CNLOPB making sure ice management plans followed: minister
Siobhan Coady says regulator is assuring safety in offshore oil industry
The Canada-newfoundland and Labrador Offshore Petroleum Board (CNLOPB) has done its job in its response to a near-miss involving an iceberg and Husky Energy’s Searose FPSO in March 2017, according to Natural Resources Minister Siobhan Coady.
Coady was responding to questions at Confederation Building on Monday about the near-miss, given the lack of public acknowledgment of the seriousness of the case until January of this year.
While there was an initial public notice, as Progressive Conservative critic Keith Hutchings pointed out during question period, it was only in 2018 that the CNLOPB ordered the suspension of operations on the production vessel and the public heard details such as crew members having been told to “brace for impact” in the close call.
Coady stood by the regulator’s response, internal communication with the oil company and
investigation process, with the ultimate decision to suspend Husky’s operations for what became nine days, until it was satisfied the company was prepared to follow necessary procedure and protocol.
On Monday, CBC News reported an access to information request for related correspondence showed the decision not to move the Searose at the time was for financial reasons.
“I’m going to say this and I’m going to say it quite strongly and I think the actions of the CNLOPB speaks volumes,” Coady said. “Safety trumps all. Safety is the number one, the number one responsibility that we all have in our offshore. And I think that that is understood by all of us in our community and in our industry.”
Coady said the CNLOPB has sent “a strong message” by taking the action it did, having temporarily suspended Husky Energy’s ability to operate.
In addition, she said, Husky Energy experienced a hit to stock price on the heels of the temporary shutdown and has seen change at the top in its Atlantic Canada operations in the fallout from the incident.
“I think the message on how serious this incident is being taken has been delivered,” she said.
The minister said it was appropriate for the CNLOPB’S chief safety officer to lead the response, and she was interested in oversight of the board, but not political interference.