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http://www.fortmcmurraytoday.com ... -and-pipeline-spill; I7 o) r' m) T9 n
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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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.) \9 a' A/ y$ ~4 d6 w
" A/ }+ l: c& `: H9 SThe 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."7 K1 V% \& m; D1 r: C2 o
8 @8 b. j& j6 Q$ oThe 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 k* o: w+ R( m9 LIn its announcement Nexen said it is addressing safety gaps in part with refresher training on workplace hazard identification, increased site supervision and safety inspections.
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8 r4 w+ {* A" t( c/ L; \3 s: a: fThe 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.# [5 [5 ?. `# h+ Q2 {
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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."" Q% B. g( d) c" {! |9 q w
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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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! }/ V2 f) f- k! m0 q/ G5 M) pThe 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. / j0 S3 s$ z: p
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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. 4 m" {* v; |0 S
1 \( b% ^) d A3 z1 P- with files from Vincent McDermott |
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