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http://www.fortmcmurraytoday.com ... -and-pipeline-spill4 c: Q, d/ E e- y q% i2 p) R
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.1 `- y- d2 O+ S1 v' o( A; O6 i7 e5 ?
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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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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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* l- r+ v! Z* k# WAn internal investigation found the explosion was a result of work being performed that was "outside of the scope of approved work activities."# x( w+ p7 l, ?
4 @0 _# @ H- C6 [2 O7 uThe 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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' {' p$ B, o ^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. - s; ]6 z" [8 l7 z1 v
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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. , \ E: A/ u7 W1 f& E9 v( u
+ D' h J) c' j% t0 KThe 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.9 d% h9 ?, U( Y1 Y) W
8 U2 g2 {0 I6 @0 }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."# y1 S3 ]6 E/ |* ]2 R( O0 k
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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. * d2 g9 Y6 e: @4 T- L
+ o/ l% Z: U9 v4 |8 ?) i, j+ `! s- {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. # u" J& H+ t' Z5 D6 Z3 v! n
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- with files from Vincent McDermott |
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