24hr Emergency Spill Response line: 1 (855) 224-5014

Back to news & events

AER Announces Updates to Directive 011, Industry Parameters and Liability Costs

On June 26, 2024, the Alberta Energy Regulator (AER) announced updates to Directive 011, Industry Parameters and Liability Costs, following its information session on June 13. This release marks the beginning of scheduled updates to the Liability Management Framework (LMF) and the planned removal of the Liability Management Rating (LMR) and Licensee Liability Rating (LLR) in October 2024.

This initial phase of the AER’s proposed two-year update to industry liability estimates focuses on revising well abandonment costs across Alberta. The proportional adjustments in tubing and rod well abandonment costs by geographic area are detailed in the map below.

360 Engineering & Environmental Consulting has conducted a comprehensive review of the updated Directive 011 values across geographic areas and completion types. This assessment included benchmarking against 360’s proprietary data and internal Asset Retirement Obligation (ARO) methodologies. Feel free to reach out if you would like to discuss the implications of these updates.

Contact:
Graeme Hawkins
Manager of Asset Retirement Obligations
ghawkins@360eec.com

Recent News & Events

  • Another Gas Leak in Wheatley, ON Raises Alarm Over Ontario’s Abandoned Wells

    In late June, emergency crews in Wheatley, Ontario were once again forced to evacuate downtown due to a hydrogen sulfide gas leak—the same toxic gas that caused a devastating 2021 explosion that levelled a local pub and displaced families for months. The leak has reignited concerns over Ontario’s approximately 27,000 legacy oil and gas wells,…

    Read More

  • 360 EEC Hosts Ontario Minister of Rural Affairs

    This week we had the pleasure of hosting the Honorable Lisa Thompson, and Hannah Anderson from the Ontario Ministry of Rural Affairs. It was great to connect at our Calgary office to discuss the challenges that legacy oil and gas infrastructure poses to rural development in the province of Ontario – but more importantly to…

    Read More

  • 360 EEC Sponsors 4th Annual Chard Métis Nation Golf Invitational

    We had a fantastic time out on the course at the 4th Annual Chard Métis Happy Gilmore Golf Invitational! As a proud partner of the Chard Métis Dene Group of Companies, 360 was honoured to support this year’s event as a hole sponsor. Our team enjoyed connecting with fellow participants, running a fun giveaway at…

    Read More

  • Graeme Hawkins to Present at IAMA Workshop on ARO and End-of-Life Maintenance

    We’re proud to share that Graeme Hawkins, Director of Asset Retirement Obligations at 360 Engineering & Environmental Consulting, will be presenting at the upcoming Infrastructure Asset Management Alberta (IAMA) Workshop in Calgary on Wednesday, June 18, 2025. Graeme’s presentation, titled “ARO Work and Ongoing End-of-Life Maintenance,” will explore key insights from more than 40 PS…

    Read More