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http://www.fortmcmurraytoday.com ... -and-pipeline-spill, S! Y$ Z* K6 _ f" B4 ?, ]2 U, |
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.; ?5 `# {6 O3 F& z$ R( m" D1 ^
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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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. c, P! o! q# a# vThe 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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1 ?& g+ T& h/ h. |5 ]. T! g+ B4 mAn 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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1 I8 ]- I2 _3 @( w' f" AThe 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. 8 A! E: ~( k0 C' r9 l/ 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. 9 \3 ]$ H5 g0 P- u- x# M
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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. 4 R& Y* k# b/ H
3 u2 w4 u# j; L4 F# o4 M% x) IThe 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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. l' r3 V5 N, \5 X X+ D {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."% s+ _& y* Y) k9 a: q
% ^: o+ B* f( c' z0 J9 F& DThis 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.
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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. 4 ~: O S9 ]9 ?3 A
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- with files from Vincent McDermott |
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