December 12, 2019 – Vancouver, British Columbia – Canada Energy Partners Inc.’s (TSX-V: CE.H) (the "Company" or “Canada Energy”) wishes to advise that it plans to move forward with the plug and abandonment of the Company’s water disposal well.
As announced in the March 17, 2017 press release, the Company received a General Order from the British Columbia Oil & Gas Commission (“OGC”) on March 16th, ordering a suspension of all disposal activities at the Company’s water disposal well in northeast British Columbia due to stakeholder concerns over the possibility of induced earthquakes. The Company complied with the shut-in order and initiated a regulatory challenge to the shut-in order. In December 2017, Canada Energy received a decision from the OGC that agreed to allow the Company resumption of water disposal if certain conditions were met. In the two and a half years since that point in time, the Company has been unable to forge a new water disposal deal with area operators. In the current environmental landscape, the area operators appear averse to the potential political, legal, and financial risks associated with the disposing of water in the Company’s disposal well. With little economic viability, the Company has therefore decided to proceed with the plug and abandonment of its disposal well.
As previously announced, the Company is in a difficult financial position and there is no assurance that the Company can continue to be commercially viable.
On behalf of the Board of Directors of
Canada Energy Partners Inc.
President & CEO
For more information, please contact:-
CANADA ENERGY PARTNERS INC.
343 3rd Street, Suite 412
Baton Rouge, LA
Main Phone: +1 225.388.9900 / Fax: +1 225.388.9903
Email: [email protected]
Neither the TSX Venture Exchange nor its Regulation Services Provider (as such term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This press release contains forward-looking statements within the meaning of applicable securities laws. Forward-looking statements are frequently characterized by words such as “plan”, “expect”, “project”, “intend”, “believe”, “anticipate”, “estimate” and other similar words or statements that certain events or conditions “may” or “will” occur, including, without limitation, estimated revenues.
Forward-looking statements are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. These factors include, without limitation, regulatory approvals, mechanical integrity of the water disposal well, receptivity of the disposal zone, variability of operating costs, risks associated with oil and gas production and exploration, retention of and ability to attract company personnel, volatility of commodity prices, currency and interest rate fluctuations, environmental risk, inability to access sufficient capital from internal and external sources and changes in legislation, including income tax, environmental and regulatory matters.
This press release, in particular the information in respect of estimated revenues, may contain future-oriented financial information or financial outlook within the meaning of applicable securities laws. Such future-oriented financial information or financial outlook has been prepared for the purpose of providing information about management’s reasonable expectations as to the anticipated results of its proposed business activities. Readers are cautioned that reliance on such information may not be appropriate for other purposes.
The forward-looking statements contained in this press release are made as of the date hereof, and the Company undertakes no obligation to update publicly or revise any forward-looking statements, whether as a result of new information, future events or otherwise, unless so required by law.