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http://www.fortmcmurraytoday.com ... -and-pipeline-spill
9 V* S- {# ]6 g8 D. q8 kNexen Energy will lay off about 350 workers from its Long Lake facility, following its release of results of internal investigations into a July 2015 pipeline spill and the January 2016 hydrocracker explosion.
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8 |: {$ D: R* b; }8 SThe CNOOC-owned energy company will only be continuing its steam-assisted gravity drainage (SAGD) operations at Long Lake, after it determined a short-term repair was not possible for the hydrocracker unit, which killed two employees when it exploded on Jan. 15, 2016.5 u! A6 ?: ^* Y8 { Z; }4 i s
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The facility's upgrader has been idling since then, and will be moved into winter preservation, with no estimation of when it will be brought back into service.
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% C/ z9 Q0 w3 X; DAn internal investigation found the explosion was a result of work being performed that was "outside of the scope of approved work activities."$ w* ^8 @$ n0 B7 U( c; r
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The two employees killed, both Fort McMurray residents, were 52-year-old Drew Foster and 30-year-old Dave Williams. Foster was killed in the explosion. Williams, who was flown to the University of Alberta Hospital's burn unit hours after the explosion, died a week later. 1 p7 O( E! u& q3 {* j' e
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In its announcement Nexen said it is addressing safety gaps in part with refresher training on workplace hazard identification, increased site supervision and safety inspections. / `3 D' H* h* c
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The decision to move to a SAGD-only operation was described as "entirely economic," and will result in about 350 staff layoffs, most of which will be completed by the end of 2016. 3 S, \1 e% c* W, i# U6 B
; ]# y- g8 L: f# ?( lThe results of the investigations were given at a news conference on Tuesday by Nexen CEO Fang Zhi and Senior Vice President of Canadian Operation Ron Bailey.
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Nexen also said it found the root cause of a July 2015 emulsion spill at Long Lake to be a "thermally-driven upheaval buckling of the pipeline, and the subsequent cooldown during the turnaround."
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6 H- M- X& X% r+ }/ tThis was caused because of pipeline design incompatible with the muskeg ground conditions, and steps that could have been taken to mitigate the potential for buckling were not addressed. * N9 L J, e5 [
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The spill poured up to five million litres of emulsion - a mixture of water, bitumen and sand - into surrounding muskeg. The spill may have been ongoing for up to two weeks when it was discovered in July 2015 by a contractor walking through the area. 6 K. }9 \! I$ w$ x) k; _
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In August the Alberta Energy Regulator ordered Nexen to shut down 95 pipelines until the company could prove the pipelines could be operated responsibly. The suspension was lifted in September 2015.
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- with files from Vincent McDermott |
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