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http://www.fortmcmurraytoday.com ... -and-pipeline-spill( Q2 ?: w+ k2 K! w
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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8 D% @/ @$ {' {2 SThe 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.+ N6 X: j% I1 X+ Y. U- ^
: C9 z% o1 C4 t( }* p8 @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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An internal investigation found the explosion was a result of work being performed that was "outside of the scope of approved work activities."- J( t [+ b1 Y J# h/ }
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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. 0 M7 N8 u5 d4 b8 l% ?3 o
: d0 ?4 a# B9 J9 L& H$ `8 i4 sIn its announcement Nexen said it is addressing safety gaps in part with refresher training on workplace hazard identification, increased site supervision and safety inspections.
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& `6 R% ~" [6 [# C8 x! K/ TThe 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. $ o9 r: A3 } x$ O+ A
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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.' G% H9 R2 N2 N) c3 C0 h) Q$ k
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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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" M1 H% w' f* H, `7 j; lThis 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. / ?4 l( q; V0 H4 T' t3 s
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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. . Z# }0 d7 f8 k
% ]* f( J/ [+ v# @" U2 h- i- with files from Vincent McDermott |
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