Estevan 鈥� In early 2017, Quantum Energy, Inc., through its Canadian subsidiary, Dominion Energy Processing Group, Inc., said they were working on their permitting for a proposed refinery in Stoughton. Over a year has passed since that time, and in that year, they have had no contact with the Ministry of Environment for 鈥渨ell over a year,鈥� according to Minister of Environment Dustin Duncan. Duncan was the Minister of Energy and Resources at the time of the initial proposal.
Pipeline News sent a series of questions via email regarding this proposal. Duncan and Energy and Resources Minister Bronwyen Eyre responded by email on May 17.
Pipeline News: In early 2017, there were two proposed refineries for Saskatchewan, one at Lloydminster and one at Stoughton. What sort of government approvals and permits are necessary to build a refinery in this province?
Dustin Duncan:
Ministry of Environment:
- Environmental Assessment and Decision by Minister of Environment
- Approval to Construct, Install, Alter, or Extend Industrial Waste Works
- Approval of Decommissioning Plan and Financial Assurance
- Environmental Protection Plan under the Industrial Source (Air Quality Chapter) of the Saskatchewan Environmental Code
- Approval to Operate Industrial Waste Works
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Water Security Agency
- Aquatic Habitat Protection Permit
- Permit for Waterworks Intended for Human Consumption
- Permit for Sewage Works
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Ministry of Highways and Infrastructure
- Provincial Highway Access Permits
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Municipal Approvals
- Road Use Agreements
- Municipal Development Permit
- Amendments to Zoning Bylaw (if required)
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P.N.: Where is Quantum Energy Inc./Dominion Energy Processing Group, Inc. in the process with regards to applying for an environmental permit for the proposed Stoughton refinery? Have they made an application?听
Duncan:The Ministry of Environment has not received any applications.
P.N.: Are there any monetary requirements or commitments in the permit process, such as bonds? 听
Duncan:There is no application fee for environmental assessment review. Should a project proceed to the permitting stage, a decommissioning and reclamation plan and financial assurance from the proponent would be required. The financial assurance would be held by the ministry and used to reclaim the site should the company become insolvent or walk away from the project.
P.N.: Can any work take place before the permit is issued?
Duncan:听No work should proceed until the appropriate regulatory approvals have been obtained.
P.N.: What would be the expected timelines to make a permit application, and to get it approved?听
Duncan:There is no legislated timeline for completion of the environmental assessment process or permitting processes.听Timelines depend on the quality of information submitted by proponents in their applications and their ability to respond to additional information requests during the approvals process.
P.N.: When was the last time the Ministry of Environment or Ministry of Energy and Resources has seen movement on this file from Quantum/Dominion?听
Duncan:The Ministry of Environment has not had any contact with the company for well over a year.
P.N.: We understand that access to water may have been an issue. Is that the case, and if so, how so?听
Duncan:It is the Ministry of Environment鈥檚 understanding that water would be required for the project; however, no application has been received and as such, the Ministry is unaware if a suitable water source has been located.
P.N.: In the 2017 provincial budget, the province announced, 鈥渢he Oil Processing Investment Incentive encourages processing of our oil resources in the province, with royalty credits on new production.鈥� Have you had any takers on that? Specifically, has Quantum Energy Inc./Dominion Energy Processing Group done anything with regards to applying for this program?
Bronwyn Eyre:The Oil Processing Investment Incentive has not yet been opened for applications. The government is undertaking stakeholder consultations to ensure that the program is designed to accommodate and promote a wide variety of large-scale value-added investment projects in the oil and gas sector.
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The Refinery That Wasn鈥檛 series of stories
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