Category Archives: Pipeline transport

Investment Analyst: Oil Train Derailments Pose Huge Risks

Repost from Energy & Capital

Oil Train Derailments Pose Huge Risks

New Regulations Haven’t Done Enough

By Keith Kohl, August 7, 2015

About 40 miles west of Williston, North Dakota — the epicenter of the Bakken oil formation — sits a tiny rural town that was recently rocked by a strange occurrence.

Culbertson, Montana, a town of less than 1,000 people just north of the Missouri River, saw a massive train derailment in July.

A 106-car BNSF Railway train was carrying oil from the Bakken to a BP refinery in Washington State, but when it reached Culbertson, 22 of the cars derailed and five began leaking crude.

When the cars derailed, a nearby power line was knocked over — a sure sign of imminent catastrophe.

Of course, train derailments and explosions are not strange occurrences these days. Such derailments have become an all-too-common consequence of North America’s shale oil boom.

In 2013, as I have discussed many times, a train derailed and exploded in the center of a small town in Canada, destroying several buildings and killing 47 people.

There was also a crash and explosion earlier this year in West Virginia that threatened residents and nearby water resources.

But this derailment in Montana was different…

You see, despite the five breached tankers, the more than 1,000 barrels of oil that leaked, and the downed power lines, there was no explosion.

CulbertsonCrash

There was no fire to speak of, either — just leaked oil and the torn metal of the train cars scattered near the tracks.

Many began to question exactly how an explosion was avoided and if such conditions could be replicated on all future oil rail shipments.

Unfortunately, as of yet, there are no definitive answers…

Air + Gas + Sparks = Explosion

A local sheriff’s deputy said of the spill: “You could smell it from over a mile away.”

As a precaution, some residents were evacuated, but BNSF crews quickly contained the leaked oil, and the debris and the tracks were soon restored to order.

Some have said that the reason the oil didn’t ignite was because the vapor pressure of the oil was in compliance with new regulations…

After a report released last year by the Pipeline and Hazardous Materials Safety Administration said that crude oil from the Bakken is more dangerous because of its higher-than-normal gas content, regulators in North Dakota required that any oil shipped from the Bakken be heated to 110 degrees to lower the gas content in the oil to below 13.7 psi.

According to Statoil, the owner of the crude in the train, the oil was below the 13.7-psi mark, and many commentators leaped to the conclusion that this prevented fires and explosions.

Of course, this is a bit disingenuous because, as I discussed in a column a few months ago, an oil train in compliance with the same standards crashed outside of Heimdal, North Dakota and burst into flames, forcing the evacuation of the small town.

heimdaltrain

Even though the oil was treated, it still caught fire, so it would seem that the lack of explosion or fire in the Culbertson crash had everything to do with luck and very little to do with science or regulation.

I’ll reiterate: It was very lucky indeed.

Usually a fire starts in a train derailment because the sparks caused by the friction of a train wreck meet the leaking oil and oxygen present in the air and combust.

Once oil and air meet fire, as you know, explosions happen — typically large ones.

Since the incident caused a power line to go down, it’s practically miraculous that there were no explosions or fires.

Still, can we really rely on luck to prevent the dangerous explosions caused by most derailments?

Pipelines are Coming

Despite all of the industry standards and new rules announced by the Department of Transportation, there’s still no definitive solution to stopping these crude oil derailments other than to cull the amount of oil shipped by rail.

Even with oil production in a tenuous position because of low prices, large amounts of crude are still shipped via rail.

And if rail shipments of oil were forcibly halted, the effects could be devastating on the companies drilling in the Bakken that need secure revenue streams now more than ever.

Instead, the solution to cutting traffic has to benefit producers and be market-based. The only way to do this is by pipeline.

As the amount oil traffic — and accidents — on rails has increased, so too has the call for construction of more pipelines.

Within a few years, the pipeline capacity in the U.S. is set to double, and when it does, there will hopefully be a reduction in railroad traffic and accidents.

Until next time,

Keith Kohl

Santa Barbara oil spill might have been far larger than projected

Repost from Associated Press
[Editor:  See also local coverage in the Benicia Herald.  – RS]

Oil spill might be larger than projected

By Michael R. Blood, Aug. 5, 2015 4:04 PM EDT
In this May 21 file photo, David Ledig, a national monument manager from the Bureau of Land Management, walks past rocks covered in oil at Refugio State Beach, north of Goleta. New documents released Wednesday show that the Plains All American Pipeline spill, originally estimated to be around 101,000 gallons, might have been much larger than projected. JAE C. HONG , THE ASSOCIATED PRESS

LOS ANGELES (AP) — More than two months after oil from a ruptured pipeline fouled California beaches, documents released Wednesday disclosed that the spill might have been far larger than earlier projected.

Plains All American Pipeline had estimated that the May 19 break along a corroded section of pipe near Santa Barbara released up to 101,000 gallons of crude. The resulting mess forced a popular state park to shut down for two months, and goo from the spill washed up on beaches as far as 100 miles away.

In documents made public Wednesday, the Texas-based company said alternate calculations found the spill might have been up to 143,000 gallons, or about 40 percent larger.

The company is continuing its analysis, and the figures are preliminary. Plains All American has hired an outside consultant as part of the effort to reconcile the differences, the documents said.

At this point, the company considers the methodology used in its initial estimate to be “the most straight forward and accurate calculation.” However, it emphasized the estimate could change as the investigation continues.

In a statement, Sen. Edward J. Markey, D-Massachusetts, faulted the federal agency responsible for regulating the nation’s pipelines for the conflicting figures.

“The revelation that the Santa Barbara pipeline spill was much larger than originally thought underscores the importance of our pipeline safety agency providing complete information to Congress and the American people. Unfortunately, the Pipeline and Hazardous Materials Safety Administration’s operational culture has been to withhold information from the American people and Congress,” he said.

The company has been criticized for taking about 90 minutes to alert federal responders after confirming the spill, even though federal regulations require the company to notify the National Response Center, a clearinghouse for reports of hazardous-material releases, “at the earliest practicable moment.” State law requires immediate notification of a release or a threatened release.

The cleanup is nearly complete, although the cause of the break is under investigation. The state attorney general and local prosecutors are considering possible charges, and the documents said the U.S. Justice Department is also investigating.

The company said it’s covering legal costs for several employees who could be questioned by the Justice Department.

No timeline has been set to restart the pipeline.

CEO Greg Armstrong told Wall Street analysts in a phone call that the company faced as much as $257 million in potential costs from the break, which includes estimates for cleanup operations, possible legal claims and fines.

At the end of June, the company said cleanup costs had hit $92 million.

Wildlife officials reported that nearly 200 birds and more than 100 marine mammals were found dead in the spill area. Investigators have not yet determined what, if any, role the spill played in those deaths.

Big oil slick off Santa Barbara County coast sparks new concerns

Repost from the Los Angeles Times
[Editor:  See also ABC News, Coast Guard Says California Oil Slick Will Vanish on Its Own.  – RS]

Big oil slick off Santa Barbara County coast sparks new concerns

By Javier Panzar , Joseph Serna, Matt Hamilton, July 29, 2015 10:39pm

That greasy luster returned once again to the waters off Santa Barbara County.

An oil slick that stretched more than 3 miles was spotted Wednesday by some kayakers, about two months after a ruptured pipeline spilled more than 21,000 gallons of crude into the ocean off this picturesque coastline.

The sheen — no thicker than a coat of paint — did not prompt the closure of any beaches, and the U.S. Coast Guard said the oily substance would dissipate on its own.

As Coast Guard investigators awaited lab results that may pinpoint the oil’s source, images of a shiny patch of sea and splotches of tar along these pristine shores sent a quiver of anxiety through a community that’s still recovering from the May 19 spill.

Goleta Beach oil spill“I just hoped it wasn’t another oil spill,” said Janine Dorn, a substitute teacher who brought her black poodle, Jack, to survey Goleta Beach before sunset. The oil spill in May had her fuming, she said. “Then I see this and it’s incredible. This can’t be happening again.”

Shortly before 11 a.m., the kayakers reported seeing the sheen about 1,000 feet off Goleta Beach, according to the county fire department. A black and brown gooey substance had coated the kayaks and the kayakers’ legs, according to photos from the fire department.

Initially described as measuring 60 feet wide, the sheen by Wednesday evening had stretched 3.5 miles long and half a mile wide, U.S. Coast Guard Lt. Ryan Schmid said. As tides moved, the oil split into sections and covered only about one-third of the total area, he said.

The patch was seen floating near an oil platform owned by Venoco Inc., but the company denied that its platform was involved. That platform, known as Holly, was shut down in May, a company official said. Its pipeline was flushed of any oil and refilled with seawater.

The Coast Guard, meanwhile, said the sheen could have been an ordinary, natural seepage. At Coal Oil Point, a seep field in the Santa Barbara Channel, thousands of gallons of oil flow into the ocean each day, something residents have grown accustomed to.

“The earth burps all the time,” said Robert Hernandez, an electrician who fishes nearly every day off the Goleta pier. “You smell it, you get a little on you. No big deal.”

Hernandez, 60, said he has been fishing along the Central Coast since he was 15. Sheens such as those spotted Wednesday are part of life in a region where the petroleum-rich sea bed regularly emits oil and natural gas, he said, which made him question why it was newsworthy. “It cracks me up,” he said. “At first I thought there was a shark attack or something.”

Yet environmental activist Rebecca Claassen, an organizer with Food and Water Watch, said it’s too early to minimize the sheen as a natural occurrence, saying the oil platforms that dot the county’s coastline pose a daily risk. “We can see a spill any day as long as there is drilling off shore,” she said.

Federal officials said Wednesday’s sheen also could be a remnant of this spring’s spill, when the corroded pipe operated by Plains All American Pipeline leaked an estimated 101,000 gallons of crude along the Gaviota coast and forced a weeks-long closure of Refugio State Beach.

The director of the state’s Department of Fish and Wildlife, Charlton Bonham, said Wednesday that the cleanup of the Refugio spill is ongoing, with about 14,000 gallons of oily water removed from the ocean.

Cleanup crews have responded to reports of tar balls as far away as Orange County, and one tar ball recovered in Manhattan Beach had the same oil “DNA” as the oil spilled at Refugio, he said.

Appearing in Sacramento before the state Ocean Protection Council, Bonham said the natural seepage in the area is challenging how his agency assesses the effectiveness of recovery efforts. “What is clean?” he told the panel. “How clean is clean?”

As federal and state investigators await the results of laboratory tests from Wednesday’s incident, Santa Barbara County’s director of public health, Dr. Takashi Wada, said there is no immediate risk to swimmers, and the county’s beaches and fishing piers remain open.

After swimming in the water off Goleta Beach with her friend, Anya Schmitz, 16, opined that the water was crystal clear — perfect for a summer dip.

“Conditions are great,” she said. “Seems like a lot of hype to me.”

Panzar reported from Goleta; Serna and Hamilton from Los Angeles. Times staff writer Phil Willon in Sacramento contributed to this report.

Kalamazoo River 5 years later – still cleaning it up

Repost from OnEarth Magazine, Natural Resources Defense Council
[Editor:  Significant quote: “The Kalamazoo River still isn’t clean.  Let’s not forget how much it cost to (not completely) clean the Kalamazoo. The current price tag is $1.21 billion (and rising), making it the most expensive onshore oil spill in U.S. history.”  – RS]

Remember the Kalamazoo

Five years ago, a pipeline spilled a million gallons of tar sands crude into a Michigan river—and we’re still cleaning it up.
By Brian Palmer, July 22, 2015
Skimmers, like these used to clean up the Deepwater Horizon spill, were useless in Kalamazoo, where the tar sands crude sank to the bottom. Photo: NOAA

Five years ago, in the middle of the night, an oil pipeline operated by Enbridge ruptured outside of Marshall, Michigan. It took more than 17 hours before the Canadian company finally cut off the flow, but by then, more than a million gallons of tar sands crude had oozed into Talmadge Creek. The oil quickly flowed into the Kalamazoo River, forcing dozens of families to evacuate their homes. Oil spills of that magnitude are always disastrous, but the Kalamazoo event was historically damaging.

The first challenge was the composition of the oil. Fresh tar sands crude looks more like dirt than conventional crude—it’s far too thick to travel through a pipeline.

Try pumping this through a pipeline. Photo: Suncor

To get this crumbly mess to flow, producers thin it out with the liquid constituents of natural gas. Diluted bitumen, or dilbit, as it’s called in the tar sands industry, is approximately three parts tar sands crude, one part natural gas liquids.

When dilbit gushed into Talmadge Creek in 2010, the mixture broke apart. The volatile natural gas liquids vaporized and wafted into the surrounding neighborhoods. The airborne chemicals were so difficult to find and eliminate that Enbridge decided it would be better to simply buy some of the homes that were evacuated, preventing the residents from ever returning.

The tar sands oil, which stayed in the water, presented an even bigger chemistry problem. Most forms of oil, including conventional crude, are less dense than water. That’s why oil makes such pretty colors when dropped into a rain puddle—it floats and plays tricks with the sunlight. Traditional oil spill cleanup technology relies heavily on this density relationship. Skimmers and vacuums remove it from the surface. Floating booms prevent surface-level oil from moving into environmentally sensitive areas.

Tar sands crude behaves differently. “Tar sands bitumen is a low-grade, heavy substance,” says Anthony Swift, director of NRDC’s Canada Project (disclosure). “Unlike conventional crude, when bitumen is released into a water body, it sinks.” (See “Sink or Skim,” onEarth’s infographic on why tar sands oil is more difficult to clean up than conventional crude.)

Skimmers, like these used to clean up the Deepwater Horizon spill, were useless in Kalamazoo, where the tar sands crude sank to the bottom. Photo: NOAA

Put simply, the spilled dilbit traveled in every direction—into the air, with the current, to the bottom of the river—at the same time. The U.S. Environmental Protection Agency’s indisputably naïve response reveals how little anyone knew about tar sands crude. The EPA demanded that Enbridge remove the oil from wetlands surrounding the pipe by August 27, a little more than one month after the spill began. The agency wanted the stuff out of the creek, river, and shorelines by the September 27. Those deadlines would have been practical for a typical spill—but not for a tar sands oil spill. A half-decade later, some of the oil still remains—though, much of that has to do with Enbridge botching the cleanup effort (see onEarth’s three-part series, “The Whistleblower”).

Enbridge’s bungling began even before the spill. First, the company knew the pipeline was vulnerable by 2005, if not earlier. When the rupture finally came in July 2010, operators dismissed the alarms as a malfunction of the system for 17 hours before finally accepting that the pipeline had failed. Making things worse, six hours after Calhoun County residents were complaining to 911 about the smell of oil, Enbridge employees were still trying to fix the problem by pumping additional oil into the pipeline. In its review of the accident, the National Transportation Safety Board faulted Enbridge’s “culture of deviance” for what happened, pointing out that the response team in the first hours consisted of four local pipeline maintenance employees who were inadequately trained and made a series of bad decisions.

Not only did Enbridge fail to make the EPA’s initial cleanup deadline, it also blew through a series of fallback deadlines across more than four years. Not until late 2014 did the agency finally sign off on the remediation effort, handing the remaining responsibilities to the Michigan Department of Environmental Quality.

As the cleanup winds down, though, there is little cause for celebration. “The Kalamazoo River still isn’t clean,” says Swift. “The EPA reached a point where additional cleanup might do more harm than good. Much of the river is still contaminated.”

Some local residents accuse the company of overstating its progress. “In the process of beautifying everything and giving money to everybody and making everybody feel good about it, they’re not really telling people about the dangers still there in that water,” says Linda L. Cypret-Kilbourne of Michigan’s Potawatomi tribe.

It’s not clear when the river will go back to pre-spill quality. After conventional oil spills, crews eventually back off and allow microbes to break down the last bits of crude. That approach isn’t a good option in Kalamazoo. First, the area doesn’t have a large natural population of oil-eating microbes like the Gulf of Mexico has. In addition, tar sands crude contains very high levels of heavy metals, which don’t break down easily.

Let’s not forget how much it cost to (not completely) clean the Kalamazoo. The current price tag is $1.21 billion (and rising), making it the most expensive onshore oil spill in U.S. history.

The Kalamazoo River still isn’t clean. The EPA reached a point where additional cleanup might do more harm than good. Much of the river is still contaminated.

It’s tempting to dismiss the slow, botched, expensive, and still-unfinished cleanup as growing pains. Tar sands imports have risen significantly since 2010, as has public awareness of the difference between the Canadian crude and the conventional product. In the five years since the incident, we should have improved tar sands oil spill response. But we didn’t.

If another Enbridge spill were to happen tomorrow, the company might respond more quickly, but huge volumes of heavy tar sands crude would still pour out of the pipeline. David Holtz of the Michigan chapter of the Sierra Club told reporters that a rupture in Enbridge Line 5, another pipeline that runs through Michigan, would be disastrous.

“If they hit the shutoff valve immediately after a rupture, there would still be more than 650,000 gallons of oil spilled into the Great Lakes,” he said.

Cleaning it up would be as challenging today as it was five years ago. There have been no technological breakthroughs since 2010. The tar sands industry should accept a large portion of the blame for this stasis.

“The efforts to improve spill response have been caught up in a public relations war,” says Swift. “The tar sands industry wants you to believe that oil is oil, and that its product involves no heightened concerns. As a result, spill responders are working with largely the same tools today as in 2010.”

Tar sands pipelines—like the one operated by Enbridge, or TransCanada’s proposed Keystone XL pipeline—run for thousands of miles, crisscrossing the United States and Canada in elaborate networks. They entail certain risks, and those risks are not going away. We have to decide how to respond. If we accept them, we must work to minimize the consequences by developing the appropriate safety measures and technology. Or we can reject them by eliminating tar sands from our energy infrastructure. The one thing we must not do is to pretend they don’t exist. The Kalamazoo spill is a reminder. It won’t be the last.