A Red Deer-based oilfield services company has been penalized $100,000 over a worker seriously injured at a well site near Rocky Mountain House three years ago.
Par Energy Services Inc. pleaded guilty on July 20 in Red Deer Court of Justice to one count under Alberta's Occupational Health and Safety Code, failing to ensure the health and safety of a worker.
The charge came out of a February 8, 2023 incident at a site where Par Energy and Savanna Drilling Corp. were working. A worker came into contact with moving gears inside a power tong while casing was being installed in a horizontal well. The province has not released details about the worker's condition.
All remaining charges against Par Energy were withdrawn, as were all charges against Savanna Drilling Corp. Both sides have 30 days to appeal.
Where the money goes
Not to the province. Under section 49 of the OHS Act, the court ordered Par Energy to pay the full $100,000 to Red Deer Polytechnic in support of the Matthew Schwartz Memorial Endowment Fund, which gives scholarships to students who show a commitment to workplace safety.
It's called creative sentencing, and Alberta courts use it often in these cases. Instead of a fine disappearing into general revenue, a judge can send the money toward safety research, training or education connected to the incident.
Red Deer Polytechnic has been here before. In December, a court ordered Canlin Resources Partnership to pay the school $116,000 to build a training program on the safe use of oxy-acetylene torch systems, part of more than $200,000 in penalties from a separate central Alberta injury.
What the injured worker gets
Nothing from the $100,000. That penalty is a sentence against the company, not compensation.
Injured workers in Alberta go through the Workers' Compensation Board instead. WCB is a no-fault system that covers wage replacement, medical care and rehabilitation, and in exchange, workers generally can't sue their employer over a workplace injury. The two tracks run separately: WCB handles the worker's claim, the OHS prosecution handles the company's conduct, and one has nothing to do with the other.
That's why a serious injury can produce a six-figure penalty the injured person never sees a dollar of.
The machine
A power tong is a hydraulic tool used on rigs to grip and torque pipe, applying the force that threads sections of steel casing together as they go down a well. Gears turn inside the housing to drive the grip.
Every well needs casing, so power tongs are everywhere in the patch. Guarding, lockout procedures and keeping hands clear of the rotating assembly are basic rig requirements for exactly this reason.
Why it took until 2026
The injury happened in February 2023. The guilty plea came this month.
These cases can take years to work through the courts. Investigations run long, charges face a limitation period from the date of the incident, and prosecutions move slowly after that. Charges under Alberta's OHS laws are only laid when a rule failure causes a death or a serious injury.
Court documents are available through Red Deer Court of Justice. The Jobs, Economy, Trade and Immigration ministry doesn't release them.
What a worker can do before it's a court file
Alberta's OHS Act gives workers the right to refuse dangerous work. If a task poses an undue hazard, a worker can refuse it, report it to a supervisor who has to investigate, and can't be fired, disciplined or docked pay for doing so. Unresolved concerns escalate to the site's health and safety committee, then to Alberta OHS officers.
Workers also have the right to know about hazards on their site and to take part in safety decisions. Complaints can go to Alberta OHS directly and anonymously through the province's OHS Contact Centre, including from someone who no longer works there.
Refusing work on a busy rig is easier described than done. But the protection is in law, and it's the step that comes years before a courtroom in Red Deer.
Sources:
Government of Alberta, Company penalized for workplace injury, July 23, 2026: https://www.alberta.ca/release.cfm?xID=965479DA8DE77-9A2C-409F-E272405AE03E0334
Government of Alberta, workplace injury penalty announcement, December 2025
WCB-Alberta, worker benefits and coverage
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