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http://www.fortmcmurraytoday.com ... -and-pipeline-spill. e) E: H4 p" U+ c7 M$ x7 @! K+ a* |
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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8 s: K- y& J& q# F \) }# mThe 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.
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, l3 n- L6 O4 W/ v- J, BAn 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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- g9 g* ^# W2 HThe 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. 5 K- C0 q) z1 e0 J
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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. ! D$ M9 g3 A( B+ S# ?
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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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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.6 j2 t2 O1 G5 c2 R
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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."
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' q3 g9 L" |2 c% z! w% |( O4 m7 PThis 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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% A! i {- T7 Y4 z) V9 q* Q3 nThe 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. 8 [+ d" ~; }5 S3 a8 t0 n. `, D! L
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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. 2 e( n' l- w- o, t
/ ^ _" Y0 S+ s, s- with files from Vincent McDermott |
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