Sun Co. Inc. and Atlantic Refining & Marketing Corp. have agreed to pay a $1.4 million fine for exceeding nitrogen oxide emissions limits at their 130,000 b/d Philadelphia refinery.
The U.S. Justice Department negotiated a consent decree for the Environmental Protection Agency that requires refinery operator Sun and owner Atlantic to reduce nitrogen oxide emissions 430 tons/year by applying a control technology to its boilers (OGJ, June 6, p. 44).
Lois Schiffer, acting assistant attorney general for the Justice Department's environmental and natural resources division, said the penalty imposed on Sun is the largest in a prevention of significant deterioration (PSD) case involving a single facility.
In addition, justice and EPA proposed administrative penalties totaling nearly $1 million against several petroleum producers, refiners, pipelines, and marketers on allegations of 24 oil spills in 14 states.
SUN, ATLANTIC
Justice said Sun and Atlantic failed to obtain the required PSD preconstruction permit and conduct a technology review to limit emissions before expanding the feed rate of the South Philadelphia plant's fluid catalytic cracking unit to 40,000 b/d from 29,000 b/d between April 1990 and March 1991.
Sun and Atlantic also allegedly failed to apply for a Philadelphia construction permit until 6 months after the expansion began and repeatedly violated the permit's nitrogen oxide emissions limit.
Under the consent decree, the companies also agreed to bring the fluid catalytic cracking unit into compliance with visible emissions limits established by the Pennsylvania state implementation plan and federal new source performance standards.
They will develop a compliance plan for volatile organic compound emissions control at the refinery that will comply with work practice requirements of the Pennsylvania implementation plan.
OTHER CASES
Among the additional cases, justice listed three proposed administrative penalties that exceed $100,000 each.
In those three cases involving alleged violations, proposals call for a $123,942 fine for producer Alamco Inc. for spilling 174 bbl into Clearfork and Hickory creeks near Clairfield, Tenn., a $125,000 fine for Texaco Trading & Transportation Co. for 12 spills totaling 176 bbl in Kansas, and $125,000 for Tosco Inc. for spilling 60 bbl at its 145,000 b/d Martinez, Calif., refinery.
Justice said other referrals involving alleged oil spills are in negotiations that will culminate in further judicial filings, either as part of settlements or litigated cases.
TOSCO REFINERY
Justice said Tosco's Martinez refinery stores nearly 10 million bbl of oil in various tanks.
While a furnace was being decommissioned on the night of Oct. 7, 1993, oil was discharged into an atmospheric blowdown tower.
An alarm failed to function as oil rose above the high level mark and flowed out the top atmospheric vent of the tower. About 120 bbl spilled onto the ground.
The plant's spill response team used pressurized water hoses to direct the oil down a nearby drain that was thought to be part of the plant's oily water sewer system.
However, the drain was not connected to the sewer system but instead discharged directly into a drainage ditch that emptied about 60 bbl of oil onto Hastings Slough and its shoreline.
Oil eventually entered Carquinez through the slough.
The discharge was discovered the next morning, when booms were deployed and oil recovery began. Oil sheening continued on Hastings Slough until Oct. 15.
ALAMCO RESPONSE
Alamco, of Clarksburg, W.Va., blamed vandalism for its oil spill in Days Chapel field in Claiborne County, Tenn. It said EPA's action overstates the issues of concern and charged that it was being accused of a violation "in a grossly distorted manner."
Alamco said vandals entered its lease on the night of Dec. 20, 1993, and cut off the lock securing a valve on Storage tanks.
The vandals then opened the valves and spilled about 174 bbl of oil into a creek.
The company's response was a cleanup program that cost more than $96,000. Alamco said EPA recognized that vandalism caused the spill, which was considered minor because plants and animals were not significantly harmed.
Alamco said, "EPA has stated that the efforts and success of Alamco to minimize and mitigate the effects of the discharge constituted an adequate response...The company is greatly concerned at EPA's decision to assess a penalty of this magnitude against Alamco.
"This is the first time in our 38 year history that EPA has lodged a complaint against us."
Alamco also said the December incident was the first act of vandalism that occurred in its 14 years of operation in Days Chapel field.
The company said it has produced more than 1.325 million bbl of oil from the field without a significant oil spill.
Copyright 1994 Oil & Gas Journal. All Rights Reserved.
