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http://www.fortmcmurraytoday.com ... -and-pipeline-spill
. w* `! A8 J: ?$ b3 H. d7 KNexen 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, 2016.1 g. A0 G. V, b6 ?$ F
8 J1 K% q3 c& w& G* k! {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." M! n% f+ ^( n9 E) ~% w
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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."+ q4 {6 N) y) {0 C4 T5 p5 @
4 L$ {3 \9 i8 `- A/ v5 z2 u, |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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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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( a- h7 v/ N6 QThe 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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6 ]9 C7 u. t$ r% y5 W' VThe 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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- a' ~' r. E E$ i0 \0 } [- s3 zNexen 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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E- [- n1 b; sThis 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. / f# @9 ^" N, N6 q8 \
$ X4 h) T3 {" U8 B% FThe 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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* r& @, z4 b& A [3 \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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