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http://www.fortmcmurraytoday.com ... -and-pipeline-spill
* Z1 w* `+ w3 T5 s. J3 R, U- LNexen 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.( T2 s+ D4 Z' Q
1 P+ e" b% a" 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.
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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.0 X$ M* X ?+ @0 K: Z* K
k) N6 d5 G2 PAn internal investigation found the explosion was a result of work being performed that was "outside of the scope of approved work activities."9 B+ R+ g* m9 z o' W3 R0 R1 z+ ?
8 N% u7 l. a8 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. 1 w6 y$ C5 H4 y. \) K! P
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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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: C t2 i; X& o. ~ LThe 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.
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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.0 I2 t* V$ A6 ~; v1 X+ i* g j2 F
! Q' f/ w" A4 R a7 F [7 jNexen 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."& c5 H, |2 |; K, `. I3 b
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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 w7 R% E6 |/ b/ T H
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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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- with files from Vincent McDermott |
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