The provincial government is providing a loan to the Orphan Well Association.
The GoA announced on Monday they were giving the organization $100 million in an attempt to reduce the number of vacant wells across the province and create jobs in the oil sector.
The funds are expected to help the OWA decommission around 1,000 wells while creating around 500 jobs.
“This taxpayer investment will create good-paying jobs while improving the environment. Actions like this will help to get Alberta back to work,” said Premier Jason Kenney, in a release.
The province and OWA are currently working on a loan repayment plan. The investment is expected to be completed by April 1, 2021.
“By staying on top of the orphaned well inventory, we’re helping to ensure a sustainable energy industry in Alberta,” added Lars De Pauw, OWA Executive Director.
After the sites are decommissioned, work will begin on reclaiming the area.
The OWA previously received a $235 million interest-free loan from the province. They started paying the funds back in 2019.