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http://www.fortmcmurraytoday.com ... -and-pipeline-spill5 {9 }: f& N. ^: [
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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& Y1 Z5 q- M/ @% }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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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.
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0 X) ^# {" d% S$ {An internal investigation found the explosion was a result of work being performed that was "outside of the scope of approved work activities."0 q R y0 s: }* g
, E* Z* G: P8 e$ 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. - e8 K% g/ k3 R: I
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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. ) d1 O- z4 u" f1 Y4 y u
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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. m/ M0 f% g Q; l+ @
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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.9 e0 e1 J# I) o( c0 y& `
+ I B& S4 q: N" UNexen 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."+ P9 Q, ~ [: L# N1 R' O
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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. 2 ^4 A: q9 m. A& c& A- h* Q
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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.
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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. 9 V& A* K" ]$ G* E7 \6 Q. r3 S
6 T; x0 e/ i; D: n9 `- with files from Vincent McDermott |
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