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http://www.fortmcmurraytoday.com ... -and-pipeline-spill* A4 m# B! m' C3 C4 w0 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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/ l8 t: T8 B" u6 h8 nThe 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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2 L8 |' m' ?8 q0 f5 TThe 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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5 \% T2 g- s: D, YAn internal investigation found the explosion was a result of work being performed that was "outside of the scope of approved work activities."0 Y* r/ a: O- a+ x5 @4 ^
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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.
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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. 8 q K" v# i! S6 H# R
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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.
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- J( V8 g: P0 B) W0 P UThe 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." E4 O" ]- |0 I# l
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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."8 `' G p9 S1 x* M+ ^
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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. . X( t, k0 M/ _1 {
) M7 B, P( i9 R1 L: T) pThe 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.
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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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