Imperial Oil is facing 9 new charges regarding environmental offenses tied to a massive tailings leak at its Kearl oil sands mine in Alberta which is along the Athabasca River. The Alberta Energy Regulator (AER) has formally charged the company for its failure to manage and report the toxic seepage, which began in 2022 and persisted for months without adequate notification to the public or affected communities.
Specific Charges Against Imperial Oil
The AER has laid charges under the Environmental Protection and Enhancement Act and the Water Act. These charges include:
- Failure to report a substance release: Imperial Oil is accused of not disclosing the seepage promptly to regulators and the public, a requirement under environmental law.
- Failure to take reasonable measures to mitigate impacts: The company allegedly neglected to implement timely measures to contain the seepage or minimize environmental damage.
- Unauthorized release of substances into the environment: The seepage, which involved industrial wastewater contaminated with heavy metals and hydrocarbons, was not permitted under existing regulations.
Six of the charges were laid under the Environmental Protection and Enhancement Act. The other three were laid under the Public Lands Act.
The charges announced Friday are in connection to a January 2023 overflow of industrial wastewater at the company’s Kearl mine, about 70 kilometres north of Fort McMurray.
If found guilty, Imperial Oil could face significant financial penalties – up to $500,000 per charge, further compounding the company’s reputational damage from this incident.
The Timeline of the Leak
The seepage was first identified in May 2022 during routine monitoring at the Kearl mine. It involved industrial wastewater escaping from tailings ponds, which hold byproducts of the oilsands extraction process. The incident resulted in the release of 5.3 million litres of tailings-contaminated wastewater from a catchment pond at the northern edge of the Kearl mine.
Although Imperial notified the AER of the issue, it failed to inform local communities or escalate the matter publicly. This delay lasted until February 2023, when the situation became widely known, triggering public and governmental backlash. By law, Alberta is required to notify the federal government of such leaks within 24 hours.
Even with these new charges – it’s a drop in the bucket for the oil conglomerates that treat lawsuits as a cost of doing business….
In August 2024, the AER issued a $50,000 fine for the initial reporting delay. Now, these formal charges escalate the regulatory response and aim to address the broader failures associated with the incident.
In a statement on their website Friday, Imperial Oil said it was aware of the new regulatory charges and were “assessing next steps ” adding that “We recognize this incident caused concern in the community and we deeply regret this happened,”
The company says it has made changes to prevent further leaks from ponds and are confident the improvements work and officials maintain the release from its drainage pond has caused no damage to local wildlife, fish or nearby river systems.
Indigenous Communities Seek Accountability
Indigenous groups, particularly those downstream from the Kearl mine, have been disproportionately impacted. Many rely on the Athabasca River system for traditional activities such as fishing, and the potential contamination has raised serious health and environmental concerns.
At the same time, over the past six months, Imperial Oil has been lobbying the Alberta government, including the Danielle Smith’s Office and the Alberta Energy Regulator (AER), on “cost effective regulatory requirements” regarding continuous emission monitoring, according to publicly available documents in the lobbyist register.
Records show that Imperial Oil met with the Premier’s Office, the Alberta Legislative Assembly, Alberta Municipal Affairs, and the Alberta Energy Regulator among other government departments on at least six occasions since the Kearl Mine leak took place. .
Meeting notes include “Imperial Oil Ltd. believes the long-term objective of a climate change policy should be to reduce the risk of serious impacts to humanity and ecosystems at minimum societal cost while recognizing the importance of safe, reliable, affordable and abundant energy for global economic development.”
The Athabasca Chipewyan First Nation has initiated a $500 million lawsuit against the AER, alleging negligence and treaty violations. Additionally, the Canadian government has pledged $12 million for a 10-year, Indigenous-led study into the health effects of oilsands development.
History of Environmental Violations
Imperial Oil has faced regulatory action for environmental violations before. Notably, a 2021 spill at its Sarnia facility in Ontario released 1,150 liters of slop oil, affecting the Aamjiwnaang First Nation and nearby businesses. In that case, the company was fined $900,000 and paid an additional $225,000 victim surcharge after pleading guilty in 2024.
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