Well testing in 2014 showed the company’s South Rosevear Gas Plant had leaked sulfolane, an industrial solvent used to purify natural gas, into well water supplies as far as two kilometres from the plant.
Last year the AER ordered Bonavista to establish a long-term solution to supply a landowner with at least 2.5 million gallons a year of clean water for domestic and livestock use.
The company has until the end of 2019 to complete soil remediation, and until Sept. 1, 2031 to complete groundwater remediation.
An AER spokesman said the cleanup process for the hazardous solvent is complex and so will require some time to complete.
The regulator continues to investigate the contamination, and has required Bonavista to submit annual reports on its clean-up efforts.