Category Archives: Crude Oil

Important issues affecting Benicia to be heard tonight in Berkeley, Richmond

Repost from The Contra Costa Times
[Editor’s note: Please understand the significance here, involving the Union Pacific rail line THROUGH BENICIA and across the BENICIA BRIDGE.  Of course, this is also of great importance to our friends uprail in Sacramento, Davis, etc., and across the Carquinez Strait in Martinez, Crockett, and Rodeo and downrail through the East Bay, South Bay and beyond.  To attend tonight’s meetings in Berkeley and Richmond, see details at the end of this article.  – RS] [The Berkeley resolution: “Opposing transportation of hazardous materials along California waterways through densely populated areas, through the East Bay, and Berkeley]

East Bay and South Bay passenger rail corridor proposed to move crude oil

By Tom Lochner, Contra Costa Times, 03/24/2014
A man crosses the Union Pacific Railroad tracks at Cutting Blvd. in Richmond, Calif. on Monday, March 24, 2014. (Kristopher Skinner/Bay Area News Group)

An Amtrak train passes over cars traveling on Macdonald Ave. as it departs the station in Richmond, Calif. on Monday, March 24, 2014. The tracks that carry Amtrak Capitol Corridor trains through more than a dozen East Bay and South Bay cities could become a rail superhighway for crude oil transports under a plan by Phillips 66.   (Kristopher Skinner/Bay Area News Group)

BERKELEY — The tracks that carry Amtrak Capitol Corridor trains through about a dozen heavily populated East Bay and South Bay communities could become a rail superhighway for potentially explosive crude oil transports to Central California under a plan by the Phillips 66 oil company, Berkeley officials warn.

A project at Phillips 66’s Santa Maria refinery would enable it to receive crude oil from North American sources that are served by rail, according to a draft environmental report under review by San Luis Obispo County.

The report identifies the most likely source of the crude as the Bakken oil field that covers parts of North Dakota and Canada. Last July, a train carrying Bakken crude exploded in Lac-Mégantic, Quebec, killing 47 people and nearly destroying the town.

This latest project would add to a growing trend in California to receive imported oil over land via rail rather than by sea. The train cars filled with oil would roll through Sacramento, the East Bay and South Bay on Union Pacific tracks, switching to the UP’s Coast Line and on to Santa Maria, according to Berkeley officials who have analyzed the Santa Maria report.

At its peak, the Santa Maria refinery would receive five trains a week, each just under 4,800 feet long with 80 tank cars, two buffer cars and three locomotives, according to the document.

Bakken crude is light and less viscous than most other varieties of crude, including tar sands. Bakken crude has a lower flash point and is much more flammable.

Phillips 66 did not immediately respond to phone calls and emails Monday. But in a comment in the Santa Maria report, the company wrote that the Santa Maria refinery “is not equipped to process more than nominal volumes of light, sweet crude such as that from the Bakken oil field.”

Ellen Carroll, San Luis Obispo County’s planning manager and environmental coordinator, said in a phone call Monday that “Phillips 66 has indicated to us that they are looking in more detail into where they are actually going to be getting their crude from.”

Carroll said her office is reviewing more than 800 comment letters and that no date has been set for the next hearing.

The prospect of increased shipments of crude has provoked concerns among some residents who live near petroleum refineries, including Chevron in Richmond, Phillips 66 in Rodeo, Shell and Tesoro Golden Eagle, both in the Martinez area, and Valero in Benicia.

But the concerns were based on the notion that refineries would eventually receive crude oil by rail for their own operations, something that is already happening to a limited degree at Tesoro, according to industry sources. Now, the idea the Bay Area could be a transit route for crude oil headed elsewhere in California has spurred elected officials to action.

On Tuesday, the Berkeley City Council will discuss a resolution opposing the transport of hazardous crude by rail along the Union Pacific railway through California and the East Bay.

Teagan Clive, a Rodeo environmental activist, praised Berkeley officials for not sitting idly by.

“(The resolution) lays the groundwork for communities to decide for themselves whether they want volatile crude coming through their towns,” she said.

Also on Tuesday, the Richmond City Council will consider a resolution calling on the East Bay Congressional delegation to take steps to halt the movement of crude oil by rail in the nation until it is fully regulated.

“We want to avoid at all costs a tragedy in Richmond in the face of so many tragedies around the country and in Canada from this crude-by-rail type of transport,” Mayor Gayle McLaughlin said in an email Monday.

South Bay officials reached Monday said they had not heard of the plans.

Union Pacific spokesman Aaron Hunt, in an email Monday, said only that “routing for potential crude oil customers will be determined at a future time” and that “currently, we do not move any crude oil through the Bay Area.”

The Santa Maria draft report does not refer specifically to the Capitol Corridor as part of a future transit route for the crude. It refers, however, to the Coast Starlight, which runs between Seattle and Los Angeles and uses the same tracks as the Capitol Corridor trains between Sacramento and San Jose.

The report analyzes some of the possible impacts on Coast Starlight schedules, but only from San Jose south.

“Potential impacts to the Coast Starlight schedule could occur anywhere north of San Jose as well,” the report reads. “However, north of San Jose, through the Bay Area, there are areas of multiple mainline tracks and a large number of commuter trains. Therefore, it is unclear how much the crude oil unit train would overlap with the Coast Starlight. Given this uncertainty, the (report) has limited the analysis to the Coast Line.”

Berkeley Vice Mayor Linda Maio, who is co-sponsoring the draft resolution with Councilman Darryl Moore, characterized the lack of specific mention of the Capital Corridor in the Santa Maria report as “sleight of hand-like.”

“If they want to rule it out, let’s hear it,” Maio said.

Staff writers Robert Rogers and Eric Kurhi contributed to this report. Contact Tom Lochner at 510-262-2760. Follow him at Twitter.com/tomlochner.

If you Go
What: Berkeley City Council
Where: City Council chamber, 2134 Martin Luther King Jr. Way
When: 7 p.m. Tuesday

What: Richmond City Council
Where: Community Services Building, 440 Civic Center Plaza
When: 6:30 p.m. Tuesday

Phillips 66 Santa Maria: “crude-by-rail strategy3”

Repost from CalCoastNews.com, San Luis Obispo County

Phillips 66 rail project – explosive risks far outweigh the benefits

March 24, 2014
OPINION By MESA REFINERY WATCH
GROUP CHAIR PERSON LINDA REYNOLDS

rail oil

In 1955, San Luis Obispo County approved a plan to bring crude oil to its Nipomo Mesa Santa Maria Refinery via pipeline. Over the years, the Nipomo refinery was operated by Conoco Phillips, without issue, under agreed-upon limitations and protections.

In 2012, Conoco Phillips spun off Phillips 66 as a separate company. On the cover of its very first annual report, that new company’s executives stated “We’re taking a classic in a new direction.” That direction has become painfully evident with the company’s proposed “rail terminal project” for the refinery in Nipomo, which, as far as its impact on SLO County, would be a dramatic transformation in Phillips’ business model and method of operation.

Their revamped corporate business model is to maximize profits by turning our nation’s rail lines into inherently unsafe “tank car pipelines” to take advantage of the new flood of lower-cost Canadian tar sands 1 and domestic fracked crude oils.

The scope of what Phillips intends:

And that’s the strategy Phillips intends to implement at their Nipomo refinery. Instead of bringing in crude by pipeline, they propose bringing in a half-billion gallons (488,000,000) of crude per year, via 20,800 rail tank cars. In addition, those cars may very well contain Bakken crude — the explosive crude that has destroyed lives, property and the environment in towns across the U.S. and Canada. Phillips has repeatedly refused to rule out the delivery of Bakken crude to its Nipomo refinery.

Plus, the crude would travel through SLO County via DOT-111 cars — tankers that federal officials have called “tragically flawed, causing potential damage and catastrophic loss of hazardous materials during derailments.”2

We suggest you view the devastating impact these trains have already had on communities. Go to this site – http://tinyurl.com/mmbotzu.

The mile-long trains would move from north to south through SLO County. Here are just some locations where citizens could almost reach out and touch the tank cars, and the approximate distances:

• The Fairgrounds in Paso Robles (500 feet).

• Paso Robles’ downtown City Park (500 feet).

• Templeton Park (1,000 feet).

• The Santa Margarita elementary school (500 feet).

• Cal Poly (across the street).

• SLO City Hall (2,000 feet).

• French Hospital (right next door).

• SLO County regional airport (3,000 feet).

• SLO’s Los Ranchos elementary school (in their backyard)

• Pismo Beach Premium Outlets (2,000 feet).

• Pismo Beach’s downtown restaurants (1,400 feet).

• Pismo Beach North Beach Campground (1,000 feet)

• Pismo Beach Monarch Butterfly Grove (across the street)

• Grover Beach’s busy junction of Highway 1 and Grand Ave. (right next door)

• Oceano Beach’s busy junction of Highway 1 and Pier Ave. (right next door)

• Arroyo Grande’s Lopez High School (1,300 feet)

We believe the vastly increased risks that this proposal brings to the citizens and businesses throughout SLO County and the Central Coast are unacceptable. The risks of massive explosions, fires, oil spills, and air, noise, odor and light pollution, enormously outweigh the benefits the plan bestows on an individual business entity — that is, Phillips 66. Any honest risk, benefit analysis would lead to that conclusion.

It’s not about “jobs,” it’s about implementing a crude-by-rail strategy:

Phillips is holding the specter of lost jobs (they employ 140 people) over the heads of the citizens and officials of SLO County, should the Nipomo rail terminal project be denied. Let’s look at the issues:

• Phillips has said they require the project because California crude oil sources to feed their pipeline have been in decline for more than 20 years, since 1987. This time-span was stated by Phillips at the February 24th South County Advisory Council meeting, so they’ve known about the decline for more than two decades.

• Yet, around 2009, Phillips applied for a 10 percent increase in production at their Nipomo refinery, all to be brought in via pipeline. So why, if they knew for two decades that there was a decline in their raw material, would they recently apply for an increase in production, specifically from pipeline sources?

• The reason — the entire “declining California crude” argument, accompanied by the potential loss of jobs, is a red herring. It’s designed to distract us from the real reason they have for bringing in crude oil by rail.

• In fact, while California crude oil production has declined somewhat as a source for their refinery, the amount of crude processed at Nipomo in 2012 was exactly the same as it was 10 years prior in 2003, and it all continued to come in via pipeline. In addition, applications now abound in SLO County for new crude oil drilling sites.

• The real reason for requesting a Nipomo RAIL terminal, is that Phillips “corporate” has changed their business model. And their executives have proudly called it their “crude-by-rail strategy 3.” Their desire is to take advantage of low-cost, high-profit, extremely volatile, fracked shale oil. And the only way to quickly implement it all is via “crude-by-rail.”

Our health and safety trumps Phillips’ new business model:

Phillips wants to introduce a “new normal” into SLO County. That new normal includes potential explosions, fires, pollution and health hazards that do not currently exist here.

If a company that had never conducted business in SLO County came to the supervisors and planning commissioners tomorrow, with the same new business model and associated risks, we’re certain it would be rejected. The safety and well-being of our citizens trumps the new direction in which Phillips intends to take us all. That’s why our planning commissioners must vote “no project.”

1 – http://www.mercurynews.com/ci_23366256/canadian-tar-sands-crude-heads-bay-area-refineries

2 – http://www.schumer.senate.gov/record.cfm?id=345384&

3 –Phillips 66 2012 Summary Annual Report; page 27

KPIX coverage of California Senate hearing on crude oil train safety – State not ready

Repost from CBS San Francisco, KPIX News 5

Note – The Benicia Independent is searching for a transcript of this Senate hearing.  Meanwhile, check out:

– BenIndy editor Roger Straw

Pipeline spill in Ohio, 10,000 gallons in wetland

Repost from WLWT.com Cincinnati

5-inch break in pipe responsible for 10k gallon leak

Crews formulating plan to fix pipe

 UPDATED 8:39 PM EDT Mar 20, 2014
ColerainTwpOHIO-crude_oil_spill

COLERAIN TOWNSHIP, Ohio —Thousands of gallons of oil have been recovered from the pipeline leak in Colerain Township, and repair efforts can start because the break in the pipe has been found.

Crews continued their efforts to clean up the mess and minimize the environmental effects Thursday.

The work reached a milestone Monday night, as crews discovered the site of the leak. A 5-inch crack on the underside of the pipe caused approximately 10,000 gallons of oil to leak.

Officials said they cannot tell how long the leak had been going on, but residents said that they had been smelling oil since late February.

With the exact break site located, crews are working to make repairs, but that could take some time.

Colerian Township Fire Captain Steve Conn said the repair crews have formulated a plan and will submit it for approved.

“Once it gets approved, then they can start the repairs,” Conn said.

The Department of Transportation and the Environmental Protection Agency must weigh in on the repair plan.

“It could be anywhere from a day or a couple days before they get the plan resolved and ready to be implemented,” Conn said.

Crews have been working around the clock to remove the oil, which covers about an acre of wetland, officials said.

About 3,800 gallons of an oil-water mixture has been recovered by skimming a nearby pond. The work at that pond is ongoing.

There are concerns about the impact on wildlife, too.

Traps have been set to try to capture salamanders that migrate through the area, so they can be relocated away from the oil.

Conn said it shows the care that crews are taking in the cleanup effort.

“They’re paying attention trying to get this taken care of as quickly and cleanly as possible and try to get this area back to better shape than it was to begin with,” Conn said.

Officials said late Thursday night that cisterns used for drinking water by residents in the area were not contaminated and safe from which to drink.