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http://www.fortmcmurraytoday.com ... -and-pipeline-spill
' R: C! ~( l0 ?" ANexen 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.$ ?; Z* q4 K( ]& h; W
3 h+ Y( M4 W+ j( {9 J s& ?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.( j6 g' v( P0 \" Q8 a' _$ v
+ E; Z7 d# v0 B* s! cThe 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." m6 ]3 }* ^% a: q! l( D
6 I) ~% N0 a6 yAn internal investigation found the explosion was a result of work being performed that was "outside of the scope of approved work activities."! N3 A+ G8 [* c, D7 C+ s8 P7 N+ Q+ t
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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. & T q6 w x1 v
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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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* C- j# [; C0 Z- U* G, LThe 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 K! c7 ]" H9 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.
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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.": ^8 p2 b T9 t- v/ i/ K! y
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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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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. 5 y" [- Y3 d7 B# a* b+ J6 d
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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. ; z$ v, Z% _7 e3 ]! P( N/ b
$ M1 k2 e0 t9 ?6 e- with files from Vincent McDermott |
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