Category Archives: Bakken Crude

Armed with proof of oil shipments through downtown Baltimore, activists say they will press the issue

Repost from the Baltimore Sun

Armed with proof of oil shipments, activists say they will press the issue

By Natalie Sherman, September 10, 2015
An oil tank car
Signs indicate petroleum crude oil on train tank cars. While railroads have long carried hazardous materials through congested urban areas, cities are now scrambling to formulate emergency plans and to train firefighters amid the latest safety threat: a huge increase in crude shipments that critics say has put millions of people living or working near the tracks at heightened risk of derailment, fire and explosion. (Matt Rourke / Associated Press)

CSX Transportation said Thursday it still moves crude oil by train through Maryland via downtown Baltimore occasionally, but not as many as the five 1 million-gallon trains a week it estimated in documents released this week by the state.

Environmental groups and community activists said they hope the new disclosure about trains carrying the explosive crude though the city will spark public pressure and lead officials to act.

The state released documents on Wednesday in which CSX estimated it moves up to five trains a week, each carrying at least 1 million gallons of the volatile crude oil, through Baltimore City, as well as through eight Maryland counties.

The information, disclosed after CSX and Norfolk Southern lost a court battle to keep it private, is outdated, said Rob Doolittle, a spokesman for Jacksonville, Fla.-based CSX. The railroad has not moved trains carrying 1 million gallons of so-called Bakken crude — the volume that triggers federal reporting and disclosure requirements — through the Howard Street Tunnel since the third quarter of 2014, he said.

Trains carrying less than 1 million gallons continue to travel that route “on occasion,” he confirmed. He declined to be more specific about the amounts or frequency. It takes roughly 35 tank cars to carry a million gallons of crude.

“We consider information about the shipment of hazardous material to be security sensitive,” he said, adding that the firm does disclose the information to first responders and emergency officials.

“Safety is CSX’s highest priority,” he said. “We’re sensitive to this. Zero accidents is our goal and we believe we’re acting appropriately.”

The amount of crude oil traveling around the country in rail tankers increased exponentially in recent years with a boom in domestic and Canadian production. While rail shipment is one of the safest modes of transportation, accidents involving the volatile crude oil can be explosive, which has stoked fears about the traffic. A fiery 2013 derailment in a small Quebec town killed 47 and forced 2,000 to evacuate.

“We’ve seen these trains explode and we know that they pose a serious threat to Baltimore residents and business and other people who are just trying to go about their life in Baltimore,” said Anne Havemann, general counsel with the Chesapeake Climate Action Network.

Advocates have estimated that about 165,000 Baltimore residents live within a 1 mile radius of train routes, making them vulnerable to explosions caused in potential derailments.

“This one affects everybody,” said Amy Sens, 38, who lives in Morrell Park and is a pastor at Six:Eight, a church in Hampden. “My hope is that a lot of people will become aware of this and realize that they’re affected personally and takes steps to make this situation safer than it currently is.”

The CSX route through Maryland described in the 2014 documents enters the state from Pennsylvania in Allegany County and travels into Washington County, dipping into West Virginia, through Harpers Ferry and back into Maryland, crossing Frederick County. It catches parts of Carroll and Howard counties, passing through Ellicott City along the same line where a rail defect caused a coal train to derail in 2012, killing two young women trespassing on a rail trestle.

After crossing into Baltimore County in the Patapsco Valley State Park, the line enters Southwest Baltimore, traveling up into the heart of the city, passing two blocks from the Horseshoe Casino Baltimore and right by M&T Bank Stadium before entering the Howard Street Tunnel just south of Camden Yards.

The 120-year-old tunnel, which follows Howard Street under downtown, was the scene of a six-day chemical fire after a train derailment in 2001. The line emerges at Mount Royal Station, crosses over the Jones Falls and skirts Remington before turning east in a below-grade cut along 26th Street, where a retaining wall collapsed onto the tracks after heavy rains in 2014.

The line bends through East Baltimore, passing neighborhoods, schools, cemeteries and industrial zones before turning northeast back into Baltimore County and through Harford and Cecil counties roughly parallel to U.S. 40.

CSX stopped shipping through Baltimore because it found a more efficient route to deliver the oil to its client, Doolittle said.

A CSX website shows that its principal crude oil route serving refineries in Philadelphia and New Jersey passes through Ohio, a bit of northern Pennsylvania and mostly New York before turning south.

While the railroad only occasionally moves crude through Maryland now, Doolittle said a new plan submitted to the state estimates it moves between zero and five weekly million-gallon crude trains along the route so it can comply with its requirements as a common carrier.

The Chesapeake Climate Action Network and other groups said even smaller amounts are cause for concern.

They have been trying to build support for a city ordinance that would impose a temporary ban on expansion of crude oil terminals. The City Council hosted a hearing on the issue this summer.

Brent Bolin, Chesapeake regional director at Clean Water Action, said the newly released documents give new urgency to the issue.

“Now that this information is out, it’s time to go back to the Baltimore City Council and say, ‘OK, great hearing. What do you think about this information?’ That’s our immediate next step,” he said.

City Councilwoman Mary Pat Clarke said she supports the idea of a moratorium, but it’s not clear what the city can do because crude oil shipments cross state lines and are federally regulated.

“I definitely support a moratorium on the expansion of the facilities so that while we’re trying to cope with this problem, we’re not expanding the potential, but I have a lot to learn about this before I have any opinions about how to proceed except that it’s not a safe situation and we have to protect our citizens,” she said.

City Councilman Ed Reisinger, who hosted the hearing, said the city doesn’t want to impose rules against rail shipment that might lead to oil’s being sent through the city on trucks. He has asked CSX for more specific information, he said.

“If it’s one [rail] car I’m concerned, but … the reality is do we want to see one car on the tracks or do we want to see how many trucks driving through the city of Baltimore?” he said. “I just want some accurate information for what we’re really dealing with.”

Howard Libit, a spokesman for Mayor Stephanie Rawlings-Blake, said it would be premature to take a position without a real ordinance on the table.

“Our understanding is that we’re very limited in what we can regulate,” he said. “What we can do is make sure our fire and emergency management folks work well with the railroads and are prepared for any contingency.”

Connor Scott, a spokesman for the city’s Office of Emergency Management, said the city has had a close relationship with CSX since the 2001 tunnel fire.

Staff at CSX have Fire Department radios, and the city, through state police, has access to a CSX system that shows the contents of rail shipments 24-7, he said.

The Fire Department and CSX have conducted training sessions on responding to a crude oil explosion.

BENICIA HERALD LETTER: Too many ‘hitches’ to crude by rail

Repost from the Benicia Herald
[Editor:  No link is provided for this letter because the Benicia Herald does not publish Letters in its online edition. – RS]

Too many ‘hitches’ to crude by rail

By Jan Cox-Golovich, September 9, 2015, Benicia Herald

“When we try to pick out anything by itself, we find it hitched to everything else in the universe.” – John Muir

And so it is with the Valero Crude-by-Rail Project.  When it was first presented to the community two years ago, we were told that is would be a simple railway expansion without any environmental impacts at all; that was simply untrue. We quickly discovered that this project would have profound effects locally, regionally, nationally and world-wide.

Our local economy has been “hitched” to the refinery for 50 years;  this 19th century industry is becoming obsolete in a state moving towards reducing greenhouse gases by 80% in 2050, while government and market forces transition to clean energy.  California is suffering from the most devastating drought in its history and the refinery uses almost half of our water.  The drought has been exacerbated by the hottest year on record, which in turn has been exacerbated by climate change, which in turn is caused by the burning of fossil fuels.   This “hitches” back to the refinery where 600 “other” businesses in the Industrial Park will, on a good day, experience transportation woes and worsening air quality because of the daily oil deliveries and — on a bad day — will be risking everything by virtue of being in the oil blast zone.

The Crude By Rail project is “hitched” to 1,700 miles of antiquated, dilapidated rail line, moving hazardous cargo from Canadian tar sands and North Dakota Bakken fracked oil fields to the Valero refinery, exposing millions to the dangers of explosions, fires, derailments, spills and permanent environmental damage to their land, water and air.  Many up-rail folks have made the trek down to City Hall to beg us not to do this to them.  This is an ethical “hitch” that we cannot deny or justify.

On a global scale, this project is “hitched” to the utter destruction of the boreal forest in Alberta and the fracking process ravaging North Dakota, where foul-smelling wastewater ponds are threatening agricultural land, animals, the water supply and human health, and where toxic methane gas flares light up the night sky as bright as any American city on the Google night map.  Scientists say the continued extraction of these extreme fuels is “game over” for the planet and human life upon it.   The Pope’s recent encyclical has “hitched” climate change to a moral imperative:  trade in our short-sighted greed for an alternative path to save our children and life on earth.

John Muir, naturalist, visionary and Martinez neighbor, spoke words that resonate with us today.  Benicia is “hitched” to the rest of the world.  We don’t live in a bubble where a town of 28,000 people can make decisions based on short-term financial gain at the expense of endangering human lives or contributing to the destruction of forests, waterways and the atmosphere, just because they are out of our sight.  Our provincial days are over; time for Benicia to reject crude by rail.

Jan Cox Golovich
Former City Councilmember

Valero will soon have fifth refinery processing 100 percent North American crude

Repost from the San Antonio Business Journal
[Editor: Note brief reference to Valero’s Benicia Refinery at end of this article.   – RS]

Valero will soon have fifth refinery processing 100 percent North American crude

By Sergio Chapa, Sep 11, 2015, 6:44pm CDT
File photo Valero Energy Corporation's Jean Gaulin Refinery in Quebec City
File photo – Valero Energy Corporation’s Jean Gaulin Refinery in Quebec City

San Antonio-based Valero Energy Corp. is expected to have its fifth refinery capable of processing nothing but North American crude by the end of the year.

Valero (NYSE: VLO) revealed in an investors’ presentation released earlier this week that its Jean Gaulin Refinery in Quebec will be processing 100 percent North American crude oil by the end of the year.

Company figures show that the refinery was 100 percent dependent on foreign crude oil in first quarter 2013, but production from the tar sands region of Canada and the shale plays of the United States has dramatically changed the situation.

The Jean Gaulin Refinery is processing about 80 percent North American-sourced crude oil but will be at 100 percent once a project to modify the Enbridge Line 9B Pipeline is completed in the fourth quarter. The project will reverse the flow of the pipeline to enable oil from the tar sands region of Alberta to flow east to Valero’s refinery in Quebec.

Most refineries were built decades ago and were configured to process to Middle Eastern oil, but Valero spokesman Bill Day told the San Antonio Business Journal that the Jean Gaulin Refinery is lined up to be the fifth of the company’s refinery capable of processing 100 percent North American crude oil.

Day said Valero’s Ardmore, McKee, Memphis and Three Rivers refineries can already process 100 percent North American crude oil, while other plants are processing an increasing amount of North American crude.

The investors presentation shows that Valero is expanding its capacity to process a total of 185,000 barrels per day of light sweet crude from the Eagle Ford and other shale plays at the company’s McKee, Houston and Corpus Christi refineries in Texas.

Day said that the addition of the Keystone XL Pipeline would enable Valero to replace foreign heavy crude with heavy crude from Canada. He also noted that a proposed rail terminal at the company’s Benicia refinery in California, would enable Valero to offset foreign crude brought in by ship with North American crude brought in by rail.

Told to fix leaky oil train cars in 2 months, owners sought 3 years

Repost from McClatchyDC
[Editor:  Significant quote: “This year is already the second worst for oil spilled from trains since the federal government began collecting data 40 years ago….trains spilled about 1 million gallons in 2013 alone, vs. 800,000 in all the prior years combined….More than 600,000 gallons of oil has spilled from trains so far this year….”  – RS]

Told to fix leaky oil train cars in 2 months, owners sought 3 years

By Curtis Tate and Samantha Wohlfeil, September 2, 2015 

HIGHLIGHTS
• Washington state spills led to March order from federal agency
• Industry group asked for three-year extension
• Regulators gave owners until end of 2015

The wreckage of an oil train derailment in Mount Carbon, W.Va., still smolders 48 hours after the crash, on Wednesday, Feb. 18, 2015.

WASHINGTON  |  Railroad tank cars equipped with defective valves still will be allowed to transport crude oil and other hazardous materials through the end of the year, despite a March directive from federal regulators requiring their replacement within 60 days.

The Federal Railroad Administration order followed a Bellingham (Wash.) Herald story about a leaking oil train reported in Washington state in January. The Railway Supply Institute, trade group representing tank-car owners, wrote the agency in April asking for a three-year extension to replace the faulty valves on tank cars that carry hazardous materials.

About 6,000 tank cars were affected by the recall, issued on March 13. On May 12, the day of the original deadline, regulators wrote back to the trade group that the agency found no basis to give tank car owners until 2018 to comply, but nonetheless gave them until Dec. 31, an extension of more than six months.

Officials from the Railway Supply Institute couldn’t be reached to comment.

60   Number of days tank car owners had to comply
with March directive.

The federal order came about a month after crews discovered tank cars leaking from their top fittings while hauling crude oil through Washington state.

In mid-January, a 100-car train loaded with Bakken crude had 16 leaking cars removed at four different stops between northern Idaho and the Tesoro refinery in Anacortes, Wash.

As the train traveled west along the Columbia River, leaking cars were pulled as they were discovered; at each stop, the entire train was inspected before continuing on to the next location.

BNSF Railway, the train’s operator, said a total of 26 gallons of oil from 14 of the leaking cars was found only on the tops and sides of the cars, and no oil was found on the ground, in a report to the U.S. Department of Transportation.

Separately, the Federal Railroad Administration fined the owner of a North Dakota oil loading terminal $10,000 for a spill from a tank car that was discovered in November in Washington state. When the car arrived at a refinery for unloading, inspectors found it coated in oil and measured about 1,600 gallons missing.

State officials first learned of the spill a month after it happened, and no local officials were notified. In March, the Washington Utilities and Transportation Commission recommended $700,000 in fines against BNSF for failure to report 14 hazardous materials spills within the 30 minutes required by state law.

BNSF has disputed the state regulator’s findings. A hearing is scheduled for January.

Six major oil train derailments this year across North America have demonstrated the continued risks of large volumes of crude oil moving by rail.

Four of those derailments occurred in just four weeks in February and March: two in Ontario, one in West Virginia and another in Illinois. All involved large spills, fires and explosions, but no serious injuries.

Two less serious oil train derailments have occurred since, in North Dakota in May and Montana in July.

600,000   Number of gallons of oil spilled from trains
so far this year.

The rail industry and its regulators have been under pressure from lawmakers and the public to fix tank car vulnerabilities and take more steps to prevent derailments from happening.

The U.S. Department of Transportation issued its final rule on tank car standards for trains carrying oil, ethanol and other flammable liquids on May 1.

The new rule requires a tougher design for the tank cars, including thicker shells, more puncture resistance and thermal insulation to protect against prolonged exposure to fire.

It also requires existing tank cars be retrofitted to meet the new standards, depending on the level of hazard, within two to 10 years. Industry groups have challenged the new rule in court, saying it doesn’t give them enough time to complete the retrofit. Environmental groups have sued as well, saying it gives the industry too much time.

This year is already the second worst for oil spilled from trains since the federal government began collecting data 40 years ago.  A McClatchy analysis of the data last year found that trains spilled about 1 million gallons in 2013 alone, vs. 800,000 in all the prior years combined.

More than 600,000 gallons of oil has spilled from trains so far this year, according to a new analysis of data from the Pipeline and Hazardous Materials Safety Administration.

Wohlfeil writes for the Bellingham Herald and reported from Bellingham, Wash.