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http://www.fortmcmurraytoday.com ... -and-pipeline-spill
) n- u1 A& N4 h2 b2 TNexen 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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" J5 y A! U3 k5 E$ u1 N9 UThe 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.; _8 v8 t, Z7 d7 e( e: u# N
( _; {# K+ Z. m$ K! F( {9 L. _0 EThe 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.( @) }* ~8 A& o0 U
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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."" o) m5 T) @' |
5 w0 ^$ [$ f. xThe 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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9 P E; z) }6 @; e5 |, `( b3 KIn 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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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. , w4 J# a u& j+ W1 {, c8 t8 V
- q) g& v; i( T2 [+ f TThe 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.2 ?8 F' j2 {3 `4 y2 q
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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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! J8 W4 b( f9 F3 B* c. XThis 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+ ?5 Y3 ^" B$ z5 B7 X: I
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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. * J3 p! p) j, {+ b
. T5 L" k) B# f' U, w3 |3 O- with files from Vincent McDermott |
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