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http://www.fortmcmurraytoday.com ... -and-pipeline-spill
% R' `% |1 {* q, `/ ]' mNexen 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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$ u" G/ X1 n* |! Z eThe 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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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.( g4 j- I) V# \! g2 p: M
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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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! O# ^6 i$ i* @( TThe 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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0 b% T0 E9 }. N; X6 w8 `0 c" L3 TIn its announcement Nexen said it is addressing safety gaps in part with refresher training on workplace hazard identification, increased site supervision and safety inspections. ; u7 ~; {0 z8 D5 @. d
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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. 2 k7 B5 M* H# `
5 n1 N; {: E8 {0 ]3 j- l. b: \( HThe 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.- S) _! F: r) O7 K1 g
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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."! Y* K# A, x7 g) [3 t$ B- ~5 j
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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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. l) S8 a8 K+ A8 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.
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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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) t4 ?* Y2 T4 D7 ?& }3 v- with files from Vincent McDermott |
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