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http://www.fortmcmurraytoday.com ... -and-pipeline-spill
" D# w. _6 _6 u% J; ^% TNexen 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.3 v5 N# k# A0 W
7 ^3 v* O1 C3 H1 V9 b& fThe 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.! u* s, l6 U! W+ t% s5 i
) }* w: T5 c& M( jThe 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.4 I# [$ N- L, O9 J! p- z
4 K9 A: P! \# b% y. TAn internal investigation found the explosion was a result of work being performed that was "outside of the scope of approved work activities."1 N4 O1 B, ?# k1 }: u
; b7 [* e }" P" ~! O$ Y0 SThe 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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: A4 q% d/ n, _" }. I3 d# \6 aIn its announcement Nexen said it is addressing safety gaps in part with refresher training on workplace hazard identification, increased site supervision and safety inspections. " ]6 d* F& B6 B6 q
' t% z- N* L2 u+ Z* PThe 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.
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The 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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) O+ U: x- W5 t) G* }9 vNexen 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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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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0 O$ T8 C0 K7 D5 ZThe 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.
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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. ' N" z. S5 j9 d4 z( g9 t
# g4 Y# k; ]7 _3 |* Z- with files from Vincent McDermott |
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