Revitalize Energy Inc., an Alberta-based oil and gas company, was placed into receivership on January 20 on application by the Orphan Well Association (“OWA”).

Revitalize holds licenses for hundreds of oil and gas wells, pipelines and facilities across Alberta issued and regulated by the Alberta Energy Regulator (“AER”).

In August 2024, the AER issued a Reasonable Care and Measures Order requiring Revitalize to, among other things, provide a detailed reasonable care and measures plan, submit proof of insurance, and make payment of an outstanding Orphan Fund Levy in the amount of over $90 thousand. Revitalize failed to comply with the order, and in October 2024, the AER issued a suspension order requiring Revitalize to immediately winterize its sites and suspend its operations.

Revitalize failed to comply with the suspension order, and in November 2024, the AER issued a further suspension order authorizing the OWA to provide reasonable care and measures to the sites and prohibiting Revitalize from taking any action with respect to the licensed assets without the OWA’s approval. Revitalize again failed to comply and in December 2024 the AER issued an order requiring Revitalize to abandon the sites and maintain valid insurance.

Since the November 2024 suspension order, the OWA has been working to provide reasonable care and measures to the sites. In the course of its work, the OWA has identified a number of serious safety concerns due to, among other things, Revitalize failing to properly shut-in the licensed assets. Based on Revitalize’s historical non-compliance with the AER’s regulatory regime, there is approximately $17 million in deemed liabilities associated with the licensed assets and over $400 thousand owing to known creditors.

PwC is the receiver.

Counsel is MLT Aikins for the OWA, Fasken for the receiver and BLG for Revitalize.