For more information on licensed wells in the province, see:
Licence Obligations Associated with a Well
- Obligations are created and available in the licence document (pdf) provided in IRIS at the time of issuance. The conditions outlined in this licence document are established based on disclosure questions and will not be updated after the initial licence is created.
- Additional obligations may be created within IRIS that the licensee is responsible for meeting.
- Obligations are maintained within IRIS and can be modified from what is listed on the initial licence.
- Licensees are encouraged to review IRIS regularly for any new or modified obligations.
Cancelling a Licence
- A well licence can be cancelled by the licensee at any time before drilling begins.
- Licences are automatically cancelled if no drilling information is submitted to the Ministry of Energy and Resources through IRIS within 1 year of the licence issue date.
Unknown/Undetermined Mineral Ownership in a drainage unit/area related to production wells
In a situation where mineral ownership cannot be determined for a small portion of the drainage unit/area and a company still wishes to apply for a licence they may do so.
Two requirements prior to licence submission are:
- Conduct a thorough search and document all efforts made to determine/locate mineral owners.
- Conduct a public notice for the drainage unit/area to provide to off-set parties and any parties that may have an interest based on investigation results.
Licence Process:
- Assign the DA/DU as usual, include the unknown minerals lands, NOTE – on horizontal wells, only set up production allocation if CR/Other lands are involved, the setback from equity boundaries question should be answered as if the lease to the unknown mineral lands is held.
- Answer no to Question D62.
- Attach Unknown Mineral Ownership/Trust Information attachment to the well licence application, this should include confirmation of Public Notice being conducted, provide the PN number, the documentation of what was done to attempt to find the mineral owner(s) and a confirmation that a trust will be established and detail the percentage allocated to the portion of the drainage area that is unknown mineral ownership.
Crossing a Unit Boundary
A horizontal production well can be proposed to licence with the productive interval crossing a unit boundary. On the licence application within the completion detail, indicate the well is crossing a unit boundary. Production allocation must be specified as per Directive PNG006. Declaration must be made that the proposed well is not meeting equity setbacks and that agreements are in place between unit/non-unit/other unit parties. An attachment must be provided that shows the impacted units and other parties that make up the drainage area of the well and confirms agreements are in place with said parties to allow for production allocation in accordance with Directive PNG006.
Acquiring Crown Mineral Leases
Petroleum and natural gas dispositions in Saskatchewan are acquired through Crown Public Offerings. Companies request land to be posted in the Public Offering and bid on parcels within the Integrated Resource Information System (IRIS).
There are a number of scenarios where an oil and gas disposition may be eligible to be transferred. In these scenarios, acquisition through the Public Offering would not be required. These include:
- if the transferor(s) and the transferee(s) have agreed to and signed (executed) the transfer; or
- if a transfer is executed by or on behalf of a trustee, receiver, receiver-manager, liquidator, executor, administrator, property guardian or other person acting in a similar capacity and is accompanied by required documentation as set out in the Crown Minerals Act; or
- if the transfer is a redistribution of the interest among the remaining holders.
For more information on mineral lease transfers visit Transfer a Crown Oil and Gas Disposition Application.