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Real Property LawABHARD

An Alberta landowner learns that an oil company holds Crown mineral rights beneath their land and wants to access the surface. Under the Surface Rights Act, what process must the company follow?

Correct Answer

B) It must obtain the owner's consent, usually a surface lease, or a Tribunal right of entry order

Section 12 of the Surface Rights Act says an operator has no right of entry to the surface for drilling or mining until it has the consent of the owner and occupant, usually given in a surface lease, or is entitled to entry by an order of the Land and Property Rights Tribunal. Under s. 15, an operator that cannot obtain consent applies to the Tribunal for a right of entry order, and the Tribunal also determines compensation.

Answer Options
A
The company may enter the land at any time without notice, since holding the mineral rights includes the right to reach them
B
It must obtain the owner's consent, usually a surface lease, or a Tribunal right of entry order
C
The company must purchase the surface rights from the Crown, because the Crown granted the mineral rights beneath the property
D
The company must obtain a court order from the Court of King's Bench before any drilling crew can enter

Why This Is the Correct Answer

The Surface Rights Act requires either the surface owner's and occupant's consent, normally given through a surface lease, or a right of entry order from the Land and Property Rights Tribunal before an operator may enter (s. 12). When consent cannot be obtained, the operator applies to the Tribunal under s. 15, and the Tribunal sets compensation.

Why the Other Options Are Wrong

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Key Terms

Surface Rights Actright of entry ordersurface leaseLand and Property Rights Tribunalmineral rights
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