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http://www.fortmcmurraytoday.com ... -and-pipeline-spill5 K/ N( S3 D/ c' `) o
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.
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2 z1 X. U' |* T* z2 h" A; UThe 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.( b; T. V3 ]4 y
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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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8 c$ e& b q: {2 i+ T! N4 _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.
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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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/ ~2 D* N# S& [1 O. s7 Y/ p% J* DThe 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.) C' N. K: q8 p7 D/ u! C
8 c/ W/ X/ j+ r- r3 j- l! c$ CNexen 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."( c$ s! F6 F" h! h
' S5 U' \ T; |% `* 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.
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% k1 F3 R( d: J& H6 D* 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. 5 [: U- v. w8 e# @
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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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- with files from Vincent McDermott |
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