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OSHA News Release: 10-1081-BOS
Aug. 5, 2010
Contact: Jason Surbey Ted Fitzgerald
Phone: 202-693-4668 617-565-2074
E-mail: surbey.jason@dol.gov fitzgerald.edmund@dol.gov

-- Corrected Copy: The following news release was corrected on Nov. 16, 2010 --

US Labor Department's OSHA proposes $16.6 million in
fines in connection with fatal Connecticut natural gas explosion
Federal agency warns natural gas power plant operators against deadly practice

Citations Issued

WASHINGTON The U.S. Department of Labor's Occupational Safety and Health Administration today cited three construction companies and 14 site contractors for 370 alleged workplace safety violations, and proposed $16.6 million in penalties, following an investigation into the causes of February's deadly natural gas explosion at the Kleen Energy Systems LLC power plant construction site in Middletown, Conn. The explosion took the lives of six workers and injured 50 others.

"The millions of dollars in fines levied pale in comparison to the value of the six lives lost and numerous other lives disrupted," said U.S. Secretary of Labor Hilda L. Solis. "However, the fines and penalties reflect the gravity and severity of the deadly conditions created by the companies managing the work at the site. No operation and no deadline is worth cutting common sense safety procedures. Workers should not sacrifice their lives for their livelihoods."

On Feb. 7, a gas blow operation was being performed in which flammable natural gas was pumped under high pressure through new fuel gas lines to remove debris. During this operation, an extremely large amount of natural gas was vented into areas where it could not easily disperse. Welding and other work was being performed nearby, creating an extremely dangerous situation. The explosion occurred when the gas contacted an ignition source.

"These employers blatantly disregarded well-known and accepted industry procedures and their own safety guidelines in conducting the gas blow operation in a manner that exposed workers to fire and explosion hazards," said Assistant Secretary of Labor for OSHA Dr. David Michaels. "We see this time and time again across industries when companies deliberately ignore safety precautions in the interest of completing jobs quickly, and workers end up being killed or seriously hurt."

In connection with the explosion, OSHA has cited O&G Industries Inc., the project's general contractor; Keystone Construction and Maintenance Inc., which was in charge of the piping and oversaw the gas blow; and Bluewater Energy Services Inc., the commissioning and startup contractor for the plant.

All three companies were cited for performing the gas blow procedure in a way that exposed workers to fire and explosion hazards, including the configuration of the vent pipes in close proximity to scaffolding and other structures, and the failure to remove non-essential personnel from the area. Citations were also issued for failing to install and use electrical equipment in accordance with its listing and labeling, allowing welding work during the gas blows and failing to train employees to recognize hazards associated with gas blows.

O&G has been issued 117 willful, 22 serious and three other-than-serious citations with penalties totaling $8,347,000. Keystone Construction and Maintenance was issued 94 willful, 15 serious and one other-than-serious citation with fines of $6,686,000. Bluewater Energy Services was issued 12 willful citations and eight serious citations totaling $896,000.

In addition to the three main companies cited today, 14 subcontractors have been cited for additional serious hazards with penalties totaling $686,000. Cited were: Ducci Electrical Contractors Inc., the electrical insulation contractor at Kleen Energy; Instrument Science and Technology, which performed electrical testing and small bore pneumatic piping; Coverflex, which was installing insulation blankets on gas turbines; United Anco, which performed scaffold erection, inspection and dismantling; Smedley Crane, which performed crane hoisting and rigging for pipefitting work; API Construction Inc., which performed pipe insulation; North American Energy Services, which was hired by Kleen Energy to operate the power plant upon completion; Siemens Energy, which supplied gas turbines and provided limited construction support services; Team Industrial Services, which performed pipe welding heat stress services and instrument testing; Tucker Mechanical, a welding subcontractor; Securitas, which provided site security; Worley Parsons, which designed and engineered the Kleen Energy facility for O&G ; Berlin Steel, which performed post-explosion steel erection and demolition activities; and Barnhart Northeast, which provided rental cranes and operators for post-explosion activities.

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