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Indigenous prime contractor exceeds Q4 well abandonment expectations

January 13, 20215:52 AM BOE Report Staff

Western Petroleum Management (WPM), an Indigenous Prime Contractor, and its highly motivated and experienced team of professionals and subcontractors exceeded expectations on projects funded by Alberta Site Rehabilitation well abandonment program during the fall of 2020.

Western Petroleum Management would like to congratulate all its employees and subcontractors for a job well done and the successful completion of multiple project milestones and deliverables, including the following:

  1. I: Downhole and surface abandonment of 188 wells
  2. Utilized an innovative 2-Stage Resin plug to permanently abandon 65 wells
  3. Removed equipment on 80% of wellbore abandonment sites
  4. Completed 35 Phase 1 Environmental Assessments
  5. Completed all AER DDS and OneStop submissions
  6. Generated approximately 20,000 manhours of work
  7. 65+ subcontractors involved in multiple projects
  8. Maximized usage of local contractors to minimize logistics cost
  9. Indigenous personnel involved on majority of projects
  10. Worked with Landowners and other stakeholders to minimize access issues or other concerns
  11. Excellent safety record with no incidents or accidents
  12. Completed two (SRP period 4) projects where Indigenous workers participation exceeded 75%
  13. Committed to paying subcontractors in a timely manner. As of year-end 90%+ of all subcontractor’s invoices have been paid in full for services provided.

With the commencement of winter operations for 2021, we are planning, along with our valuable subcontractors, to continue with an aggressive abandonment and decommission program through spring breakup and into the coming summer. With the utilization of local subcontractor experience and optimization of geo software data, WPM’s team will proactively plan each step of the process to ensure logistical cost are kept to a minimum for all clients.

The Alberta Government, via the Site Rehabilitation Program (SRP) is currently planning to open Period 5 funding at the beginning of February 2021, whereafter, Oilfield Service Contractors (OFS) are then permitted to submit applications for funding to decommission wells and oilfield sites. Prior to an OFS contractor submitting applications to the SRP team, there must be a legal service contract in place with a well licensee to perform work on a site. One of the primary SRP funding requirements for period 5 is the requirement that a licensee qualifies for 50% funding on each project, but with the utilization of a 100% owned Indigenous contractor then that same licensee will qualify for 100% funding.

As a 100% owned and operated Indigenous prime contractor with 15 years of experience operating across western Canada, Western Petroleum Management Ltd has a strong history of successfully completing projects on time and under budget. To date, WPM has submitted approximately 750 applications to the SRP team for 16 clients. As a valuable and founding member of the Alberta Site Rehabilitation Indigenous Roundtable Team, WPM’s team of professionals have an excellent understanding of the SRP process. We are currently preparing the groundwork for clients to ensure we maximize future SRP funding, whether it be period 5 or possibly other future periods.

If you want to maximize your opportunity for Site Rehabilitation Program funding and have the assurance your projects meet SRP Indigenous requirement (100% funding), then please call or email at your earliest convenience.

Mark Schumlick
403-801-0747
mschumlick@westpetro.com

www.westpetro.com

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