CALGARY, AB, August 22, 2024 – Today, the Alberta Energy Regulator (AER) announced it has imposed an administrative penalty and terms and conditions on Imperial Oil (Imperial) as a result of two contraventions of its approval conditions. The AER also released the first findings from its ongoing investigation into potential contraventions at the Kearl site, following the issuance of the Environmental Protection Order in February 2023.
These findings and resulting compliance and enforcement decisions do not encompass all potential contraventions that may have occurred at Kearl and that are being managed under the terms of the EPO. The investigation remains ongoing.
This portion of the AER’s investigation determined that a shallow subsurface pathway from on-lease industrial wastewater sources bypassed the existing deep groundwater Seepage Interception System (SIS), which resulted in the off-lease release. To date no impacts to fish, amphibians, or other wildlife have been reported to the AER.
As a result, the AER is imposing two key projects (terms and conditions) on Imperial as well as an administrative penalty.
Under the terms and conditions, Imperial must submit and implement a proposal for a Quality Assurance Project for sharing lessons learned with other oil sands operators and develop a plan to ensure tailings seepage mitigation and monitoring processes are completed. The plan must consider tailings dam design for existing and future tailings dams and ensure quality assurance and quality control processes are applied through the design, construction and operation phases. It must also include a detailed timeline, interim reports, and produce a final report that includes public and industry education.
The proposal must also include a preliminary research roadmap outlining planned Indigenous community and stakeholder engagement for inputs, including traditional knowledge, if applicable, to the formulation of the research objectives and methodology development.
Additionally Imperial must submit and implement a proposal for an Industrial Wastewater (Process Affected Water and CST Porewater) Release Research Project to further study and understand the potential impacts of the release of industrial wastewater (including process affected water and CST porewater) on the ecosystem. This will include impacts on fish and aquatic ecosystems, soil, vegetation, wildlife, and public safety, with a detailed timeline, regular progress reports, and a final report that includes public and industry education.
Both projects require the publication of final reports to be publicly posted on the company's website. All work and reporting under these terms and conditions must be conducted by qualified personnel and all work conducted by Imperial employees must be verified by qualified independent third parties, ensuring that the results are credible and reliable.
A significant aspect of the imposed terms and conditions is to enhance transparency and share lessons learned with the industry and local communities including public and industry education initiatives to improve overall practices and response strategies.
By setting clear requirements for project proposals, progress reports, and final reports, the AER is ensuring that Imperial is held accountable and supporting continuous environmental improvement.
A $50,000 administrative penalty will also be imposed on Imperial, representing the maximum base penalty table amount permissible under the regulation and including a representative daily amount.
The AER continues its oversight of Imperial Oil’s compliance with the EPO, to help ensure its top priorities of public safety and the protection of the environment.
An administrative penalty and terms and conditions, are two of many compliance and enforcement tools the AER can use when companies do not comply with the rules.
For more information on the AER’s investigation enforcement processes, please see the Investigations webpage on aer.ca.
About the Alberta Energy Regulator
The AER ensures the safe, efficient, orderly, and environmentally responsible development of energy resources in Alberta through our regulatory activities.
Contact
Email: media@aer.ca | Media line: 1-855-474-6356
