A Provincial government loan extension of $100-million to the Orphan Well Association is aimed at creating hundreds of green jobs and reducing the number of orphaned wells across Alberta.

Under the Blueprint for Jobs, the loan will generate up to 500 direct and indirect jobs in the oil services sector.

The Executive Director of the Orphan Well Association, Lars De Pauw says by staying on top of the orphaned well inventory, they're helping to ensure a sustainable energy industry in Alberta.

He says the loan will help us further these efforts while helping Alberta’s service sector and reducing the impact on affected landowners.

The Government and the Association are currently finalizing specific loan terms and conditions, including establishing a repayment schedule. Both parties have agreed that this investment will be completed before April 1, 2021.

The loan extension will enable the OWA to start more than 1,000 environmental site assessments for reclamation

The Province previously provided the group with a $235 million interest-free loan.

The OWA began repaying the loan in 2019, using money received from industry through the annual Orphan Fund Levy.