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http://www.fortmcmurraytoday.com ... -and-pipeline-spill1 d; |: ?& C/ R" Z; `& s
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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3 B1 D' q& @2 n9 g( F8 e6 JThe 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, 2016.9 y; P, [( G4 ]+ F& @1 q% K
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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.- S: r3 {8 p, ]# E9 s
3 Y) R. z U$ X7 Y( TAn internal investigation found the explosion was a result of work being performed that was "outside of the scope of approved work activities.") U9 a- R+ J$ Q
! z6 v4 @& X0 U* o- X- h+ 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.
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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.
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7 e9 I, ~% }0 Q5 t" @+ I4 x& c6 ?! zThe 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. 8 q; C( X9 d( |) @5 A
& m# ]- P+ M1 g% r/ XThe 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.0 t* R" o5 L" ^& S# M- T# \# U
* h4 d8 r9 X0 l3 \2 cNexen 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."' N, K' S Y8 Z. Q! V) w
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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.
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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 r4 U7 m0 V+ o9 O; i2 g
' Z$ i8 Y6 t5 V; @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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7 r3 i( j% q. w8 Y4 M( ]+ q- with files from Vincent McDermott |
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