Algoma Steel fined $200,000 after contract worker dies in unsecured confined space

Company had purged the pipeline with nitrogen to remove flammable gases

Algoma Steel fined $200,000 after contract worker dies in unsecured confined space

Algoma Steel Inc. has been fined $200,000 for failing to secure a confined space against unauthorized entry or post warning signs after a contracted worker died inside an oxygen-deficient pipeline that no one had been authorized to enter, according to the Ontario government.

The Sault Ste. Marie company pleaded guilty and was convicted on Sept. 1, 2026, the Ministry of Labour, Immigration, Training and Skills Development said in an Oct. 8 court bulletin. Justice Matthew Raymond Caputo imposed the fine. Crown counsel was David McCaskill.

The company was convicted under section 17 of Ontario Regulation 632/05, part of the province's confined space safety requirements for Ontario employers, and section 25(1)(c) of the Occupational Health and Safety Act. The court also imposed a 25% victim fine surcharge, as required by the Provincial Offences Act.

Nitrogen purge removed oxygen from pipeline

On June 15, 2023, contracted workers were cleaning a 36-inch coke oven gas pipeline at the company's 105 West St. plant during a scheduled shutdown, the province said.

Beforehand, Algoma Steel purged the pipeline with nitrogen to remove flammable gases. The process also removed the oxygen, "making it unsafe for workers to enter without appropriate confined space safety measures," the Ontario government said.

Algoma Steel had hired GFL Environmental Services Inc. for the cleaning and reviewed the work and its hazards with the contractor, including a requirement that workers not enter the pipeline. "Entry into the pipeline was not required to complete the work," the government said.

Near the job's end, a contracted worker was feeding a camera into the pipeline so a co-worker could photograph its interior. The worker then entered the pipeline and was fatally injured due to a lack of oxygen.

Investigation found no barrier or signage

A ministry investigation found the worker was experienced and had confined space awareness training and other safety training.

Neither Algoma Steel nor GFL had authorized or expected workers to enter the pipeline, according to the investigation. However, investigators found the pipeline "had not been secured against unauthorized entry," and warning signs regarding unauthorized entry were not present, the province said.

What does the regulation require?

Under section 17 of Ontario's Confined Spaces Regulation, where unauthorized entry is possible, the employer must ensure each entrance is either adequately secured or provided with adequate barricades, warning signs, or both.

The ministry's guideline on preventing unauthorized confined space entry states that only authorized personnel may enter, following procedures set out in the employer's plan. It adds that an attendant is required to control access while workers are inside.

The regulation treats oxygen levels below 19.5% or above 23% by volume as an atmospheric hazard. In its guideline for working in confined spaces, the ministry describes oxygen deficiency as a significant cause of confined space fatalities and notes it can result when other gases displace oxygen. The guideline lists pipes among spaces not designed for continuous human occupancy.