By OGJ editors
HOUSTON, Aug. 10 -- A federal grand jury in Corpus Christi, Tex., returned a 10-count criminal indictment on Aug. 9 against Citgo Petroleum Corp., its Citgo Refining & Chemicals Co. subsidiary, and the environmental manager at its 156,750 b/cd refinery in Corpus Christi.
The indictment said Citgo violated the Clean Air Act (CAA) and the Migratory Bird Treaty Act (MBTA). Citgo denied all charges, saying it is confident that no criminal conduct will be found once the evidence is heard.
Citgo was indicted on two counts of operating the refinery in violation of the National Emission Standard for Benzene Waste Operations and two counts of operating open-top tanks as oil-water separators without the legally required emission controls.
CAA regulations require Citgo to control the emission of benzene from wastewater produced at the refinery.
The indictment charged refinery environmental manager, Philip Vrazel, with failing to inform the Texas Commission on Environmental Quality for the year 2000 about all points in the refinery wastewater system where benzene was generated.
Citgo was indicted for operating its refinery in 2000 with more than 57 Mg of benzene in waste streams that were exposed to the air. A megagram is equal to 1 tonne.
Federal regulations limit refineries to operating with no more than 6 Mg of benzene in their exposed waste streams.
In addition, Citgo was charged for operating in 2001 with more than 7 Mg of benzene in its exposed waste streams.
During an unannounced inspection in March 2002, state inspectors found 4.5 million gal of oil in the two open top tanks, the indictment said.
Citgo Refining and Vrazel also face five counts of violating the MBTA for the illegal taking of protected birds. The birds were found coated with oil after landing in open tanks that are legally required to be fitted with nets or other equipment to keep out birds.
If convicted, Citgo faces fines of up to $500,000 or twice the gross economic gain (whichever is greater), and 5 years of probation. If convicted, Vrazel faces fines of up to $500,000 and up to 5 years in prison.