Resource Conservation Branch
PO Box 9329 Stn Prov Gov’t
Victoria, BC V8W 9N3 		Phone: (250) 952-0310
Fax: (250) 952-0301
Alt: (250) 952-0311

GUIDELINE FOR APPLICATION FOR A LICENCE FOR UNDERGROUND STORAGE OF HYDROCARBONS

The Petroleum and Natural Gas Act applies to all storage projects. Part 14 of the Petroleum and Natural Gas Act was enacted to regulate the exploration and development of underground storage areas.

An application for approval of an underground hydrocarbon storage scheme in the Western Canadian Sedimentary Basin of Northeast British Columbia under the Petroleum and Natural Gas Act may contain, when applicable:

  • a discussion of the need for the storage project;

  • a description of the land proposed for the storage area including title holders within the area;

  • geological and engineering data concerning the proposed storage area with particular reference to:

    • the nature and size of the trap
    • the nature and efficiency of the cap-rock
    • expected range of reservoir pressures at the beginning and end of a withdrawal season
    • proposed development program;


  • where appropriate, a discussion of the choice of the proposed storage reservoir including reference to its location and possible alternatives, if any;

  • supporting statements from other parties affected by the proposed project, such as anticipated users and linked transmission companies;

  • information regarding the supply of and market for the hydrocarbons proposed for storage in the reservoir;

  • a discussion of the proposed method of operation, including a monitoring program for detection of leakage;

  • a description of the surface facilities and metering equipment.

Additional information may be supplied for underground storage in an aquifer consisting of:
  • the maximum inventory of hydrocarbons to be stored in the reservoir at any one time, and the fraction of this that will be ultimately recovered.

Additional information may be supplied for underground storage in a depleted or partially depleted hydrocarbon reservoir consisting of:
  • the maximum inventory of hydrocarbons to be stored in the reservoir at any one time, and its effect, if any, on further recovery of original hydrocarbons.

Three copies of the application are to be submitted to the Director of the Resource Conservation Branch of the Oil and Gas Commission in Victoria at the address noted above. A fourth copy is to be forwarded to the Manager, Operations Engineering of the Oil and Gas Commission in Fort St. John (200 10003 110 Ave, Fort St. John BC V1J 6M7). Notice of an application may be published in The British Columbia Gazette. A fee of $5,000.00 is payable for the processing of an application for a storage license.