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http://www.fortmcmurraytoday.com ... -and-pipeline-spill0 O/ r% X* ?: K2 X$ A
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.
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5 b' `! {0 V' W& @The 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." J# ^) t: J) q5 V+ B. G; t) M, u( b
. o- V P9 ~+ S0 j5 p. 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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An internal investigation found the explosion was a result of work being performed that was "outside of the scope of approved work activities."
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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.
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9 |1 r' r4 R# s1 _9 O. E. E! x$ l1 h$ VIn its announcement Nexen said it is addressing safety gaps in part with refresher training on workplace hazard identification, increased site supervision and safety inspections. 4 H/ V8 _8 z# @- ] q9 F
9 s5 M, \" ^0 |# t+ N) WThe 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. 1 B9 m0 p$ z, ~% {) |' @$ v, H
6 s. F# ~/ ]& FThe 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.# C8 q) }, I- D+ V" Y% F
' o' x* I8 @1 b: u) k% b( ? }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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) _. O l" O# Q; B8 BThis 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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$ T7 z9 l1 n# p$ V/ IThe 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. 3 a( F- Z1 e" u' o
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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. 0 Y# s$ H. ?3 N/ K* E+ p! I2 q! c5 i
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- with files from Vincent McDermott |
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