KQED: Valero Benicia one of three Cal oil refineries shut down – gas prices up, Chevron flaring

Repost from KQED California Report

Valero Could Restart Troubled Benicia Refinery by Mid-May

By Ted Goldberg, Apr 15, 2019
The Valero refinery in Benicia. (Craig Miller/KQED)

Valero’s Benicia refinery, shut down since last month because of equipment malfunctions, could be back online by mid-May, Benicia city officials and state regulators say.

Although the company won’t provide a date that it plans to restart the Solano County facility, Benicia Fire Chief Josh Chadwick said Monday he estimates the refinery will be back online in the next three to four weeks.

Chadwick said a Solano County hazardous materials specialist assigned to Valero provided him with the estimated timetable. County officials did make the specialist available for comment.

The California Energy Commission said Monday that the Benicia refinery is one of three California crude oil processing facilities that the agency expects to be restarted over the next several weeks. Shutdowns at the refineries — including two in the Los Angeles area — have helped drive up the cost of gasoline statewide.

Valero powered down its Benicia facility on March 24 after failing to resolve malfunctions that led to the release of soot-laden smoke.

The incident prompted Solano County to issue a health advisory for people with respiratory issues to stay indoors.

A Valero representative said the company will not disclose its restart date.

“I know we shared information about the status of the refinery on March 24, but beyond that, it is Valero’s policy to not comment on operations or possible outages/restarts at its facilities beyond what is publicly reported,” said Lillian Riojas, a company spokeswoman.

The California Energy Commission has been in touch with Valero but does not release certain data about its operations due to regulatory restrictions, according to agency spokeswoman Sandy Louey.

But Louey said refinery issues that have played a part in recent gas price increases — including the Valero shutdown — would be coming to an end in the coming weeks.

“The Energy Commission can say that the three large refinery maintenance issues are scheduled to be resolved over a period beginning late April through the middle of May,” she said in an email.

Besides Valero, the facilities involve two in the Los Angeles suburb of Carson: a Phillips 66 refinery that suffered a fire and a Marathon Oil refinery that’s been down for planned maintenance.

The statewide average cost of a gallon of regular has increased 62 cents since Valero’s March 24 shutdown, according to AAA. It now stands at $4.006.

“We’ve had major refinery issues all spring,” said AAA Northern California spokesman Michael Blasky.  “I’ve heard it referred to as a perfect storm in the industry, with a lot of refinery incidents of flaring or shutting down for days or weeks at time.”

In fact, Chevron’s Richmond refinery experienced its seventh flaring incident of the year on Saturday, according to Contra Costa County’s chief environmental and hazardous materials officer, Randy Sawyer.  The incident caught the attention of the Oil Price Information Service.

Monday’s price marks the first time the statewide average cost for a gallon of regular has topped $4 in close to five years, Blasky said.

He said that while other factors have played a part in the rise — for instance, an increase in the price of crude oil worldwide — the refinery issues have been a major contributing factor.

“I would hope, as refineries come back to their normal levels of production, that we start to see prices level out and hopefully start to come down by mid-May,” Blasky said.

Calfire Maps: Valero Benicia Refinery and two other Bay Area refineries at high risk of wildfire

April 13, 2019

A friend posted this on Facebook:


“Scary and sadly there is a high hazard fire zone next to the refinery Valero in our town.”

KQED.ORG

An analysis finds more than 75 towns and cities with populations over 1,000 where, like Paradise, at least 90 percent of residents live within Cal Fire’s “very high fire hazard severity zones.”


The Facebook post could be a bit misleading if you assume Benicia is among the 10 California Communities identified in the KQED story.  But if you dig in a bit, you find an interactive map.  Drilling down into this map, you find Benicia’s Valero Refinery surrounded by a “High Fire Hazard Zone” (dark orange).

Click to enlarge

Expand the map a bit and scroll around the Bay Area and you find that refineries in Martinez and Rodeo are located near VERY High Fire Hazard zones (red).

Click to enlarge

This coming Tuesday, April 16, Benicia’s City Council will consider a staff recommendation to adopt an updated Emergency Operations Plan (EOP).  Someone needs to do a careful search of the proposed plan to determine readiness for a very real wildfire threat to the refinery.

Questions should be asked at the Council meeting to assure the public:

  • Are adequate preparations in place for cutting back combustible materials in and near Benicia’s Industrial Park?
  • Will adequate watch be undertaken by the two fire departments (Valero and City of Benicia) during California’s expanding fire season?
  • Are plans to fight wildfire in the eventuality of an outbreak detailed, robust, and well-rehearsed?

Of course, the lives of refinery workers and nearby Industrial Park workers, and indeed the lives and well-being of all Benicia residents are put at risk as climate change increases the odds for wildfires in our beautiful part of the world.  Vigilance is required!

Valero will not be back online until early to mid May

April 14, 2019

Valero Benicia Refinery emissions Mar23 2.21pm

The Benicia Independent learned yesterday that Valero Benicia Refinery will remain in “partial shutdown” until early or mid-May.

This news raises two concerns:

  1. The shutdown came after the refinery experienced a massive release of black smoke on March 11 containing particles of petroleum coke and other toxic chemicals including benzene.  On March 24, a repeat of the black smoke releases took place, a shelter in place was issued by the health department, and the refinery went into a partial shutdown.  One might ask, “What kind of malfunction could result in a two-month shutdown?  How serious of an incident was this?”
  2. The partial shutdown has already raised gas prices in California.  How will another month offline affect consumers’ gas prices?

Roger Straw
The Benicia Independent

Trump executive order clears way to ship liquified natural gas in bomb trains

Repost from OilPrice.com
[Editor: This article appears in OilPrice.com with a completely misleading title.  The report is highly informative about the Trump administration’s stripping of regulatory oversight of the energy industry.  This news is alarming and should be taken seriously by environmentalists.  SIGNIFICANT QUOTE: “…there is still a wide margin for risk if a tank of LNG were ruptured or caused in any other way to come into contact with air. When exposed to air, the liquefied natural gas will rapidly convert back into an ultra-flammable gas and begin to evaporate.”  See also: Google coverage of Trump’s executive order.  – R.S.]

[MISLEADING TITLE…] Environmentalists’ “Bomb Train” Concerns Are Overblown
By Haley Zaremba – Apr 13, 2019, 12:00 PM CDT

Smoke

This week president Donald Trump signed two executive orders aimed at speeding up the development and functionality of oil and gas projects in the United States. The orders will ease the process of building new oil and gas pipelines and put up extra hurdles for state agencies that want to intervene, a move immediately decried by many state officials and environmentalists.

The executive orders are intended to curtail officials’ power to limit the oil and gas sector at the state level by changing federal agencies’ issued instructions, or “guidance”. One executive order further includes a directive to curb shareholder ballot initiatives concerning environmental and social policies, while the second order, focused on border-crossing energy projects, takes the power to approve or deny pipelines and other infrastructure crossing over the country’s borders away from the Secretary of State and gives the responsibility wholly to the president.

Furthermore, President Trump’s executive action also specifically directs the Department of Transportation to change its rules concerning the transport of natural gas, requiring the agency to permit the shipment of liquefied natural gas by rail and by tanker truck. This detail of Wednesday’s executive orders has already proven to be extremely divisive. The directive would open up new markets with major demand for U.S. natural gas but moving the potentially explosive substance by rail could cause potentially catastrophic accidents if one of these train cars were to derail.

Despite the risks, the move is counted as a major victory for railroads and the natural gas sector, which have been lobbying for years for just this sort of initiative. Proponents of the order argue that it’s necessary to deliver natural gas to the needy Northeast, where there are not sufficient pipelines to meet demand. They also argue that delivering more natural gas to the U.S. Northeast via road and rail would make it possible to use LNG to power ships and trains. One such advocate, head of the Center for Liquefied Natural Gas trade group Charlie Riedl, told Bloomberg that “there are all sorts of new opportunities where you can use rail much more efficiently.”

The initiative has other potential benefits as well, such as offsetting the steep decline of coal shipments by rail, but for many, the drawbacks far outweigh all these silver linings. You don’t need to look too far to find plenty of cautionary tales from previous experiments in sending oil and gas by rail, from spills, explosions, and accidents to a runaway oil train in Quebec that killed nearly 50 people when it derailed in a small town in 2013.

The natural gas that would be shipped in train cars and tanker trucks will be chilled to 260 degrees Fahrenheit below zero (-167 Celsius) and is extremely space efficient, taking up just 1/600th of its volume in a gaseous state. This form of liquefied natural gas is already being shipped all around the world all the time, including within the U.S., where it is driven in trucks to storage facilities.

In this liquefied, super-chilled state, natural gas is not flammable on its own and cannot be ignited and is actually considered much safer to ship than crude oil. While that sounds like any cause for alarm and cries of “bomb trains” is overblown, however, there is still a wide margin for risk if a tank of LNG were ruptured or caused in any other way to come into contact with air. When exposed to air, the liquefied natural gas will rapidly convert back into an ultra-flammable gas and begin to evaporate.

One staff attorney at the Center for Biological Diversity, Emily Jeffers, told Bloomberg that Trump’s plan to ship natural gas by rail is a “disaster waiting to happen,” going on to say that under the guidelines of the executive order “you’re transporting an extraordinarily flammable and dangerous substance through highly populated areas with basically no environmental protection.”

For safe and healthy communities…