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http://www.fortmcmurraytoday.com ... -and-pipeline-spill4 K) v0 P: g4 [
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.* T7 o+ w/ |* P1 |
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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, 2016.7 ?; y' ]4 q- i: j8 X
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The 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.: s" ^; U/ T" ]$ }6 g
7 h7 W. c: `' v% l; D$ Y3 aAn 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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) X& z! X( p. T3 pThe 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. 4 z2 N6 G+ E" Z
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In its announcement Nexen said it is addressing safety gaps in part with refresher training on workplace hazard identification, increased site supervision and safety inspections. / P W* K9 B6 `$ K2 U7 ^6 e
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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. . ^( O! I2 j% h" t/ d/ {
+ i2 l: o2 B6 p y% x& v6 N0 QThe 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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' e+ k( G: s- P+ W9 V' D% O2 GNexen 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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0 k7 E0 }. j2 G% n( j. yThis 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. 5 X2 @8 r' [1 x" D% B' w+ C
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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. # l% K& B: S- r- |; _7 V/ M6 y+ d& w1 j
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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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9 F$ e6 ]/ ~8 h. i$ z! v" u/ B# b- with files from Vincent McDermott |
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