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http://www.fortmcmurraytoday.com ... -and-pipeline-spill' ]" ]: E! ]; |7 p. D" E8 ?
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.: F6 {5 s7 ?- x- \: b5 ?! i& C! K! f" p
$ \. r. x4 y' T( D1 XThe 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.' @+ v2 P( m4 ?( N- ^) Z
% T$ @0 u9 N' C7 Y/ DThe 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.) H: u& O! |7 B) L* O# T
% e2 a+ c$ K# z0 pAn internal investigation found the explosion was a result of work being performed that was "outside of the scope of approved work activities."! I: o& l4 _7 d, P- t" j: k
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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. ' k0 P& j4 E) p9 z4 B
* L4 n' A! s1 S, OIn its announcement Nexen said it is addressing safety gaps in part with refresher training on workplace hazard identification, increased site supervision and safety inspections. O+ P9 A; R i% v X; P& U J5 k: O* M
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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.
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+ g# K. u; |: c+ E/ [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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+ a6 J/ S% C2 {8 C4 HNexen 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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. d. C$ u' O9 VThis 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. . h- W! c; Q0 L" ?) N3 L
) ~8 Z- I8 K- @9 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.
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" F% i) T; E3 R" X- with files from Vincent McDermott |
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