05/21/2026
RE: Norman Wells Operations – Security Deposit and Closure Environmental Assessment Timelines
Hello Everyone,
On May 14, 2026, the Sahtú Land and Water Board (SLWB or Board) received a letter from the Sahtú Secretariat Incorporated (SSI) outlining two concerns related to Imperial Oil Resources N.W.T. Limited’s (Imperial) Norman Wells Operations (NWO):
1. Whether the current security deposit of $180,883,606 held under the type A Water Licence, S13L1-007(Licence), which will expire May 3, 2028, is adequate in respect of the Closure and Reclamation of the NWO; and
2. Imperial’s proposed timeline of five to seven years for the Mackenzie Valley Review Board’s (Review Board) Closure and Reclamation Environmental Assessment (EA).
Security Deposit:
The current security requirements in the Licence were approved by the Board in March 2015 based on the Interim Closure and Reclamation Plan. In March 2025, the Board issued the short-term, three-year Licence renewal to ensure the Project remained regulated while the long-term renewal of the Licence was undergoing an EA. Due to the EA, the Board did not change the Licence conditions, including the security deposit requirements in the renewal.
The NWO EA and long-term Licence renewal application were subsequently withdrawn, the Closure and Reclamation of the NWO was referred to EA, and a shut-in of the NWO is now planned for fall 2026. Since the Closure and Reclamation EA is not expected to be complete before the current Licence expires on May 3, 2028, the Board expects Imperial to maintain a water licence during the EA to ensure that the NWO remains regulated until the EA is complete. Imperial has informed the Board that it intends to submit a water licence application before the end of 2026 for interim care and maintenance of the NWO. This will allow enough time for the Board to complete the licensing proceeding before the current Licence expires.
As part of the regulatory process for the expected interim care and maintenance licence application, Imperial is expected to submit a revised security estimate, which will be subject to public review before being considered by the Board. The evidence from the licensing proceeding, including the public review, will inform the security requirements in the new licence. The Board encourages SSI to participate in this opportunity to make recommendations on the security requirements for the NWO.
Proposed 5 to 7 Year Closure and Reclamation Environmental Assessment:
The EA process is separate from the SLWB’s regulatory process, so the EA timeline is outside of the Board’s authority. Throughout the EA, however, the SLWB will continue to closely monitor the EA process and actively coordinate with both the Review Board and the Canada Energy Regulator (CER) and with other parties to improve regulatory efficiency wherever possible. The SLWB will initiate the regulatory process for a closure and reclamation licence for the NWO upon receipt of a complete closure and reclamation licence application from Imperial.
We thank SSI for sharing their concerns.
Link to registry: https://slwb.com/registry/s13l1-007
Link for SSI Letter to SLWB:https://mvlwb.ca/Documents/S13L1-007/S13L1-007%20-%20SSI%20Letter%20to%20SLWB%20re%20Security%20Deposit%20and%20EA%20Closure%20Timelines%20-%20May14_26.pdf
Link for SLWB Response to SSI:https://mvlwb.ca/Documents/S13L1-007/S13L1-007%20-%20SLWB%20Letter%20to%20SSI%20Re%20Security%20Deposit%20and%20EA%20Closure%20Timelines%20-%20May21_26.pdf