February 15, 2017
Alberta orphan oil well tally jumps as Lexin licenses suspended
The Alberta Energy Regulator (AER) suspended licenses on all oil and gas well facilities and pipelines belonging to Lexin Resources Ltd on Wednesday, nearly doubling the number of orphaned wells in Canada’s main crude-producing province.
The provincial regulator ordered privately-held Lexin to cease all production, saying it failed to comply with multiple orders and lacked enough staff to manage its more than 1,600 sites.
Calgary-based Lexin also owes more than C$1-million to Alberta’s orphan fund and more than C$70-million in security for its obligations to clean up its oil and gas facilities at the end of their producing life.