Environmental Protection Order Issued After Nexen Pipeline Spill

Oil and Gas Investing

CBC News reported that Alberta’s energy regulator has now issued an environmental protection order after a pipeline owned by Nexen Energy (TSX:NXY,NYSE:NXY) ruptured, spilling five million liters of bitumen.

CBC News reported that Alberta’s energy regulator has now issued an environmental protection order after a pipeline owned by Nexen Energy (TSX:NXY,NYSE:NXY) ruptured, spilling five million liters of bitumen.
As quoted in the press release:

The order directs Nexen Energy to contain the spill, which saw five million litres of bitumen, sand and water released at the company’s Long Lake oilsands facility near Fort McMurray.  It also instructs Nexen to alert affected parties and develop a cleanup plan.
In a public apology issued Friday, the Calgary-based company said that the spill had already been contained and was in the process of being cleaned up.
The energy regulator is now investigating the spill, which was discovered by a contractor Wednesday. It is not known how long the leak had been ongoing before it was found. Nexen said the warning system for a pipeline installed last year failed to detect a break.
The material leaked through what Bailey says was a “visible burst” in the pipeline, a double-walled, high-pressure line installed in 2014. Bailey said the line was shut down immediately after the leak was discovered.
The detection system did not work in this case, so it isn’t known how long the substance was leaking. A contractor walking along the pipeline discovered the spill.

Click here to read the full CBC News report.

The Conversation (2)
James Ord
James Ord
22 Jul, 2015
An idea----Why not express the spill in milliliters?
James Ord
James Ord
22 Jul, 2015
An idea----Why not express the spill in milliliters?
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