Husky fined for 2016 Saskatchewan oil spill

Husky Oil Operations entered guilty pleas June 12 on federal and provincial charges related to a 2016 oil spill in Saskatchewan and will pay fines totaling $3.82 million. Husky was fined $2.5 million under the federal Fisheries Act and $200,000 for a violation of the federal Migratory Birds Convention Act. It was fined $800,000 under the Saskatchewan Environmental Management and Protection Act and assessed a 40% victim impact surcharge of $320,000.

Husky Oil Operations Ltd. entered guilty pleas June 12 on federal and provincial charges related to a 2016 oil spill in Saskatchewan and will pay fines totaling $3.82 million.

Husky was fined $2.5 million under the federal Fisheries Act and $200,000 for a violation of the federal Migratory Birds Convention Act. It was fined $800,000 under the Saskatchewan Environmental Management and Protection Act and assessed a 40% victim impact surcharge of $320,000.

On July 21, 2016, a leak was discovered on a pipeline crossing the North Saskatchewan River (OGJ Online, July 26, 2016). Some 225 cu m of crude blended with condensate were released, with about 60% of the volume contained on land. The cause was determined to be ground movement over time.

“From the outset of this event, we accepted full responsibility for the spill, and we restated that today,” said Chief Executive Officer Rob Peabody. “We recognize this event had significant impacts on the cities, towns, and Indigenous communities along the river. We appreciate the way they worked with us on the cleanup and their patience and understanding in the months following the spill.”

Husky has since worked to improve its pipeline operations with an updated leak-response protocol, regular geotechnical reviews of pipelines, and installation of fiberoptic sensing technology on all new large-diameter and higher-consequence projects.

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