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Sembcorp Marine’s Jurong Shipyard fined S$400,000 for Dec 2012 oil rig accident

SINGAPORE — Jurong Shipyard was fined S$400,000 on Thursday (Nov 9) by the State Courts for multiple safety lapses that led to the sudden tilting of an oil rig under construction with nearly 1,000 workers on board.

The incident on Dec 3, 2012, was one of the worst industrial accidents in recent times. The workers with various subcontractors engaged by Jurong Shipyard had to evacuate on one escape gangway, leading some to escape by jumping into the sea. A large number of workers were injured and 89 were sent to hospital for treatment. TODAY File Photo

The incident on Dec 3, 2012, was one of the worst industrial accidents in recent times. The workers with various subcontractors engaged by Jurong Shipyard had to evacuate on one escape gangway, leading some to escape by jumping into the sea. A large number of workers were injured and 89 were sent to hospital for treatment. TODAY File Photo

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SINGAPORE — Jurong Shipyard was fined S$400,000 on Thursday (Nov 9) by the State Courts for multiple safety lapses that led to the sudden tilting of an oil rig under construction with nearly 1,000 workers on board.

The incident on Dec 3, 2012, was one of the worst industrial accidents in recent times. The workers with various subcontractors engaged by Jurong Shipyard had to evacuate on one escape gangway, leading some to escape by jumping into the sea. A large number of workers were injured and 89 were sent to hospital for treatment.

Jurong Shipyard’s fine equals the record imposed on SMRT Trains in February for safety lapses that led to the deaths of two trainees near Pasir Ris MRT station in March last year. The maximum fine for a first offence by a company under the Workplace Safety and Health Act is S$500,000.

The rig suddenly tilted because the motor operating its forward leg (one of its three legs) was unable to hold the weight of the hull when the brakes were released, said the MOM. In addition, the jacking control system was not designed to be fail-safe.

Three main safety lapses led to the accident.

Two gangways were to be provided if there were 500 or more workers on board the rig, according to Jurong Shipyard’s health, safety and environmental plan. But on the day of the accident, only one gangway was available for the 987 people on board.

Jurong Shipyard, which is owned by Sembcorp Marine, had conducted a risk assessment that failed to identify the hazards and risks of the jacking mechanism failing. Before the jacking system was verified to have been installed properly, it allowed the 987 workers on board, “placing the safety of workers at risk should the jacking mechanism fail”, said the ministry.

The company also failed to ensure a cantilever structure was secured. The structure was extended about 10 metres out of the rig. It was temporarily held to its place by a steel structure that was not designed to withstand its weight when the rig was in an inclined position. When the jack-up trial failed and caused the rig to tilt, the cantilever structure skidded 10 to 12 metres and crashed into the living quarters structure. It could have seriously injured anyone in its path, said the MOM.

“The heavy fine reflected the very serious safety breaches by Jurong Shipyard that had put at risk the lives of 1,000 workers on board the oil rig at the time of the accident,” said Mr Chan Yew Kwong, director of MOM’s occupational safety and health inspectorate. As the principal contractor, it had the duty to plan, manage and monitor the construction of projects and make sure work was done safely, with emergency arrangements in place, said Mr Chan.

Asked why it took nearly five years for the case to conclude, an MOM spokesperson said it was a major industrial accident that involved a large structure. “Following the recovery of the rig to a stable condition, a comprehensive study of the mechanical and electronic systems of the rig was conducted to determine the root causes of the accident,” he said.

“It was a complex case which required extensive correspondence with the overseas designer and manufacturers of the various components to fully understand how both systems were linked in the rig’s setup.”

The MOM team also needed to verify the adequacy of the company’s “safe work procedures” and risk management plans against existing industry practices and clarify the accounts of nearly 1,000 witnesses, he said.

Charges were first filed in July last year, said the spokesperson.

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