2016 has turned into a record year for the number of lapsed payments from oil and gas companies to landowners.
The province’s Surface Rights Board Chair Gerald Hawranik says they received 764 requests last year, which amounted to about $1.7-million in payments.
But this year, the numbers have exploded, and we’re only eight months in.
“We’ve seen 781 applications accepted at this point, plus we have an additional 400 applications in the queue,” Hawranik said in an interview with Danielle Smith on News Talk 770 on Tuesday.
So far, more than 400 landowners are demanding cash from Lexin Resources, a Calgary-based company that decided to stop making lease payments last fall, and Hawranik says that company has another 1,100 wellsites which could result in more requests.
He says the challenge there is they’re not sure what the status of those wells are, so they could be perfectly fine and won’t need to be paid out like the ones which were abandoned.