Philadelphia refinery closes after massive explosion and fire

[Editor: After extensive cleanup, the site could reopen as a renewable energy facility!  See story in the Inquirer, also in cleantechnica.com.  – RS]

From bankruptcy to fire to closure, a rocky end for Philadelphia Energy Solutions

By Patricia Madej, The Philadelphia Inquirer, June 26, 2019
From bankruptcy to fire to closure, a rocky end for Philadelphia Energy Solutions
A view of Philadelphia Energy Solutions on June 26, 2019 in Philadelphia, PA.  – DAVID MAIALETTI / STAFF PHOTOGRAPHER

Philadelphia Energy Solutions, the East Coast’s largest refinery, will close within the next month, an announcement that comes days after a series of explosions rocked the city and reverberated throughout the country.

While residents and activists questioned the refinery’s role in the community following the incident, its owner was already edging closer to the financial brink, a little more than a year after a court approved a bankruptcy plan that aimed to bring some stability.

Here’s a look back at the events that lead up the fire, which the refinery’s CEO said Wednesday “made it impossible” to “continue operations.”

2012

The formation: The South Philly complex, which is technically two different refineries, dates back more than a century. Sunoco acquires both refineries, and transferred the complex in 2012 to a joint venture between Sunoco and the Carlyle Group. The joint venture is named Philadelphia Energy Solutions.

January 22, 2018

Bankruptcy: Philadelphia Energy Solutions LLC files a bankruptcy plan in an effort to restructure $525 million of debt and bring in new owners, pointing the finger toward the rising cost of renewable energy credits for its financial distress.

March 26, 2018

Emerging from bankruptcy: A judge approves PES’ bankruptcy plan, putting it on the path toward financial recovery.

Sept. 20, 2018

Previous warning: A report from the University of Pennsylvania predicts that the PES complex might soon shutter and suggests that the city prepare for what to do with the 1,300-acre industrial property.

June 21, 2019

The explosions: series of explosions cause a major blaze at PES that jolted many worried residents out of bed. The fire was so hot and large that it could be detected in space. Residents are first advised to shelter-in-place, though later air tests show that the incident posed no immediate danger. Five people are injured, and an executive director of the Clean Air Council says residents “narrowly dodged a catastrophe.” Activists call for the refinery’s closure.

Updated locator map of the refinery explosion on June 21, 2019, at the Philadelphia Energy Solutions refinery in South Philadelphia
Updated locator map of the refinery explosion on June 21, 2019, at the Philadelphia Energy Solutions refinery in South Philadelphia

June 22, 2019

Shifting focus: A fire, albeit small, still flickers, while spotlight shifts to whether the immediate area was exposed to hydrofluoric fluoride, one of the most toxic materials handled in the refinery. Exposure could cause skin and respiratory irritation and be fatal in larger doses.

June 23, 2019

Fire out: The refinery blaze is extinguished after officials shut off the gas valve fueling the fire.

June 24, 2019

Investigation: The investigation into what exactly cause the explosion gets underway, involving multiple federal and local agencies.

Tuesday, June 25, 2019:

Health concerns: Mayor Jim Kenney notes that “there are no findings that would suggest a threat to public health.” Dr. Caroline Johnson, a deputy health commissioner for the city, said hydrogen fluoride was not released.

Wednesday, June 26, 2019

Closure: The city confirms that Philadelphia Energy Solutions is set to close, and more than 1,000 workers will be impacted. While the shuttering is set to happen within the next month, gas prices were already sent surging. The confirmation of the refinery’s shuttering — as well as the closing of Hahnemann University Hospital — is expected to be a major blow to Philadelphia’s economy.