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COAL/CBM
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Question:
| What are the notification requirements for an applicant who intends to drill through a bed or seam of coal? |
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Answer:
| The applicant must notify in writing all Freehold coal rights owners and the lessees of Freehold or Crown coal rights unless the applicant is also the holder of the coal rights. This notification must precede the filing of a well application with EUB Facilities Applications. Notification in writing must meet the requirements set out in Section 2.3.2 of Directive 56 which includes providing a project-specific information package and allowing a minimum of 14 calendar days for participants to receive, consider, and respond to the company’s notification package. The applicant is not required to notify the Crown regarding coal rights, whether or not the coal rights have been leased. This notification requirement should not be confused with setback requirements specific to coal mines as set out in Sections 6.140 – 6.190 of the Oil and Gas Conservation Regulations. |
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Question:
| If a well application involves outstanding objections based on the right to produce CBM from split-title lands, what information does the ERCB require the applicant to file with its application? |
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Answer:
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On March 28, 2007, the Board issued Decision 2007-024, which considered the issue of legal entitlement to CBM being produced or intended to be produced from certain wells on split-title lands located in the Clive,
Ewing
Lake
, Stettler, and Wimborne Fields.
On December 24, 2008, the Board issued Bulletin 2008-50, which provided updated direction on expectations on this issue. In the bulletin, applicants are advised that as of January 1, 2009, they may file a routine application if they provide notification to the coal owner(s) and any other potentially affected parties, provided that
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filers of CBM objections do not raise any new or unique concerns or claims that do not relate to CBM entitlement based on coal ownership and/or trespass or potential damage to the coal resulting from gas or CBM production, and
- no other parties object to the well.
Routine applications will need to be accompanied by a “Bulletin 2008-50 cover letter” confirming that the requirements outlined in the bulletin have been met and no new or unique concerns were identified. A copy of that letter needs to be forwarded to the coal owner(s) as well.
Applicants who do receive objections that have new or unique concerns will need to submit those applications as nonroutine. Application staff will review any objections received after January 1, 2009, and if there are no new or unique concerns raised, the objection will be returned to the objector.
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CONFIRMATION OF NONOBJECTION
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Question:
| Does confirmation of nonobjection have to be in writing? |
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Answer:
| When confirmation of nonobjection is required in Directive 056, the applicant must ensure that there are no outstanding concerns/objections to the EUB issuing a licence for the proposed energy development. For landowners where the proposed energy development is to be sited, confirmation of nonobjection must be in writing. For other participants, confirmation of nonobjection can be verbal; however, the applicant is required to keep a log of the dates that personal consultation and confirmation of nonobjection occurred, when materials were distributed/received, and to whom. This is usually captured in the line list; however, it must be clear for Directive 056 audit purposes that confirmation of nonobjection was received. |
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Question:
| Where the Crown land is adjacent to freehold land and the Directive 056 radius for personal consultation and confirmation of nonobjection applies, is a company required to conduct personal consultation and confirmation of nonobjection? |
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Answer:
| The Crown has advised that they do not require personal consultation and confirmation of nonobjection when required under Directive 056. However, where the Crown is the adjacent landowner to an energy development on Freehold land and is impacted by setbacks or within the prescribed notification radii, the applicant must complete Directive 056 notification requirements. In cases where the Crown is the landowner of the proposed energy development site, the Crown's disposition process represents the personal consultation/confirmation of nonobjection process required by Directive 056. |
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Question:
| I am a landowner in Alberta and would like more information regarding oil and gas development. Where will I find information pertaining to ERCB applications for wells, pipelines and facilities? |
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Answer:
| There are a number of publications developed and available from the ERCB regarding well, pipeline, and facilities applications. These publications form part of Directive 056. In particular, Section 2 - Participant Involvement describes the minimum requirements a company must meet regarding public consultation and notification, when making a well, pipeline, or facility application to the ERCB. In addition, the ERCB may be contacted directly at (403) 297-4369 or via e-mail at Directive56.help@eub.ca, with Directive 056 inquiries. The following is a list of brochures relating to and included in Directive 056
ERCB Brochure: Understanding Oil and Gas Development in Alberta [PDF]
EnerFAQs 4: All About Critical Sour Wells
EnerFAQs 5: Explaining ERB Setbacks
EnerFAQs 6: Flaring and Incineration
EnerFAQs 7: Proposed Oil and Gas Development: A Landowner's Guide
Letter from the Chairman of the ERB [PDF]
In addition to the above, the following agencies provide additional information regarding oil and gas development in Alberta and the public:
The Farmers' Advocate
For advice on resolving on concerns of the Alberta agricultural community, which include, oil and gas activities, seismic activity, mineral leasing, contact the Farmers' Advocate in Edmonton:
305, 7000 - 113 Street
Edmonton, AB T6H 5T6
Phone (780) 427-2433 (Toll Free by first dialing 310-0000)
Fax (780) 427-3913
http://www1.agric.gov.ab.ca/$department/deptdocs.nsf/all/ofa2621
Alberta Surface Rights Board
For information regarding entry or compensation related to oil and gas resource activity on privately owned or crown occupied lands, please contact the SRB in Edmonton:
18th Floor Phipps-McKinnon Building
10020 - 101A Avenue
Edmonton, AB T5J 3G2
Phone: (780) 427-2444 (Toll Free by first dialing 310-0000)
Fax: (780) 427-5798
http://www.surfacerights.gov.ab.ca/srb/
Alberta Environment
Alberta Environment leads resource planning and sustainable development on behalf of all Albertans. For information on province-wide strategies that integrate industry, government and public uses of Alberta's land and resources, please contact AENV in Edmonton:
Alberta Environment
Main Floor, Petroleum Plaza South Tower
9915-108 Street
Edmonton, AB T5K 2G8
Phone: (780) 427-2700 (Toll Free by first dialing 310-0000)
Fax: 780-422-4086
http://www3.gov.ab.ca/env/land/index.html
The Registrar of Land Agents
The Registrar may investigate any complaint with respect of any matter that pertains to the Land Agents Licensing Act or the Land Agents Licensing Regulation. If you have concerns regarding a Land Agent or require further information, please contact the Registrar's office in Edmonton:
Land Agents Licensing
12th Floor, South Tower
Seventh Street Plaza
10030 - 107 Street
Edmonton AB T5J 3E4
Phone: (780) 415-4600 (Toll Free by first dialing 310-0000)
Fax: (780) 422-7173
http://www3.gov.ab.ca/hre/lal/index.asp
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PARTICIPANT INVOLVEMENT REQUIREMENTS
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Question
| How do I know what response to select for Step 2, Question 1, on Schedules 2, 3, and/or 4 when there are outstanding objections to an application? |
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Answer
| Directive 056 advises applicants to choose a "Yes" response when they have fulfilled all of the participant involvement requirements set out in Tables 5.1, 6.1, 6.2, and 7.1. "Yes" means that the applicant has completed all personal consultation and notification and acquired confirmation of nonobjection for the proposed project.
If the applicant is unable to fulfill any one of these requirements, it must select a response of "No" .For example, if a company is unable to acquire confirmation of nonobjection from a resident within the calculated EPZ, a "No" response must be selected. The EUB may request that an applicant withdraw its application and resubmit for instances where the response selected does not match the documentation submitted. |
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Question
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Section 8.3.4 of Directive 056 indicates that a routine application may be submitted with a cover letter that explains that the planning and proliferations requirements were met and there were no concerns or objection. What do I indicate in my cover letter if none of the surface developments within the EPZ is a residence?
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Answer
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The cover letter requires that the applicant confirm that it has met the requirements of the Recommended Practices for Sour Gas Development Planning and Proliferation Assessment (May 2004) and received no objections in cases where there are residences within the EPZ. In those cases where the applicant has one or more surface developments within the EPZ but none of those surface developments is a residence, the Recommended Practices would not apply. The cover letter needs to be submitted as well and should indicate what the surface development is and that Section 8.3 of the directive does not apply.
In any other situation where there is at least one residence within the EPZ, the cover letter needs to clearly indicate that the applicant followed the Recommended Practices and no concerns or objections were expressed.
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URBAN CENTRES
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Question:
| Our company is preparing for a well that will be within the boundaries of an urban centre. Directive 056 indicates that we only need to notify the urban authority. Are there any other requirements? |
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Answer:
| The EUB recognizes that there maybe additional concerns when a well, pipeline, or facility is proposed within the corporate boundary of the urban centre relating to future subdividing, planning, and setbacks. In these cases, it is necessary to obtain consent from the urban authority. If the application is being submitted routinely, it will be necessary to submit that consent with the application. |
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WORKING INTEREST PARTICIPANTS
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Question
: | What are the EUB's requirements for submitting Working Interest Participant information on Schedules 2.1 and 4.1? |
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Answer
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Directive 056
states the applicant (licensee) must be a working interest participant to apply for or hold a licence. If the applicant is not the only working interest participant,
Directive 056
requires the applicant to disclose all working interest participation in its proposed development at the time of application. Applicants are required to record the working interest participant information on Schedule 2.1 for facility licence applications and Schedule 4.1 for well licence applications.
Applicants must ensure that the working interest participant information recorded is accurate and complete by recording the full legal (registered) company name or its application may be closed. For example, "ABC Oil & Gas Limited" should be recorded, not "ABC Oil." Additionally, the EUB will not accept applications where "Partnerships" have been recorded as a working interest participant. It is the applicant's responsibility to determine which company(ies) within the partnership agreement should be captured on the application. Applicants are also responsible for ensuring that the sum of participation for the companies listed totals 100 per cent. |
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Page Last Updated: April 7, 2009 |
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