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http://www.fortmcmurraytoday.com ... -and-pipeline-spill
" b1 L# |8 h, A: 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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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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; o/ M0 j; d! A( Q. hThe 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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- b* J! G$ Z5 x# w {An internal investigation found the explosion was a result of work being performed that was "outside of the scope of approved work activities."3 P. O" Q+ s; S
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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.
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" H( x0 o; }* B" k8 }$ Q5 Z& Y: BIn its announcement Nexen said it is addressing safety gaps in part with refresher training on workplace hazard identification, increased site supervision and safety inspections. 4 P% n+ r7 d6 y& [; Y5 l1 a
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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. 6 i6 X/ f- `0 n% q$ H7 k" s% O
4 m1 [& U( q- E* \3 d" S5 SThe 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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! f8 f" E7 o' s3 Y3 a8 y) f4 hNexen 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."2 L9 E/ i8 V* {6 ~, J: |7 ]8 z7 y
: L( S7 O9 r7 d/ c, |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. 1 A; x6 s0 e# N( ^9 h+ D' D+ A
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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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0 M; I n9 F O5 l3 x/ D [- with files from Vincent McDermott |
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