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Directive 056Release date: May 18, 2021Effective date: May 18, 2021Replaces previous edition issued March 25, 2021Energy Development Applications and SchedulesContents123Introduction . 11.1Purpose of This Directive . 11.2AER Requirements . 11.3What’s New in This Edition . 11.4How to Use This Directive . 21.5Continuous Improvement . 21.6Directive 056 Help. 3Energy Development Licence Applications . 52.1Overview . 52.2Before Filing a Licence Application. 52.2.1Business Associate Codes . 52.2.2Prelicensing Approvals and Variances . 52.3Applicant Responsibilities . 62.4Submission Procedures . 62.5Incomplete Licence Applications . 62.6Checking the Status of a Licence Application . 72.7AER Licence Application Process . 72.8Application Disposition . 7Participant Involvement . 93.1Overview . 93.2Planning a Participant Involvement Program . 103.2.1Who to Include. 103.2.2What Information to Disclose . 12Directive 056: Energy Development Applications and Schedules (May 2021) i
Alberta Energy Regulator3.2.33.3Personal Information . 13Implementing the Participant Involvement Program . 143.3.1Personal Consultation and Confirmation of Nonobjection . 143.3.2Notification . 163.3.3Extended Absences. 173.3.4Addressing Concerns/Objections and Alternative Dispute Resolution . 183.4Documenting the Participant Involvement Program . 193.5Expiry of the Personal Consultation and Notification Program . 193.6Additional Participant Involvement Requirements for Facilities . 203.73.83.93.6.1Licence Expiry . 203.6.2Licence Extensions. 203.6.3Consultation and Notification Requirements by Facility . 203.6.4Exempted Activities and Facilities . 22Other Participant Involvement Requirements for Facilities . 233.7.1Setback Requirements . 233.7.2Noise Requirements . 24Additional Participant Involvement Requirements for Pipelines . 243.8.1Licence Expiry . 243.8.2Licence Extensions. 243.8.3Consultation and Notification Requirements by Pipeline Type . 243.8.4Exemptions . 24Other Participant Involvement Requirements for Pipelines . 273.9.1Participant Involvement Requirements for Pipeline Licence Amendments. 273.10 Additional Participant Involvement Requirements for Wells . 303.10.1 Licence Expiry . 303.10.2 Licence Extensions. 303.10.3 Consultation and Notification Requirements by Well Type . 303.10.4 Licence Amendments . 333.10.5 Other Participant Involvement Requirements for Wells . 334iiApplication Audit Process . 354.1Overview . 354.2Audit Selection . 354.3Audit Types . 354.3.1Full or Partial Audit Review . 354.3.2Immediate Audit. 364.3.3Prelicensing Audit Reviews . 364.3.4Link to AER Field Surveillance Inspections . 36Directive 056: Energy Development Applications and Schedules (May 2021)
Alberta Energy Regulator4.4Audit Documentation . 364.5Acquisitions . 374.6Compliance Records . 374.7Additional Audit Documentation Requirements for Facilities . 374.84.94.7.1Participant Involvement Requirements. 374.7.2Emergency Response Planning . 404.7.3Application Category . 404.7.4Design Criteria . 404.7.5Technical Information . 404.7.6Gas Plants . 434.7.7H2S Information . 434.7.8Compressors or Pumps . 45Additional Audit Documentation Requirements for Pipelines . 454.8.1Participant Involvement Requirements. 454.8.2Emergency Response Planning . 474.8.3Transportation and Utility Corridor . 484.8.4Environmental Information . 484.8.5Pipeline Technical Information . 484.8.6Pipeline Installation Technical Information . 52Additional Audit Documentation Requirements for Wells . 524.9.1Participant Involvement Requirements. 534.9.2Emergency Response Planning . 554.9.3Well Purpose . 554.9.4Minimum Casing Testing Requirements . 554.9.5Well Detail . 554.9.6Surface Casing Requirements . 554.9.7Well Classification . 564.9.8Rights for All Intended Purposes . 564.9.9Rights for the Complete Drill Spacing Unit . 564.9.10 Water Body Setback Requirements . 564.9.11 Other Setback Requirements . 574.9.12 Environmental Requirements . 574.9.13 CBM Wells . 574.9.14 H2S Release Rate . 574.9.15 Intermediate Casing . 584.9.16 Drilling Critical Wells . 58Directive 056: Energy Development Applications and Schedules (May 2021) iii
Alberta Energy Regulator5Facility Licence Applications. 595.1Overview . 595.2Licence Expiry. 595.2.1Licence Extensions. 605.3Category Type and Consultation and Notification Requirements . 605.4Exemptions . 615.4.1Single-Well Facility Sites . 615.4.2Other Facilities . 615.4.3Exempt Activities . 625.5Licence Amendments . 635.6Technical Requirements . 635.6.1Emergency Response Planning . 635.6.2Licensee Liability Rating . 645.6.3Proliferation . 645.6.4Facility Design Criteria . 655.6.5Sulphur Recovery . 665.6.6Process-Flow Diagrams . 675.6.7Total Continuous Emissions . 685.6.8Compressor and Pump Additions . 695.6.9Setback Requirements . 705.6.10 Plot Plans and Spacing Requirements . 715.6.11 Vapour Recovery and Odour Control . 725.6.12 Noise Requirements . 735.6.13 Alberta Environment and Parks. 745.6.14 Alberta Culture and Tourism . 745.6.15 AER Environmental Requirements. 745.6.16 Working Interest Participants . 755.6.17 Additional Application Requirements. 756ivPipeline Licence Applications . 776.1Overview . 776.2Licences . 786.2.1Licence Expiry . 786.2.2Licence Extensions. 786.3Category Type and Consultation and Notification Requirements . 786.4Exemptions . 796.4.1Pipeline Installations . 796.4.2Pipeline Activities. 79Directive 056: Energy Development Applications and Schedules (May 2021)
Alberta Energy Regulator6.5Licence Amendments . 806.6Technical Requirements . 816.6.1Emergency Response Planning . 816.6.2Setback Requirements . 816.6.3Pipeline Leak Detection . 826.6.4Steam Distribution Pipelines . 826.6.5Pipeline Discontinuation . 826.6.6Pipeline Abandonment . 836.6.7Partial Pipeline Removals . 836.6.8Pipeline Resumption. 836.6.9Pipeline Removal. 846.6.10 Pipeline Replacement . 846.6.11 Surface Pipelines. 846.6.12 Calgary and Edmonton Transportation and Utility Corridors . 866.6.13 Pipeline Spatial Data . 866.6.14 Maximum Operating Pressure Increase . 866.6.15 Maximum Operating Pressure Decrease . 876.6.16 Substance Change . 876.6.17 Connecting Pipelines with Different Substances . 886.6.18 Liner Type . 886.6.19 Sour Service Pipelines . 886.6.20 Canadian Standards Association . 896.6.21 Pipelines Transporting Carbon Dioxide (CO2). 896.6.22 Stainless Steel Pipelines . 906.6.23 Injecting Natural Gas Containing H2S into a Producing Reservoir. 906.6.24 Stress Level . 906.6.25 Pipeline Installation. 916.6.26 Blending of Products . 946.6.27 Proliferation . 946.6.28 AER Environmental Requirements. 946.6.29 Conservation and Reclamation Requirements . 956.6.30 Additional Application Requirements. 95Directive 056: Energy Development Applications and Schedules (May 2021) v
Alberta Energy Regulator7Well Licence Applications . 977.1Overview . 977.2Licence Expiry, Extensions, and Cancellations . 987.3Category Type and Consultation and Notification Requirements . 987.4Exemptions . 987.4.17.5Abandoned Well Remediation . 99Licence Amendments and Information Updates . 997.5.1Amendments . 1007.5.2Information Updates . 1007.6Re-entry, Resumption, and Deepening . 1007.7Technical Requirements . 1017.7.1Spatial Data and Survey Plans . 1017.7.2Well Names . 1027.7.3Emergency Response Planning . 1037.7.4Critical Sour Well . 1037.7.5Minimum Casing Testing Requirements – Re-entry and Resumption of Drilling . 1037.7.6Terminating Formation . 1057.7.7AER Classifications . 1067.7.8Assigning Initial Confidentiality to New Wells . 1087.7.9Drill Cutting Sample Requirements . 1107.7.10 Groundwater Protection . 1117.7.11 Surface Casing and Exemptions . 1117.7.12 Right to Produce or Operate . 1167.7.13 Setback Requirements . 1177.7.14 AER Environmental Requirements. 1207.7.15 H2S Release Rate Assessments . 1217.7.16 Working Interest Participants . 1307.7.17 Additional Application Requirements. 1308Additional Application Requirements (Special Circumstances) . 1318.1Overview . 1318.2Battle Lake Area Application Requirements . 1318.38.2.1Background . 1318.2.2Battle Lake Tier 1 Area Definition. 1328.2.3Application Requirements for the Tier 1 Area . 1338.2.4Non-Tier 1 Areas . 134Sour Gas Planning and Proliferation Application Requirements . 1358.3.1viBackground . 135Directive 056: Energy Development Applications and Schedules (May 2021)
Alberta Energy Regulator8.48.58.3.2Application Requirements for Sour Gas Development. 1358.3.3Addressing Concerns and Objections . 1368.3.4Application Submission . 1378.3.5Audit . 137Peace River Area Application Requirements . 1378.4.1Background . 1378.4.2Peace River Area Definition . 1378.4.3Application Requirements for the Peace River Area . 138Application Requirements for Activities Within the Boundary of a Regional Plan . 138Appendix 1Definitions . 141Figure 1.How to classify a well . 107Figure 2.Drill cutting sample requirements by area in Alberta . 113Figure 3.Battle Lake Tier 1 . 132Figure 4.Peace River area . 138Table 1.Consultation and notification requirements by facility type . 21Table 2.Facility industry notification requirements . 23Table 3.Consultation and notification requirements by pipeline type . 25Table 4.Participant involvement requirements for pipeline and pipeline installation licenceamendments . 29Table 5.Consultation and notification requirements by well type . 31Table 6.Setback requirements for category C, D, or E facilities with pipelines containing H2S . 71Table 7.Licence amendment requirements for pipeline and pipeline installations activities . 80Table 8.Setback requirements for gas/oil effluent pipelines containing 10 mol/kmol H2S . 81Table 9.AER classification . 106Table 10.Well confidential status based on AER classification .
Directive 056 Directive 056: Energy Development Applications and Schedules (May 2021) i Release date: May 18, 2021 Effective date: May 18, 2021
