Lexin Resources Ltd. et al., Receivership

Lexin Resources Ltd. et al. (collectively, the “Lexin Group”) had their receivership proceedings revived on May 28, 2024 on application by Grant Thornton, in its capacity as the former receiver of the Lexin Group.

The Lexin Group was previously placed into receivership in 2017, on application by the Alberta Energy Regulator (“AER”). During the receivership proceedings, the receiver concluded that it would be too cost intensive to market and sell a gas plant in Mazeppa, Alberta (the “Mazeppa Land”), and the Court relieved the receiver of responsibilities pertaining to the Mazeppa Land.

Grant Thornton was discharged as receiver in 2019. The Mazeppa Land was later seized and sold due to unpaid municipal taxes, and the Crown escheated the proceeds (approximately $1.1 million) under the Unclaimed Personal Property and Vested Property Act (“UPPVPA”).

The Alberta Treasury Board & Finance and the AER were consulted by the Orphan Wells Association, and it was determined that the best approach to manage the proceeds of sale would be for the receivership proceedings to be revived and for Grant Thornton to file an application to claim the escheated sale proceeds under section 48 of the UPPVPA.

Grant Thornton was reappointed as receiver.

Counsel is BLG for the receiver.

By: Dina Milivojevic