Husky Energy stated in an incident report on Tuesday that it did not shut the flow of a leaking pipeline that spilled oil into a major Canadian river until the following day of the spill.
The Saskatchewan government released Husky’s incident report regarding the pipeline leak that occurred on July 20, which resulted in an oil spill of about 1,572 barrels into the North Saskatchewan River. The report stated that the leak started on July 20 at 8:00pm CST.
Husky Energy controller Li Ka-Shing clarified the sequence of events leading up to the spill in a released statement saying that Husky’s monitoring system showed inconsistencies in pipeline pressure late July 20. Dispatched crews reviewed the line that evening and did not identify a leak.
Husky took preventative measures and began shutting the line down the next morning around 6:00am and later that morning received notice of a sheen on the river. The company then activated its emergency response plan.
Two cities, Prince Albert and North Battleford, have sought alternative water supply as oil leaked into their drinking water sources.
Oil market players stated the market impact of the shutdown would likely be limited since crude oil can be trucked to several of the pipeline receipt points on the system.
Some analysts say this spill, although relatively minor, will most likely fuel even more environmentalist opposition to future Canadian pipelines such as TransCanada’s Energy East and Kinder Morgan’s Trans Mountain expansion.