Husky Energy reports major hydrocarbon release from pipe in subsea wells

ST. JOHN’S, N.L. – The regulator for the offshore oil industry in Newfoundland says Husky Energy (TSX:HSE) has reported a major hydrocarbon gas leak from a pipe linked to two of its subsea wells.

The Canada-Newfoundland and Labrador Offshore Petroleum Board says the gas release happened Monday in the southern drill centre in the White Rose Field.

It says Husky estimates that 8,938 kilograms of natural gas was released before it was shut off 12 minutes after the initial alarm.

Husky spokeswoman Colleen McConnell says an underwater inspection indicated the release came from a piece of flexible pipe connecting subsea components and leading into the wells.

She says it means there are limitations on the gas flow to the two wells, but they can still produce oil from the field.

The board is reviewing the incident and Husky is investigating.