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http://www.fortmcmurraytoday.com ... -and-pipeline-spill9 L+ [: o% P2 }. V
Nexen 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.( H7 y. }% {# Q; {
. @; q% t2 e, U0 `& d; Z" JThe 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.
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4 {- x% t2 X; T+ u2 ^9 I& LThe 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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& }$ Q3 {2 V0 g" W3 P8 S6 ?6 ~- EAn internal investigation found the explosion was a result of work being performed that was "outside of the scope of approved work activities."1 v ?0 c& O9 i6 Y# V& h
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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. ! K% C- i( s$ x6 d. w
9 P9 K7 _* _1 _+ J4 KIn its announcement Nexen said it is addressing safety gaps in part with refresher training on workplace hazard identification, increased site supervision and safety inspections. / O9 {6 ]1 I W+ i
% |! T) X* }% AThe 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. / V: K6 S- N) g/ j7 _( j J( f2 L
' |& d' |+ U0 iThe 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.; L2 h6 N/ w1 Y2 n% P0 U5 z
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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."4 h9 \* A: s7 f5 @* Z
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This 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.
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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. 0 C/ M. C5 D! s* N+ A! H
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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. 5 G4 v; R( {1 I) ~4 U: H
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- with files from Vincent McDermott |
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