Husky Energy says damages from fire, explosion will cost $27 million

Thick smoke pours from the fire at the oil refinery.
Thick smoke pours from the fire at the Husky Energy oil refinery in Superior, Wis. Thursday afternoon, April 26, 2018.
Bob King | Duluth News Tribune

Husky Energy is looking at $27 million worth of damage after an explosion and fire at its Superior Refinery in late April this year.

The company's second-quarter results that were released Thursday show Husky Energy also spent $53 million in unspecified costs related to the incident. As of early June, Husky Energy had received nearly 3,000 claims from businesses and residents who incurred extra expenses or suffered losses during the incident.

Chief Operating Officer Rob Symonds said that the company plans to use insurance money to rebuild the refinery, along with other expenses. He also said the company plans to retain the refinery's entire workforce for the reconstruction process.

The company expects it will take at least 18 to 24 months for normal operations to resume at the Superior Refinery. Investigation into the cause of the explosion is ongoing.

The explosion injured at least 13 people and prompted an evacuation.

The mayors of Superior and nearby Duluth, Minnesota, have called on the refinery's owners to stop using hydrogen fluoride to process high-octane gasoline. Hydrogen fluoride is a highly corrosive chemical that can produce toxic vapor clouds.

The Associated Press contributed to this report.

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