HCB Magazine May 2023

Page 56

BUILD BIG

TANK FLEET GROWS AGAIN TO MEET RISING DEMAND

GETTING TO WORK ON 2025 REGULATIONS

ENERGY TRANSITION ENERGISES TERMINALS SERVICE PROVIDERS CATCH UP

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Tank Container Manufacture After Sales Depot Services Smart Devices BUSINESS
PORTFOLIO

EDITOR’S LETTER

The move towards a decarbonised world is accelerating fast. Our annual review of storage terminal expansion projects, featured in this issue, reveals just how large a proportion of operators’ capital investment is targeted at projects that will enable them to play a role in delivering new energies to consumers, especially in the more developed industrial markets. Northern Europe in particular is awash with new plans, often supported – or even driven – by port authorities keen to play a role in helping their countries, their clients and themselves meet the targets and priorities set by the Paris Agreement and the UN’s Sustainable Development Goals. But it is not just Europe where the action is. There are several major projects in the Gulf coast states of the US, where low-carbon and renewable sources of energy can be used to create new fuels that, with carbon capture and re-use/ sequestration, can be zero-carbon themselves. West coast states are also very keen on renewables. And new projects are coming forward in other areas of the world, including southeast Asia

As has been pointed out in these pages before, established storage terminal operators will often find themselves in the right place to meet the new demand for the movement of new energy streams, as the customers for decarbonised energy will largely be the same as those for traditional hydrocarbon energy; that does not mean that changes will not have to be made, nor that the sources of those new energies will be in the same part of the world as hydrocarbon resources – though in fact some of them are, especially those oil producing parts of the Middle East and North Africa that are also blessed with regular sunshine.

What strikes me about the way that things are moving is that the new supply chains for hydrogen, ammonia, methanol and the other energy vectors being touted as the future are being developed in an holistic way. In this they mirror the original development of the LNG business, where pretty much all projects were inaugurated with the collaborative participation of producers, consumers, terminals and shipping interests.

Now, in very much the same way, new energy projects involve not only the upstream producers (and, where relevant, the suppliers of raw feedstock) and the receivers but also those providers of storage capacity at either end, shipping companies and distributors to move the product to the end user. That final leg may follow on from a conversion point, for instance when ammonia or an LOHC is used to ‘carry’ hydrogen in a more stable form.

Likewise, those who will be involved in the downstream distribution of clean energy are looking to get their own decarbonisation projects going. After all, there is no point in moving carbon-free or low-carbon energy halfway around the world if the final leg relies on transport fuelled by old-fashioned hydrocarbons. Shipowners, both in the shortsea and inland sectors, are already investing in cleaner-burning vessels and road haulage companies, many of which are currently helping build the new downstream supply chains, are also buying new vehicles that can run on hydrogen, electricity or liquefied biogas. There are those out there who think the energy transition is a chimera; there are others too who think industry is not doing enough. Both are wrong – the future is already becoming apparent.

UP FRONT 01 WWW.HCBLIVE.COM

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We are always here, always ready, whenever and wherever you need us.

WWW.HCBLIVE.COM Fellow celebrants ILTA gets to 40 too 11 Prime mover Seaco and the tank container business 12 Change is a challenge Exis and its roots in HCB 14 Who calls the tune? TT Club and the role of insurers 16 DIGITISATION All over the world IMT’s solar-powered solution 20 On a mission Chemical Express rides the digital wave 22 Get connected Implico links truck to terminal 23 Keep on tracking Savvy extends connectivity 24 Caps get smart Packwise ready to roll 26 Get with the program ICHCA wants port harmonisation 28 STORAGE TERMINALS Dedicated to fuel Inter improves Gothenburg terminal 35 Building resilience Oikos responds to diesel changes 36 News bulletin – storage terminals 38 SUSTAINABILITY Pulling together Antwerp cluster targets CO² reductions 41 Deep in data Abbey finds the upside of lockdown 42 Better get ready ABS looks at the future for fuels 44 Flex those specs Stena Bulk reduces emissions again 45 Green river Batteries for barges 46 CHEMICAL DISTRIBUTION Rebooting Responsible Care Fecc offers tools for implementation 48 Editor–in–Chief Peter Mackay, dgsa Email: peter.mackay@hcblive.com Tel: +44 (0) 7769 685 085 Commercial Director Ben Newall Email: ben.newall@hcblive.com Tel: +44 (0) 208 371 4036 HCB Monthly is published by Cargo Media Ltd. While the information and articles in HCB are published in good faith and every effort is made to check accuracy, readers should verify facts and statements directly with official sources before acting upon them, as the publisher can accept no responsibility in this respect. Cargo Media Ltd Marlborough House 298 Regents Park Road London N3 2SZ Campaigns Director Craig Vye Email: craig.vye@hcblive.com Tel: +44 (0) 208 371 4014 Production Manager Binita Wilton Email: binita.wilton@hcblive.com Tel: +44 (0) 208 371 4041 Managing Editor Stephen Mitchell Email: stephen.mitchell@hcblive.com Tel: +44 (0) 208 371 4045 Designer Jochen Viegener ISSN 2059-5735 www.hcblive.com Incident Log 58 Master plan Labelmaster gets the data straighter 60 News bulletin – safety 62 REGULATIONS Testing, testing GHS experts stay in line 64 BACK PAGE Not otherwise specified 72 NEXT MONTH North America special issue - Storage terminals - Land transport - Inland waterways - Regulations 50+ YEARS assisting the hazmat and dangerous goods industry Learn more at chemtrec.com/hcb Our Worldwide Services Emergency Response • L1 Emergency Phone Number • (Local and Global) • L2/L3 Services Battery Compliance • L1 Emergency Response • CRITERION® Battery Test Summary Service • Online Training Incident Reporting • 5800 Form • Incident Report Distribution Consulting Solutions • Crisis Management • Business Continuity SDS Solutions • Access • Distribution • Authoring • Indexing Training • Online Hazmat Training By the NUMBERS 24X7 WORLDWIDE SUPPORT CUSTOMERS IN 120+ COUNTRIES SUPPORT 14,000+ GLOBAL BUSINESSES ANNUALLY HANDLE OVER
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UP FRONT 03 WWW.HCBLIVE.COM CONTENTS VOLUME 44 • NUMBER 05 Battery safety in the maritime world 57 News bulletin – safety 58 REGULATIONS Out of the blocks Joint Meeting starts work on RID/ADR/ADN60 BACK PAGE Not otherwise specified 68 NEXT MONTH Chemical tanker fleet review Chemical distribution in Europe Digitalisation projects Sustainability and new energies UP FRONT Letter from the editor 01 30 Years Ago 04 Learning by Training 05 TANKS & LOGISTICS Whole lotta tanks ITCO survey shows yet more growth 07 Back and forth Passing the tank baton at Leschaco 14 Out into the world Talke plans for international growth 18 Special delivery Sahreej handles tank for Teal 20 Quick update Kube & Kubenz adds to tank storage 22 News bulletin – tanks and logistics 24 STORAGE TERMINALS The next steps Annual review of terminal expansions 28 Pressing on Advario finds room in Rotterdam 40 Bright ideas New projects from Exolum 42 The big pay-off Odfjell benefits from digitalisation 43 It’s a start HEH offers stepping stone 44 Robot reboot Square Robot aims for low-flash applications 46 Eyes in the skies Leak detection by drone 47 News bulletin – storage terminals 48 TSA Insight The quarterly magazine of the 43 Tank Storage Association NEW ENERGIES Cleaner sailing Wärtsilä’s engines for decarbonisation 50 H2 to go Floating hydrogen terminals by Provaris 51 News bulletin – new energies 52 COURSES & CONFERENCES Conference diary 55 SAFETY Incident Log 56 Not on our watch

30 YEARS AGO

A LOOK BACK AT MAY 1993

THIRTY YEARS AGO, the grand plan for regulatory harmonisation was beginning to come together. The UN Committee of Experts on the Transport of Dangerous Goods (which later became the Sub-committee of Experts once it had to share space with the GHS experts) had finalised the eighth revised edition of the UN Model Regulations in December 2022 and the modal authorities – ICAO, IMO and RID/ADR – were working hard to align their various modal rulebooks with the new edition on the same day, 1 January 1995.

That process was not without its problems, however. In particular, a great deal of the UN Committee’s work over the previous biennium had involved a revision of Chapter 9 of the Orange Book, which covered packaging. Since the previous revision in 1982, the UN package performance testing scheme had become mandatory around the world and it was expected that the intervening decade would have raised serious deficiencies. In the event, few problems had been encountered.

However, as Martin Castle, then chief officer, dangerous goods at Pira, the UK’s packaging certification competent authority, explained, transposing those new provisions into the modal regulations was proving problematic. Legislation for national quality assurance programmes would have to be put in place; the concept of ‘test report’ still had to be defined; there was a lack of guidance on drop tests and ‘cold drop’ tests; there was no specific size for packaging markings; the position regarding remanufactured drums required clarification; and there was no allowance for boxes to feature holes. Clearly the path to modal and international harmonisation was going to be a long one.

In the UK, planned implementation of ADR in 1995 was raising the spectre of additional costs for operators, especially in terms of the replacement of non-UN certified packagings. The issue was highlighted by the British Chemical Distributors and Traders Association (BCDTA), now the Chemical Business Association (CBA). Ironically, perhaps, nearly thirty years after the UK joined in with other countries in Europe in applying ADR to domestic transport, CBA was lobbying hard on behalf of its members to persuade the British government to provide assistance in complying with new requirements imposed as a result of Brexit.

Industry – and not just in the UK – was facing another emerging cost in the 1990s as a result of growing pressure (and legislation) to reduce the volume of emissions of volatile organic compounds (VOCs) during product transfer operations. At the time there were several different technologies being developed, variously suitable for use in bulk liquids storage tanks, at marine docks, at road tanker loading points and at fuelling stations. These now seem normal but back then the world was a rather different place.

Or maybe not. The May 1993 issue of HCB had an interesting item reporting on a call from the US National Transportation Safety Board (NTSB) for tougher inspection programmes for the nation’s 104,000-strong fleet of rail tank cars. NTSB had realised that hydrostatic and visual testing at arbitrary intervals was not an effective way to detect structural defects, which had been responsible for 41 of the 91 accidental releases of hazmat from rail tank cars in the five years to 1991. There were changes but, as the recent incident in East Palestine, Ohio demonstrates, regulators have failed to completely remove the risk of releases.

04 HCB MONTHLY | MAY 2023

LEARNING BY TRAINING

TANK TERMINAL SUSTAINABILITY: CAN INFORMATION THEORY HELP US REACH OUR GOALS?

THE QUESTION IS no longer: is it sustainable? But: how can we ensure non-harmful functionality?

StocExpo was back in 2023 with two separate conference streams, one exploring big picture tank storage, and the other on health and safety and the practicalities of terminal operations.

On day two of the Terminal Operations and Safety conference stream, Arend Van Campen, founder of the Tank Storage Sustainability Initiative and Tank Terminal Training spoke about how tank terminals can realistically minimise their social and environmental impact using information theory.

Here’s a taster…

It’s incredibly hard for the tank storage sector to minimise its impact on the environment in a significant and wholesale way. There are different levels of regulation, infrastructure, and desire to tackle the environmental impact of tank terminals from country to country. But even on an individual level, sustainability represents a huge challenge to terminal operators.

This is partly because most individuals understand sustainability in a very shallow way. We want more green technology, we want to reach the slightly abstract goal of Net Zero, but predicting all the knock-on effects and consequences down the line is beyond most of us.

The fact of the matter is that sustainability is an extremely complex goal with lots of moving parts. Small tweaks to complex systems can have a colossal and almost unpredictable impact; that impact can be positive, but it is just as likely to be negative if done without an eye on the bigger picture.

Tank terminal operators need to therefore conceptualise sustainability in terms of information theory. Information theory is the

study of the quantification, communication and storage of information. It has been instrumental in NASA’s Voyager mission, the creation of the internet, and the viability of mobile phones. Similarly, information theory can have a profound impact on tank terminal sustainability.

With an information theory-led approach, tank terminal sustainability becomes far easier to understand and measure, and therefore far easier to manage and improve. At StocExpo 2023, Arend explained how information theory points towards a new approach to technology, seeking non-harmful functionality over simply reducing the impact of normal tank terminal processes.

With this new approach, it becomes much easier to say what is actually achievable in terms of sustainability, and also produce a roadmap to achieve it. I simply apply the two laws of thermodynamics to test functionality within the limitations of reality (Realimiteit) a.k.a. the natural boundaries of and for functionality which can only be ‘steered’ and ‘navigated’ with information. Our reality no longer consists of only matter and energy, but also of information.

World-leading experts from a variety of fields joined Arend in speaking at StocExpo in Rotterdam this March. The event also hosted hundreds of industry-leading organisations from across the world, many of whom were launching new technologies and products or announcing company updates to the international audience.

And Arend elaborated more about the natural and scientific criteria for non-harmful functionality of all man-made systems.

This is the latest in a monthly series of articles by Arend van Campen, founder of TankTerminalTraining, who can be contacted at arendvc@ tankterminaltraining.com. More information on the company’s activities can be found at www.tankterminaltraining.com.

UP FRONT 05 WWW.HCBLIVE.COM

TAILORED LOGISTICS.

On proven paths and new ways.

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06 HCB MONTHLY | MAY 2023

WHOLE LOTTA TANKS

FLEETS • GROWING DEMAND FOR TANK CONTAINERS MADE 2022 A GOOD YEAR FOR ALL THOSE IN THE BUSINESS, ACCORDING TO ITCO’S LATEST FLEET SURVEY. CAN THOSE GOOD TIMES CONTINUE?

EVER SINCE THE International Tank Container Organisation (ITCO) began collating its annual Global Tank Container Fleet Survey, records seem to tumble every year. This should come as no surprise, as HCB found much the same when it carried out its own annual attempt to put numbers to the anecdotal evidence.

This year, for instance, ITCO reports that the global tank container fleet reached a total of 801,800 units by the start of 2023, up by 8.65 per cent compared to the figure of 737,935 recorded a year earlier; tank manufacturers produced 67,865 units during the year, another record figure and more than 27 per cent higher than in the previous year.

Tank containers are, it seems, in great demand; they have benefitted more than any other mode of transport for liquid cargoes from the disruption to supply chains caused by the rolling Covid-related lockdowns, the war in Ukraine, global recessionary and

inflationary pressures, and volatility in end user demand and prices that have all played their part.

For instance, during the height of the Covid pandemic, port and terminal closures in different parts of the world at different times (as well as the closure of the Suez Canal

during the Ever Given grounding) caused backlogs into and out of major ports; receivers could not be certain when their next consignment would arrive, prompting them to bring in buffer stocks that, in many cases, were kept in the tank containers in which they arrived. This was good news for tank container operators, who saw their income levels boosted by demurrage payments, and also for manufacturers who enjoyed more confident newbuild orders. Leasing companies also did well, being able to offer operators the tanks they needed at short notice.

WHO’S GOT THE TANKS?

As a result of those trends, the number of tank containers in the fleets of operators (both

GLOBAL TANK CONTAINER FLEET (AT START OF YEAR)

TANKS & LOGISTICS 07
2019 2020 2021 2022 2023 Operator fleets 381,750 418,500 443,110 489,895 568,760 Lessor fleets 286,000 305,615 316,710 322,950 360,925 Other fleets* 180,165 188,010 199,140 211,285 199,110 Total fleet 604,700 652,350 686,650 737,935 801,800 Year-on-year growth (%) 10.8 7.9 5.3 7.3 8.7 TABLE
*shipper, military and other Source: ITCO WWW.HCBLIVE.COM
1

owned and leased in) increased by 28.4 per cent to 568,760; the total fleet owned by lessors increased by 11.8 per cent to 360,925 but the number of tanks on lease to operators, shippers and other interests increased by 14.0 per cent to 323,995 as the number of idle tanks dropped.

Oddly, perhaps, the number tank containers owned and leased by other parties, including shippers/beneficial cargo owners, the military, railway companies and the oil and mining industry, actually fell over the course of 2022. ITCO also offers an estimate of the number of tanks that were scrapped over the year; it suggests an increase over the previous year to 4,000 units, though this is well down on the figures reported a few years earlier. While there are now a lot of older tanks still in operation that might be heading for scrap, the high level of demand seen last year made it viable to keep these tanks working, despite

age-related problems and, usually, a higher tare weight compared to newer tanks. It has also become more attractive to remanufacture old tanks, given the high prices of newbuilds at present, reflecting both the level of demand and the price of steel.

This year’s survey, to no great surprise, shows that tank container manufacturing is even more concentrated in China, with CIMC Safeway still accounting for more than half of all new tanks built last year. JJAP doubled production in 2022 to keep up with demand and the other major producers also increased output. Overall, Chinese manufacturers were responsible for just over 90 per cent of new tanks in 2022, though Welfit Oddy in South Africa was also able to take advantage of demand with a 25 per cent increase in output.

In the list of major operators, there are a few moves this year, with Hoyer taking over second spot in the rankings from NewPort, though still well behind the leader, Stolt Tank Containers. Den Hartogh has overtaken Bulkhaul into sixth position in the list but, given its pace of expansion, Malaysia-based E-Way may well leapfrog them both by the time next year’s ITCO survey is produced. Further down the rankings, UK-based Bulk Tainer Logistics has seen a substantial growth in its tank container fleet over the past five

TANK CONTAINER MANUFACTURER OUTPUT

08 HCB MONTHLY | MAY 2023 C M Y CM MY CY CMY K
2018 2019 2020 2021 2023 CIMC Safeway 29,500 27,000 18,000 29,525 34,000 JJAP 1,500 3,310 3,000 5,600 11,250 Nantong Tank 8,500 8,500 6,000 9,000 10,250 Singamas 5,500 3,500 1,300 2,150 3,000 Dalian CRRC 3,600 2,000 2,800 1,510 2,115 CXIC 2,500 2,000 500 750 Welfit Oddy 4,850 5,150 2,200 4,000 5,000 Van Hool 750 680 500 500 500 Other manufacturers* 3,000 3,000 1,500 1,000 1,000 Total 59,700 54,650 35,800 53,285 67,865 TABLE 2 *estimate Source: ITCO

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MAJOR TANK CONTAINER OPERATOR FLEETS (START OF YEAR)

years, while Lanfer Logistik has also seen a significant expansion in its tank fleet in the past two years.

The full list of operators with more than 1,000 tanks in the ITCO survey, includes yet more new names, mainly in Asia and often offering niche services. Perhaps as a result of that, the top ten operators at the start of 2023 accounted for 50.5 per cent of the total number of tanks in operators’ fleets; the comparable figure a year earlier was 54.4 per cent.

Among the leading lessors, sister companies Eurotainer and Raffles Lease would top the rankings were their fleets to be combined but, separately, they still lag some way behind Exsif Worldwide and, in Raffles’ case, also behind Seaco Global and CS Leasing. However, Raffles Lease added nearly 10,000 tanks to its fleet last year, taking it ahead of GATX-owned Trifleet Leasing. Peacock Container has also witnessed substantial growth in its fleet since its acquisition by investment fund manager Arcus Infrastructure Partners and its takeover of GEM Containers in early 2021. The leasing

TANKS & LOGISTICS 11
2019 2020 2021 2022 2023 Stolt Tank Containers 39,156 40,500 40,330 43,000 47,000 Hoyer 33,881 34,700 35,500 35,500 39,900 NewPort 31,800 32,000 37,500 37,500 38,500 Bertschi 23,300 25,000 26,400 28,300 31,100 China Railway 20,879 20,879 23,200 27,500 27,500 Den Hartogh 20,000 20,000 20,000 23,000 24,500 Bulkhaul 22,500 23,000 24,000 24,000 23,000 Intermodal Tank 13,500 17,000 17,000 19,000 20,000 E-Way 6,000 9,000 14,000 20,000 NRS Ocean Logistics 11,683 11,820 12,200 14,700 15,750 Suttons International 8,500 9,000 9,500 14,115 13,900 Eagletainer 8,860 10,120 10,500 12,000 12,800 Bulk Tainer Logistics 2,654 2,654 5,350 8,735 10,250 Nichicon 8,000 8,000 9,000 10,000 10,000 M&S Logistics 8,050 8,400 8,443 9,365 9,725 JOT Japan Oil Transport 9,000 Lanfer 1,200 1,200 1,200 8,500 8,500 TABLE 3
WWW.HCBLIVE.COM
Source: ITCO

sector is more concentrated than the operator market, with the top ten lessors accounting for some 83 per cent of the total lessorowned fleet.

TAKE THIS MODEL FORWARD

Optimists in the tank container industry are now looking back at the past three years and hoping that the critical role played by tanks in ensuring that critical products kept moving will have an impact on the next round of contracting. ITCO says that some of its tank operator members do report that they are seeing a greater emphasis on the part of shippers of the value of relationships as a way to ensure a dependable supply of tanks and negotiations are less focused on price. After all, tank containers enabled shippers and receivers to move from the embedded ‘just-in-time’ model to a ‘just-in-case’ approach during the supply chain disruption; this certainly drove more cash into the tank operators’ pockets but the extremely

MAJOR TANK CONTAINER LESSOR FLEETS (START OF YEAR)

high prices being asked (and paid) were more a reflection of the prices being charged (and profits being made) by the liner shipping operators.

There is always talk of switching the balance of power between shippers and carriers; right now, carriers have the upper hand in the chemical tanker market, for example, but those who hope for the same in the tank container business may end up being disappointed – and not for the first time. Large numbers of tanks that had been in use for static storage during the pandemic have been coming back into the market and operators are suddenly finding themselves with a surplus of empty tanks just as recessionary pressures are cutting into volumes. Tank operators and leasing companies – as well as tank depots – are having to work very hard to maximise utilisation.

ITCO’s 2023 Global Tank Container Fleet Survey can be downloaded free of charge from the ITCO website at https://international-tankcontainer.org/storage/uploads/ITCO_2023_ Global_Fleet_Report-1.pdf.

12 HCB MONTHLY | MAY 2023
2019 2020 2021 2022 2023 Exsif Worldwide 58,500 64,000 66,476 71,350 70,000 Eurotainer 48,000 48,500 49,500 51,500 55,000 Seaco Global 43,000 42,000 43,000 42,000 43,000 CS Leasing 10,120 15,500 18,030 23,450 29,150 Raffles Lease 13,240 15,100 16,000 20,500 30,000 Trifleet Leasing 16,100 17,784 19,031 20,190 22,360 Peacock Container 3,900 6,250 7,500 17,500 20,000 GEM Containers 9,200 9,800 11,500 Triton International 13,500 12,500 13,000 11,400 12,200 Albatross Tank Leasing 9,500 9,500 7,500 9,500 9,900 TWS Tankcontainer 8,360 8,300 7,465 7,660 7,690 International Equipment 6,000 6,000 7,100 7,600 8,150 NRS Group 7,000 7,000 7,000 7,000 5,000
TABLE 4
Source: ITCO

BACK AND FORTH

management did not take the decision to nominate our tank container division as a core business alongside our freight forwarding activities as early as the 1990s. We have lost precious years of growth.

HCB: You have grown the business unit from the first tank container in 1976. How does if feel now that you are passing it on to the next generation?

HW: Even if I was not active in our tank container business from the very beginning, it has been more than 30 years that I have been active in the area, the last 20 of which as managing director. It was not that easy for me to hand over this responsibility but, with Maximilian Nause as my successor and Katrin Behrens responsible for the procurement of our fleet, the new generation is ready and has already proven itself.

We often continue to exchange ideas and my advice is sought but the decisions are no longer mine. It was and is important to me that this business represents added value for Leschaco - that has always been the case over the past 20 years and I am convinced that this will continue.

HCB: What are the success factors in succession planning?

LESCHACO SHIPPED ITS first tanker on overseas trade in 1976. HCB spoke to Holger Warnecke (HW)(above, right), who looks back at more than 50 years’ experience in the industry, to discuss how the business has changed, and to Maximilian Nause (MN)(left), who took over responsibility for Leschaco’s tank container fleet in 2022 and gives some insights about the path of future growth.

HCB: What have been the major milestones in Leschaco’s tank container history?

HW: With the shipment of ten tank containers from BASF’s Ludwigshafen plant to New Orleans in November 1976, Leschaco was one of the pioneers in the development of the international transport of tank containers.

After years as a niche operator, in 2005 our owner and I set ourselves the goal of growing the business. Two figures illustrate the success of that ambition: in 2005 we had a

fleet of less than 600 tank containers but by 2018 it was more than 5,000 for the first time – now there are around 5,600.

We expanded geographically too. After the countries in Central Europe, the US and Japan from the early days, we are now active with tank containers in all countries in Asia, including India, as well as the Middle East, South Africa, Mexico and Brazil, to name just the major countries.

Finally, I would like to mention that, in the tank container business unit, we are also increasingly concentrating on the transport and fleet management of customer-owned tank containers, a field that fits perfectly with Leschaco’s worldwide freight forwarding and customs clearance activities.

HCB: Are there any specific decisions that you now regret?

HW: Not really, but I regret that our

HW: I thought about succession planning for key functions in my area of responsibility at an early stage - including my own succession. I consider it ideal and successful when young colleagues, who inevitably lack experience, are accompanied for a year and the outgoing manager is available to provide advice as needed. The personal connections that have grown over the years are worth their weight in gold, and passing on these connections to a successor cannot be done by passing on a cell phone number or e-mail address.

HCB: What about you, Maximilian, what have been the successes for you in the transition?

MN: The transition period was both challenging and exciting. One major key success driver is to take time to listen to your team about their expectations and concerns and learn from their experience. Communicate clearly with the team about

14
PROFILE • LESCHACO’S HOLGER WARNECKE LOOKS BACK ON THE DEVELOPMENT OF THE COMPANY’S TANK CONTAINER BUSINESS AS HE HANDS THE REINS OVER TO HIS SUCCESSOR
HCB MONTHLY | MAY 2023

common goals, and vision for the future. Holger was a great mentor during the transition period, who helped me to navigate any challenges and granted access to his well-established network. He was always transparent and never withheld information that would let me understand business processes quickly.

In addition, it’s important to take ownership of the new role and responsibilities. This means being accountable for actions and decisions, as well as taking responsibility for the outcomes of my team. Don’t be afraid to take decisions, always strive to learn and improve. Lead by example and demonstrate the behaviours and values you want to see from your team. Finally, stay positive during the transition period. Even if there are challenges or setbacks, maintain a positive attitude.

HCB: What have been the biggest changes in the tank container market in the past 40 years?

HW: As everywhere in freight forwarding, IT solutions have made administrative processes more efficient for tank container transports. But the greatest changes have been seen in the tank container itself. The first 20 years were characterised by engineering work to adapt the tank container to all user requirements. Major challenges were encountered with the first polyurethane insulation that released fluorocarbon, which led to stress corrosion, to name just one example of many.

While in the first 25 years the manufacture of tank containers was mainly in Europe, the standard tank container has been built almost exclusively in China for the past 15 years and prices have fallen by more than half during that time.

What remains unchanged, however, is that the goods in the tank container are to be transported from the producer to the consignee using various modes of transport.

HCB: Looking to the future, what topics are at the top of your agenda?

MN: Our people. People are priority at Leschaco and we invest heavily in a professional and personal growth mindset to become an exceptional place to work. We deploy training exchange programmes and online, on-demand e-learnings, regular professional webinars taking place and trainers have just started to travel around the Leschaco offices to spread tank container knowledge across our teams.

We develop green product solutions to strengthen our position on the decarbonisation of supply chains. Driven by corporate green logistic targets, we recognise a conversion from, for example, flexibags and drums to tank containers. This will add to our growth potential in the years to come.

Leschaco supports the defined UN sustainability goals and recently achieved Ecovadis silver status again.

Most notably for sensitive products, real-time tracking and transparency along the customer’s supply chain is demanded so telematics, standardised data exchange and the integration of the vendor environment are Leschaco’s key drivers to provide end-to-end visibility in the future.

We are investing in fleet management systems and deploy a digital customer platform to increase transparency of information. New technologies such as Artificial Intelligence and machine learning algorithms are applied to improve the overall efficiency and reduce operational costs of the business. Tank container operators must have a clear strategic direction for their digital transformation to generate competitive advantages in the future.

We are growing our fleet size significantly and increasing fleet diversity, aiming to be one of the leading deep sea tank container operators in the market as part of our strategy roadmap 2030.

HCB: How does Leschaco differentiate itself from others?

TANK & LOGISTICS 15
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LESCHACO’S STRATEGY FOR THE REMAINDER OF THIS DECADE AIMS TO SEE IT BECOME ONE OF THE LEADING DEEPSEA TANK CONTAINER OPERATORS

MN: We strive to become a leader for customised supply chain solutions by offering integrated logistics services and a full stack product portfolio. We combine tank container operations with complex inland haulages including heating, customs clearance and related freight forwarding services. Aside from being a tank container operator, Leschaco is active in the fields of sea and air freight and contract logistics, where we operate warehouses, including storage capabilities for hazardous products in key markets. In cooperation with our corporate venture Logward we offer 4PL control tower and supply chain management solutions.

We continue to enhance our global presence in key and new markets by leveraging our expertise in chemicals and dangerous goods, and for other demanding industries. Today we operate our own Leschaco offices in almost every important market in the world by using a uniform IT framework worldwide which leads to high data quality standards.

HCB: Clearly Leschaco still believes in the tank container. What is the growth direction compared to other business models?

MN: The owner family believes in the tank container business model and continues to support an expansion in the coming years. The market is expected to continue growing steadily until 2030, driven by a combination of factors such as technological advancements and integrations, stricter environmental and safety regulations, and intra-regional market developments. To remain competitive and successful in a volatile market, Leschaco follows a strategy roadmap 2030, which focuses on innovation, fleet optimisation, and the ability to adapt to changing regulations and regional dynamics. The company strives for significant growth in the tank container segment in the years to come.

HCB: How do you assess the risk that shipping lines may invest in tank container operations?

HW: In the early years of the deepsea tank container business, some regional shipping lines, but also Hapag-Lloyd, acquired their own fleets; however, they all eventually stopped their activities in this field. Tank container transports require an infrastructure that cannot be equated with box container transports, and the expense is too great for shipping lines from my point of view. It would be conceivable that a shipping line with its currently outstanding profits would come up with the idea of buying a tank container operator, but whether the customers would honour this, I have my doubts as this operator would concentrate its shipments to one shipping line. MN: The shipping lines would need to conduct a thorough feasibility study to assess the risk of investing in tank container operations. The limited market potential and economies of scale, fragmented infrastructure, the need for highly knowledgeable operators, and related systems create a high market barrier. Of

course, high profits in the last two years as well as the new integrator approach can lead to some speculations.

HCB: Will there be consolidation among tank container operators?

HW: I don’t see any wave of consolidation in the near future. Many operators are in private hands and takeovers are generally more difficult. Look at Leschaco – our tank container activities represent one of five core business areas and can hardly be sold in isolation.

MN: Most of the global leading tank container operators are privately owned. They are driving their own strategic direction and focusing on sustainable, organic growth so we therefore do not foresee major M&A activities. Although the global tank container fleet has grown by around 10 per cent per year in the last 10 years, we see the number of tank container operators has more than doubled. This can likely lead to a consolidation among less competitive, niche operators which have missed the market development recently.

www.leschaco.com

16 HCB MONTHLY | MAY 2023
IN RECENT YEARS LESCHACO HAS INVESTED IN A SIGNIFICANT EXPANSION OF ITS TANK CONTAINER FLEET, WITH FURTHER GROWTH EXPECTED IN THE COMING YEARS

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OUT INTO THE WORLD

STRATEGY

TALKE REPORTS A “significant increase in global sales” in 2022 compared to 2021 and that it is “satisfied” with the result, which was achieved in the face of significant global uncertainties. In particular, its growth in overseas business exceeded its expectations and made a positive contribution to the group’s earnings. Conversely, Talke sees challenges for its home market in Germany as a result of the energy crisis in Europe and the impact it has had on the chemical industry.

Talke marked its 75th anniversary in 2022 and took that opportunity to undertake a critical review of its operations, as well as its mission statement and strategy. The company has now defined ‘responsibility’ as one of the key pillars of its strategy, alongside ‘customer

centricity’ and ‘problem-solving expertise’, and has confirmed that change with the assignment of dedicated management resources.

Talke’s sustainability framework, ‘Crafting Responsible Logistics’, covers four areas of action, which the company is progressively fleshing out and implementing. The company has also forged ahead with its digitalisation initiatives and has introduced real-time tracking in the transport area and automated processes through various SAP extensions.

TROUBLE AT HOME

Like many other companies, especially in the chemical industry, Talke finds itself in a challenging economic environment in its

domestic market. As a partner of the largest companies in the chemical industry, Talke is affected by their negative development and relocation decisions. Consequently, Talke’s business in Germany has experienced very inconsistent growth. While some locations and business segments have shown resilience, others have been impacted by, in some cases, significant declines in volume. Businesses involved in basic chemicals and the automotive sector in particular were unable to buck the overall industry trend. In contrast, growth was experienced in parts of the specialty chemicals and consumer chemicals sectors in defiance of the general trend. For example, Talke has won important new customers in the battery chemicals sector and expanded its on-site logistics business. However, Talke’s German operations failed to meet overall expectations and, to address this, the company has now launched a performance programme. This includes increasing process efficiency, further expanding sales activities, and better integrating individual solutions for greater customer focus. Talke is also exploring new approaches to the structure of its Transport

18
• TALKE NAVIGATED THE PROBLEMS 2022 THREW AT IT BUT ALSO TOOK TIME TO THINK ABOUT HOW IT CAN PROSPER IN THE FUTURE, AND HAS PUT PLANS IN PLACE TO GROW ABROAD
HCB MONTHLY | MAY 2023

Division, which will, among other things, include increasing the use of intermodal transport operations.

LEVERAGING EXPERTISE

Perhaps it is not surprising, then, that much of Talke’s focus is currently on expansion and investment in other parts of the world. It has, for example, already expanded its presence in Spain, via the Global-Talke joint venture, with the opening of the first phase of a new logistics centre on a 40,000-m2 site in Tarragona. In addition, Global-Talke has recently taken over a tank cleaning facility in Zaragoza, which will both increase the regional tank cleaning capacity and, Talke says, improve the quality of service.

That investment also provides a pointer to where Talke is looking to expand its service offering and it says it sees “great market potential worldwide” for its services in the planning, engineering, procurement and construction of logistics facilities. To that end, it plans to develop a new global ‘Engineering Solutions & Projects’ division to bring together its international expertise and apply it locally, tailored to the specific needs of each customer.

Talke has already completed one project in this area, designing and constructing a logistics facility for polypropylene pellets in Poland. The project included the construction of 60 silos and integrated packaging systems, which form the core of the facility.

Similarly, Talke has completed its chemical hub in Dubai, which includes a fully automated filling line connected directly to the hazardous materials warehouse. It has now decided to go ahead with construction of a second multiuser logistics centre on a 300,000-m2 site at the Jubail Commercial Port in Saudi Arabia. The new distribution centre will be used by the surrounding industry and offers a comprehensive, integrated range of services.

ELSEWHERE IN THE WORLD

Talke has had a subsidiary in the US since 2016 but last year operations in the country took a big leap forward with the opening of a new Business & Transportation Centre in Mont Belvieu, near Houston, Texas. This branch serves as the base of operations for a

fleet of more than 100 trucks and equipment, and also as the new administrative headquarters of Talke in the US, where it now employs some 400 people.

Talke is also expanding in the Asia-Pacific region and is currently building a new chemical logistics centre in Port Klang, Malaysia’s largest port. The facility was designed and is being built in accordance with the latest sustainability standards and meets the ‘Silver’ level of the Leadership in Energy and Environmental Design (LEED) certification process developed by the US Green Building Council. The hazardous materials warehouse is scheduled to begin operations in the next few months.

The Port Klang logistics centre, which is located in a strategically advantageous position to act as a hub for Asia-Pacific operations, is regarded by Talke as offering great potential for the development of an integrated facility for the handling of polymers

and liquid chemicals. It is convinced that the region will be of strategic importance to many customers in the chemical and petrochemical industries in the future. Moreover, it regards its commitment in Malaysia as a launch pad for further investments and developments in the wider region.

Summing up Talke’s current position, Alfred Talke, managing partner of the firm, says: “2022 was a turbulent year, in which the global uncertainties impacted different regions to varying extents. With our business activities around the world, we have shown that we are well prepared for the future.

“We continue to see challenges for our business in the domestic market, but also many opportunities due to the changes in the market,” he continues. “We are addressing these challenges with our performance programme, which will help us to further expand our business on a sound footing.” www.talke.com

TANKS & LOGISTICS 19
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SPECIAL DELIVERY

DEPOTS • SAHREEJ IS LEADING THE WAY IN THE PROVISION OF TANK CLEANING AND REPAIR SERVICES IN THE MIDDLE EAST. THE LATEST STRONG TO ITS BOW IS DEALING WITH TEAL TANKS

SAUDI ARABIA’S KANOO Tank Services (Sahreej) prides itself on being a one-stopshop for tank container services and continues to raise the bar in Saudi Arabia in terms of both quality and the range of services it provides. Sahreej, a joint venture between the world’s largest tank container operator, Stolt Tank Containers, and the Saudi conglomerate YBA Kanoo, operates three depots in Saudi Arabia, one at its head office in Jubail and others in Dammam and Jeddah.

Sahreej already offers an extensive range of tank services, including the cleaning of hazardous and non-hazardous cargoes as well as demanding products such as isocyanides (MDI/TDI) and a range of resins including latex. Sahreej also cleans IBCs and road tankers and runs supplementary services such as on-hire/off-hire, nitrogen

services, cross-loading, heating and emergency services.

So, when Sahreej received an enquiry regarding neutralising and statutory testing of T21 tank containers in triethylaluminium (Teal) service, it took it upon itself to study and evaluate the associated risks with the process. The Sahreej philosophy in relation to tank containers and chemical liquid handling, according to general manager Mike Tunstall, is: “if it’s needed, we do it or we will find a way to do it”.

OUT OF THE ORDINARY

Tunstall explains that such an inquiry was out of the ordinary as no depot in the region provides such services, but Sahreej rose to the challenge of meeting the customer’s need. Sahreej was confident that its special projects

team, led by technical manager Sarfaraz Selani, could assure the customer that with the right planning and preparation Teal could be added to its line of services.

As triethylaluminium is a highly flammable and reactive chemical and a dangerous fire and explosion hazard when exposed to air or moisture, a detailed risk assessment was developed by HSE manager and Dangerous Goods Adviser Faris Al Shali to highlight potential risks, mitigating procedures and generating the required personal protective equipment and other safety systems.

With the risk analysis completed, Selani set about preparing a detailed procedure with welcome contributions from the customer. Once the procedure was approved, Selani designed a dedicated skid that provides all services and safety requirements to sit on the tank with lifting equipment stationed overhead to remove the pressure/vacuum (PV) valve and syphon tube assembly. The skid and all engineering work was completed by Sahreej’s in-house maintenance team.

With this completed, a dedicated ‘Teal Team’ was set up and given in-depth training; the team was to operate as a single unit with each member knowing their specific task, relationship to other team members and emergency procedures. Keeping the level of

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HCB MONTHLY | MAY 2023

product awareness in mind is key to sustaining safety in handling Teal, and that is where the Sahreej training programme delivers the necessary information to the Sahreej team.

Several dry runs were performed to ensure all possibilities had been covered, understood and the risks mitigated. Once Sahreej had confirmed all correct mitigation and operation controls were in place, the tank owners were invited to witness the neutralisation phase of the process, where they expressed their appreciation of Sahreej and confirmed that Sahreej had in fact exceeded their expectations.

WE ALL WANT TO BE SPECIAL

It is clear now that more customers are requiring special services for this type of product as Sahreej continues to receive

inquiries, Tunstall explains. Customers need a safe and professional service when handling, cleaning, and testing a dedicated Teal T21 tanks and that is exactly what Sahreej delivers.

Since its formation in 2015, Sahreej has continually developed its service line to cover more products. Adding triethylaluminium to the list of products cleaned is yet another celebratory achievement. Next Sahreej is looking to overcome the issue of obtaining de-gassing certificates in Saudi Arabia, which will enable Sahreej to add T50 gas tanks to its services range. This and road tanker statutory testing are the next nearterm goal for Sahreej.

Sahreej keeps its promise of being the premier supplier of all tank container needs in Saudi Arabia, by committing to provide special services required by its customers. This

promise is based on continual training, expertise in all areas and highest regards for staff safety, well-being and towards the environment.

With the growing demand for carbon footprint reduction and product sustainability, Sahreej plays its part in the sustainability of tank containers by safely cleaning, repairing and certifying them for safe operation. Given that tanks - when correctly handled - can have a life span of over thirty years carrying food, non-hazardous and hazardous product, it is easy to see how they cannot be compared to a single-use plastics (‘Flexi’) bag.

Sahreej continues to grow in terms of services, quality and revenue, and adding Teal services will help Sahreej continue on its upward trajectory – the company is already working on plans for 2024!

www.sahreej.com

TANKS & LOGISTICS 21
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QUICK UPDATE

TANK STORAGE • KUBE & KUBENZ HAS RESPONDED TO GROWING DEMAND FOR THE STORAGE OF FILLED TANK CONTAINERS WITH AN EXPANSION OF ITS BERGHEIM FACILITY NEAR KÖLN

PRODUCERS AND TRADERS in the Rhineland chemical region of Germany have had more storage capacity available for filled tank containers since this spring. The liquid bulk logistics company Kube & Kubenz, which operates throughout Europe, recently expanded the storage area of its branch in Bergheim to cater to this business. Safety infrastructure at the location east of Köln was also upgraded.

As part of the investment, the company created 120 new storage spaces for filled tank containers of hazardous material of Classes 3, 8 and 9. “Expanding this location makes us even more attractive to our customers in the chemicals industry because our secure tank containers, monitored 24/7, shorten and make logistics chains more efficient. At the same time, these investments are ensuring jobs at this location in the long term,” says Olaf Fügemann, manager of Kube & Kubenz‘s branch in Bergheim.

There are 25 Kube & Kubenz employees organising multimodal transport and storage services for resilient supply chains in the chemical industry at this conveniently located site. Designed to meet the most stringent safety standards and located near a federal motorway, the site serves as a transhipment hub, meeting the needs of one of the largest chemical regions in the European Single Market and handling incoming tanks from all over the world.

Existing storage capacity for unclassified goods will be available to Kube & Kubenz’s customers in Bergheim as usual. The site’s portfolio also includes 250 storage spaces for empty tank containers and 40 tractor units

“Together with our storage space in the city of Worms, our first storage location for tank containers, we are now even better equipped to meet the needs of our clients from the chemical industry,” says Konstantin Kubenz, managing partner of Kube & Kubenz. “The

expansion and modernisation of our Bergheim branch will allow us to perfectly meet the requirements of hazardous materials logistics while at the same time reaching our own growth targets in the coming years.”

A BRIEF HISTORY

The Bergheim branch was opened in March 2016 when Kube & Kubenz relocated from the Knapsack Chemical Park a few kilometres away. At its opening, the site offered forwarding, warehousing and maintenance and repair services for box and tank containers on an 18,000-m2 site, complete with office buildings.

The location was chosen for its proximity to the A1, A4 and A61 motorways as well as a rail connection at the Köln Eifeltor terminal; it is also conveniently located to supply the needs of chemical manufacturers in the Leverkusen, Dormagen and Wesseling centres.

At the time of its opening, Michael Kubenz, former managing director and father of Konstantin Kubenz, explained that the move to the larger site was a response to “excellent business development” in the region in the previous few years, which made it important for the company to be able to continue to offer the best service possible and flexible logistics solutions for liquid and gaseous chemicals.

www.kubekubenz.com

22 TANKS & LOGISTICS HCB MONTHLY | MAY 2023

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NEWS BULLETIN

prompted customers to return tanks more quickly, reducing demurrage revenue.

Operating profit for the period also fell, from $44.9m in the fourth quarter 2022 to $39.3m. Lower revenues were offset to some degree by the continued decrease in ocean freight costs as well as inland trucking costs. Utilisation dropped from 67.0 per cent to 64.7 per cent as volumes out of Europe weakened. Nevertheless, Niels G Stolt-Nielsen, CEO of parent company Stolt-Nielsen Ltd, says: “The tank container market has been holding up remarkably well. However, our expectation in the coming months is that we will move towards normalised market conditions.”

www.stolt-nielsen.com

BEST YEAR FOR DEN HARTOGH

Den Hartogh achieved record results in 2022, despite “depressing global economic events” and the war in Ukraine, as well as the climate emergency and supply chain disruptions, the company reports. Revenues rose by 29.5 per cent compared to 2021 to reach €741m and EBITDA was up by 46.2 per cent at €98m.

During 2022, Den Hartogh increased its investment to €61m, focusing on expanding its owned tank container fleet and expanding its reach with new gas tanks, chassis, LNG trucks, ultra-light trailer equipment and other activities to improve efficiency and safety. The acquisition of the Muto Group at the end of 2021 proved successful, Den Hartogh reports, and its acquisition of Hedenskogs in Sweden enabled it to create its own hub in the Gothenburg area, including storage, heating, cleaning, and a home base for trucking activities.

Commenting on the results, managing director Pieter den Hartogh says: “We started the year still impacted by Covid, but volumes increased rapidly. We were forced to adapt to circumstances we never thought would happen. Looking back, I can say that we did adapt, as

one team working together. We finished the year with a historically low percentage of customer complaints. This showed that our service level and communication were under control, a tremendous effort given the turbulent and volatile times. We are increasingly able to connect with our customers at a tactical and strategic level to resolve their supply chain challenges together.

“Overall, 2022 was a year we can all be extremely proud of,” he adds. “Together, we provided a solid backbone to further accelerate sustainable growth in the years to come and achieve our ambitious goals. We continue to make a difference for our customers every day, something I very much look forward to doing.”

www.denhartogh.com

STOLT SEES NORMALISATION

Stolt Tank Containers has reported revenues of $193.9m for the first quarter of its financial year, to end-February, down from $228.5m in the previous period. Although there was a slight increase in shipments, transport rates dropped in line with container liner rates; in addition, an easing of logistics bottlenecks has

COMBINED CLEANING

Boasso Global’s merger with Quala was completed last month, creating a specialist in the tank container and tank trailer cleaning, repair and maintenance sector, with more than 150 locations in North America and Europe and upwards of 2,400 employees.

“We are embarking on an exciting journey together,” the two companies state. “This strategic combination will further enhance our connectivity to customers, expand our global footprint and bring new opportunities for our team members as part of a larger combined organisation.”

For now at least, the two companies will continue under their existing brands.

www.boassoglobal.com

ODYSSEY SELLS LINDEN BULK

Odyssey Logistics & Technology Corp has sold its bulk tank truck subsidiary, Linden Bulk Transportation, to Boasso Global for an undisclosed sum. Odyssey says it is focusing on meeting the complex logistics needs of chemical suppliers and that the sale of Linden is “aligned with Odyssey’s forward-focused

24 HCB MONTHLY | MAY 2023
TANKS & LOGISTICS

strategy of providing neutral-to-transport solutions, allowing the company to utilize the full universe of carriers for the benefit of its customers”.

Glenn Riggs, chief strategy officer at Odyssey, explains more: “Boasso Global is an excellent home for Linden’s employees and customers. Moving forward, Odyssey will continue to focus on growing our adaptive multimodal logistics offerings on a global scale through customer-centric relationships, an expansive multimodal freight network and specialized modern technology.”

In other news, Odyssey has named Hans Stig Moller as its new CEO. Moller has more than 20 years of experience in global logistics, having started with Maersk, where he led the spin-off of Bridge Terminal Transport and acted as CEO until Bridge was acquired by XPO. Moller stayed as president of XPO Drayage.

“Odyssey has a reputation of excellence within the industry and is well positioned to take share in the rapidly changing supply chain landscape,” Moller says. “Going forward, I will be focused on Odyssey’s business expansion, employee development, service integrations and continued dedication to serving our customers’ needs.” www.odysseylogistics.com

NEXXIOT ADDS RAIL SENSORS

Nexxiot has released a new multipurpose Vector sensor for the rail industry, offering the ability to monitor the condition of brakes, hatches and doors on rail cars. The sensor complements a growing portfolio of Nexxiot Asset Intelligence technology, which is used by transport companies to remove uncertainty and risks associated with safety and cargo quality.

The design of Vector sensor creates optionality for clients to address multiple use cases with one versatile architecture and is connects wirelessly to the Nexxiot Globehopper

gateway, providing easy access to data to enhance decision-making capabilities.

“Both rail operators and cargo owners benefit from this innovation,” says Paul Wielsch, CTO of Nexxiot. “With increased attention on safety, compliance, and resource security, Vector sensor offers multiple stakeholders the opportunity to monitor processes and demonstrate to their clients that they take maximum care when it comes to safety and cargo quality.” nexxiot.com

RHENUS WINS IN PHARMA

Rhenus has won a contract from SkyCell, a Switzerland-based manufacturer of temperaturecontrolled containers, to handle reverse logistics around the globe. The deal is an extension of the two companies’ existing cooperation, under which Rhenus operates service centres for SkyCell in the UK and Germany.

Rhenus is also expanding its range of services for its customers through the cooperation arrangement. The latest technology for hybrid packaging solutions, for example, enables secure transportation for critical medicines, including vaccines, and other temperature-controlled goods.

In addition, Rhenus has completed a new 20,600-m2 temperature-controlled warehouse in Strasbourg, which is already serving customers in the healthcare products sector. The facility includes three cells with differing temperature ranges and was built in keeping with new technical and environmental standards.

“In Alsace, Rhenus has invested heavily in logistics for the region’s local and international industrial companies, in order to support their growth. Our expertise in healthcare logistics is based on our employees’ broad range of skills, as evidenced by specific certifications in the healthcare field,” says Laurent Schuster, CEO of Rhenus Logistics France. “We’ll be continuing our investment strategy to support our customers’ economic development over the coming years, with future real estate projects in the pipeline, both in Alsace and in the rest of France.”

www.rhenusgroup.com

PICK UP THE FORT VALE REMOTE

Fort Vale has announced a new remote closure system for this year. Building on Fort Vale’s reputation for the highest safety standards, the system removes the need for tank operators to be on top of the tank while opening valves, radically reducing the changes of a mishap should they slip.

Among other benefits are the system’s compact design and stainless steel construction; its 180° operation and low-friction cable that make it easier to operation; lockable for added security; ambidextrous design to give increased flexibility during fitting; and operating housing suitable for a range of valve sizes, rather than separate housings for different valve sizes; a bearing-guided operating cable rod for stable operation, protected by a housing to minimise damage; and clear ‘open/closed’ indication.

www.fortvale.com

TANKS & LOGISTICS 25
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NEWS BULLETIN

prompted customers to return tanks more quickly, reducing demurrage revenue.

Your tank container experts

TWS has more than 25 years of experience in renting out standard and special tank containers for liquid products to the chemical and food industries. TWS also provides various sizes of spill troughs. Customers rely on the outstanding quality of its fleet and value its flexibility in terms of volume and technical features. For more information: E-mail: tws@tws-gmbh.de and web: www.tws-gmbh.de

BEST YEAR FOR DEN HARTOGH

Den Hartogh achieved record results in 2022, despite “depressing global economic events” and the war in Ukraine, as well as the climate emergency and supply chain disruptions, the company reports. Revenues rose by 29.5 per cent compared to 2021 to reach €741m and EBITDA was up by 46.2 per cent at €98m.

During 2022, Den Hartogh increased its investment to €61m, focusing on expanding its owned tank container fleet and expanding its reach with new gas tanks, chassis, LNG trucks, ultra-light trailer equipment and other activities to improve efficiency and safety. The acquisition of the Muto Group at the end of 2021 proved successful, Den Hartogh reports, and its acquisition of Hedenskogs in Sweden enabled it to create its own hub in the Gothenburg area, including storage, heating, cleaning, and a home base for trucking activities.

Commenting on the results, managing director Pieter den Hartogh says: “We started the year still impacted by Covid, but volumes increased rapidly. We were forced to adapt to circumstances we never thought would happen. Looking back, I can say that we did adapt, as

one team working together. We finished the year with a historically low percentage of customer complaints. This showed that our service level and communication were under control, a tremendous effort given the turbulent and volatile times. We are increasingly able to connect with our customers at a tactical and strategic level to resolve their supply chain challenges together.

“Overall, 2022 was a year we can all be extremely proud of,” he adds. “Together, we provided a solid backbone to further accelerate sustainable growth in the years to come and achieve our ambitious goals. We continue to make a difference for our customers every day, something I very much look forward to doing.”

www.denhartogh.com

STOLT SEES NORMALISATION

Stolt Tank Containers has reported revenues of $193.9m for the first quarter of its financial year, to end-February, down from $228.5m in the previous period. Although there was a slight increase in shipments, transport rates dropped in line with container liner rates; in addition, an easing of logistics bottlenecks has

$44.9m in the fourth quarter 2022 to $39.3m. Lower revenues were offset to some degree by the continued decrease in ocean freight costs as well as inland trucking costs. Utilisation dropped from 67.0 per cent to 64.7 per cent as volumes out of Europe weakened. Nevertheless, Niels G Stolt-Nielsen, CEO of parent company Stolt-Nielsen Ltd, says: “The tank container market has been holding up remarkably well. However, our expectation in the coming months is that we will move towards normalised market conditions.”

www.stolt-nielsen.com

COMBINED CLEANING

Boasso Global’s merger with Quala was completed last month, creating a specialist in the tank container and tank trailer cleaning, repair and maintenance sector, with more than 150 locations in North America and Europe and upwards of 2,400 employees.

“We are embarking on an exciting journey together,” the two companies state. “This strategic combination will further enhance our connectivity to customers, expand our global footprint and bring new opportunities for our team members as part of a larger combined organisation.”

For now at least, the two companies will continue under their existing brands.

www.boassoglobal.com

ODYSSEY QUITS TRUCKING

Odyssey Logistics & Technology Corp has sold its bulk tank truck subsidiary, Linden Bulk Transportation, to Boasso Global for an undisclosed sum. Odyssey says it is focusing on meeting the complex logistics needs of chemical suppliers and that the sale of Linden is “aligned with Odyssey’s forward-focused

HCB MONTHLY | MAY 2023
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strategy of providing neutral-to-transport solutions, allowing the company to utilize the full universe of carriers for the benefit of its customers”.

Glenn Riggs, chief strategy officer at Odyssey, explains more: “Boasso Global is an excellent home for Linden’s employees and customers. Moving forward, Odyssey will continue to focus on growing our adaptive multimodal logistics offerings on a global scale through customer-centric relationships, an expansive multimodal freight network and specialized modern technology.”

In other news, Odyssey has named Hans Stig Moller as its new CEO. Moller has more than 20 years of experience in global logistics, having started with Maersk, where he led the spin-off of Bridge Terminal Transport and acted as CEO until Bridge was acquired by XPO. Moller stayed as president of XPO Drayage.

“Odyssey has a reputation of excellence within the industry and is well positioned to take share in the rapidly changing supply chain landscape,” Moller says. “Going forward, I will be focused on Odyssey’s business expansion, employee development, service integrations and continued dedication to serving our customers’ needs.” www.odysseylogistics.com

NEXXIOT ADDS RAIL SENSORS

Nexxiot has released a new multipurpose Vector sensor for the rail industry, offering the ability to monitor the condition of brakes, hatches and doors on rail cars. The sensor complements a growing portfolio of Nexxiot Asset Intelligence technology, which is used by transport companies to remove uncertainty and risks associated with safety and cargo quality.

The design of Vector sensor creates optionality for clients to address multiple use cases with one versatile architecture and connects wirelessly to the Nexxiot Globehopper

gateway, providing easy access to data to enhance decision-making capabilities.

“Both rail operators and cargo owners benefit from this innovation,” says Paul Wielsch, CTO of Nexxiot. “With increased attention on safety, compliance, and resource security, Vector sensor offers multiple stakeholders the opportunity to monitor processes and demonstrate to their clients that they take maximum care when it comes to safety and cargo quality.” nexxiot.com

RHENUS WINS IN PHARMA

Rhenus has won a contract from SkyCell, a Switzerland-based manufacturer of temperaturecontrolled containers, to handle reverse logistics around the globe. The deal is an extension of the two companies’ existing cooperation, under which Rhenus operates service centres for SkyCell in the UK and Germany.

Rhenus is also expanding its range of services for its customers through the cooperation arrangement. The latest technology for hybrid packaging solutions, for example, enables secure transportation for critical medicines, including vaccines, and other temperature-controlled goods.

In addition, Rhenus has completed a new 20,600-m2 temperature-controlled warehouse in Strasbourg, which is already serving customers in the healthcare products sector. The facility includes three cells with differing temperature ranges and was built in keeping with new technical and environmental standards.

“In Alsace, Rhenus has invested heavily in logistics for the region’s local and international industrial companies, in order to support their growth. Our expertise in healthcare logistics is based on our employees’ broad range of skills, as evidenced by specific certifications in the healthcare field,” says Laurent Schuster, CEO of Rhenus Logistics France. “We’ll be continuing our investment strategy to support our customers’ economic development over the coming years, with future real estate projects in the pipeline, both in Alsace and in the rest of France.”

www.rhenusgroup.com

PICK UP THE FORT VALE REMOTE

Fort Vale has announced a new remote closure system for this year. Building on Fort Vale’s reputation for the highest safety standards, the system removes the need for tank operators to be on top of the tank while opening valves, radically reducing the changes of a mishap should they slip.

Among other benefits are the system’s compact design and stainless steel construction; its 180° operation and low-friction cable that make it easier to operation; lockable for added security; ambidextrous design to give increased flexibility during fitting; and operating housing suitable for a range of valve sizes, rather than separate housings for different valve sizes; a bearing-guided operating cable rod for stable operation, protected by a housing to minimise damage; and clear ‘open/closed’ indication.

www.fortvale.com

TANKS & LOGISTICS 27
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THE NEXT STEPS

EXPANSIONS • THE GLOBAL ENERGY TRANSITION IS HAVING A BIG IMPACT ON THE BULK LIQUIDS STORAGE MARKET, WITH NEW TRENDS EMERGING IN THIS YEAR’S SURVEY OF CONSTRUCTION ACTIVITY

WHEN THE OIL industry began, there was no need for bulk liquids storage terminals. It was only later, as barrels gave way to bulk, that producers (especially exporters) needed somewhere to collect their product prior to shipment.

The new energy industry is taking a different tack. For a start, the movement of clean, low- or zero-carbon fuels over long distances will only make economic sense if it can take place on a large scale. As a result, those interests promoting or actively developing new long-haul supply chains to bring clean fuels (often ammonia) into northern Europe are almost always including storage terminal operators in their list of partners; without commitment to provide the appropriate storage capacity (right tanks, right place)

these supply chains will not succeed.

Another emerging issue is the need to dispose of carbon dioxide collected from industrial activity (including, in fact, the production of low-carbon fuels); again, those who are taking an interest in being part of that supply chain are involving shipping and storage interests in the process.

The picture is somewhat different in North America, as it looks likely that the production of clean fuels will be largely fed by local availability of appropriate feedstocks. Nevertheless, here too there is a need for terminal and pipeline operators to play a part in the development of the sector.

The outcome of these trends is that, while this year’s annual survey of terminal expansion activity is as long as ever, some of the bigger

projects are long-term investments involving upstream and downstream interests alongside port authorities and terminal operators (sometimes more than one per project).

An interesting aspect of this work in northern Europe is that Germany seems to be keen to bypass the crowded ports of the ARA region (where there are plenty of projects in hand, with major support from the port authorities) and develop its own import facilities for green energies. It may be that the recent focus on fast-tracking new LNG import sites on its northern coastline, to reduce the country’s reliance on Russian natural gas, has reminded Germany that in fact it does have some major ports facing the North Sea that can play a role in the energy transition.

NORTH AMERICA

BUCKEYE, CANADA

Buckeye Partners has closed the acquisition of Bear Head Energy, which is developing a large-scale green hydrogen and ammonia production, storage and export project in Point Tupper, Nova Scotia.

“Buckeye’s intention with this acquisition is to develop a large-scale green energy production, distribution and export hub,” says Buckeye CEO Todd Russo. “Given the project’s unique features and the geographic advantages of the region, including its status as one of the top locations globally for wind energy generation, we believe that this has the potential to become one the world’s premier green hydrogen production facilities.”

KINDER MORGAN, CALIFORNIA

Kinder Morgan placed its new renewable diesel hub projects in southern and northern California into service in February 2023, with full operations being reached a month later. The southern hub is based at the company’s existing Carson terminal in Los Angeles, and now supplies up to 20,000 bpd of blended diesel to the San Diego and Colton depots, delivering fuel arriving by sea to the ports of Los Angeles and Long Beach.

The northern hub connects the San Francisco terminal to depots in Bradshaw, Fresno and San Jose, primarily using existing infrastructure.

28 HCB MONTHLY | MAY 2023

“We are very pleased to be advancing California’s climate goals through our Southern and Northern California RD hubs,” said KMI’s president of products pipelines, Dax Sanders, announcing the commissioning. “These projects present a significant opportunity to participate in the transition to lower emissions energy sources of the future while continuing to provide fuels still in demand today. We are confident that the best way to serve markets during this energy evolution is through an all-of-the-above energy mix. Pipelines continue to be the safest and most cost-efficient mode of long-haul transportation for liquid fuels.”

VOPAK, CALIFORNIA

Vopak is planning to repurpose 22 oil tanks at its Los Angeles terminal, at a cost of some €30m, to handle sustainable aviation fuel and renewable diesel, with the new 148,000 m3 of capacity due onstream in the middle of 2023.

KINDER MORGAN, LOUISIANA

Tank conversion work is nearing completion at Kinder Morgan’s Harvey terminal in Louisiana, which will create a renewable feedstock storage and logistics hub for Neste’s bio-diesel and sustainable aviation fuel business. The initial phase of the project is due onstream in the second quarter of this year.

IMTT, NEW JERSEY

IMTT has announced plans to consolidate existing bulk liquids storage operations at its Bayonne site in New Jersey to free up some 130 acres (52.6 ha) of waterfront land for redevelopment. IMTT says the move will allow it to serve its bulk customers more efficiently and attract additional economic opportunities to the Bayonne area. There will be some reduction in storage capacity but, IMTT says, the terminal will continue to be the largest in the New York Harbor area.

“We are pleased to announce that IMTT is consolidating a portion of the Bayonne terminal and embarking on a transformational development process for the eastern portion of the property. This will allow us to continue providing high-quality storage and logistics services on the west side of our property and

pursue sustainable development opportunities on the east side,” says Carlin Conner, IMTT’s chairman/CEO.

ZENITH ENERGY, OREGON

Zenith Energy has agreed to completely phase out crude oil storage at its terminal in Portland, Oregon within five years and to transition to renewable fuels. Zenith had originally proposed to dedicate half its capacity to renewables but this plan was deemed incompatible with the 2035 Comprehensive Plan established by the City of Portland to reach its climate emergency goals.

“Zenith Energy is committed to helping Portland achieve its greenhouse gas reduction goals and addressing climate change by transitioning 100 per cent of our crude oil storage to renewable fuels,” says Grady Reamer, Zenith Energy’s vice-president of US Operations West. “Accordingly, Zenith will immediately reduce our Portland facility’s ability to transload crude oil and end such operations within five years.”

CIP, LOUISIANA

Copenhagen Infrastructure Partners (CIP) has acquired a majority stake in a blue ammonia project in the US Gulf Coast and has entered into an agreement with International-Matex Tank Terminals (IMTT) to provide ammonia storage and handling services. The project

has started a detailed FEED study and will initially comprise two units, each with production capacity of some 4,000 tonnes per day. Due to enter production in 2027, it will used Topsoe’s SynCOR technology.

“We are developing a global portfolio of clean hydrogen and hydrogen-related products, such as clean ammonia. Blue ammonia is considered an important part of a successful energy transition, which can potentially help fill the ammonia shortage in Europe as well as being a stepping stone to the successful implementation of green projects, and we are excited to bring this project to the Gulf Coast region,” says Søren Toftgaard, a partner at CIP.

Chris Partridge, executive vice-president of IMTT, adds: “IMTT is thrilled to support CIP’s development of this alternative fuels project. Additional clean energy sources, such as blue ammonia, are vital to advancing the global energy transition. We look forward to leveraging our terminalling experience and expertise to assist CIP in delivering this low-carbon fuel to the market.”

ENTERPRISE/NAVIGATOR, TEXAS

Enterprise Products Partners and Navigator Holdings have announced plans to expand ethylene export capacity at the Morgan’s Point joint-venture terminal in Texas. The partners agreed this past March to increase export

WWW.HCBLIVE.COM STORAGE TERMINALS 29

capacity from 1.0m tpa to at least 1.55m tpa and potentially to as much as 3.0m tpa. Construction work is scheduled to be completed in the second half of 2024.

ODFJELL, TEXAS

Odfjell Terminals Houston (OTH) broke ground on a new 32,000-m3 tank bay last year; work is progressing according to plan and is due to be completed by the end of this year. The new tank bay will have six carbon steel and three stainless steel tanks and, Odfjell says, will be highly automated. Completion will take total capacity at the site up to some 410,000 m3

TIDEWATER, WASHINGTON

The US Department of Agriculture has made a grant of some $3.1m to Tidewater Terminal to help expand the availability of biodiesel in the Washington/Oregon/Idaho region. Tidewater will contribute matching funds, which will be used to make improvements at its Snake River Terminal in Pasco, Washington to enable the receipt of neat biodiesel by rail and its blending and loading into trucks for local delivery.

LATIN AMERICA

STOLTHAVEN, BRAZIL

Stolthaven Terminals Brazil last year began operation of its own nitrogen generation plant, marking a first for the company and for any port terminal in Brazil. The plant, at the Stolthaven terminal in Santos (right), is being operated by Linde affiliate White Martins and uses the pressure swing adsorption technology; it will supply almost all the nitrogen the terminal needs for tank blanketing and vessel purging purposes. It will also reduce the number of supply vehicles on site.

ADVARIO, MEXICO

Advario and Braskem Idesa have formalised a 50/50 joint venture to build and operate an ethane import terminal in Coatzacoalcos, Mexico. The $400m Terminal Química Puerto México (TQPM) project will have 100,000 m3 of storage capacity, a new jetty to handle ships of up to 100,000 dwt and an 11-km pipeline link

to the nearby Braskem Idesa plant, which will be the major customer. Cryogenic ethane will, though, be offered to other industrial users in the region.

“We are pleased with the partnership and look forward to successfully developing the important terminal, and our long-lasting relationship with Braskem Idesa,” says Bas Verkooijen, CEO of Advario. “This is another example of Advario’s commitment to partnership, and our focus on growth opportunities within chemicals, gases and new energies.”

NORTHERN EUROPE

EVOS, BELGIUM

The Evos terminal in Ghent this year became the first facility to put a batch of sustainable aviation fuel (SAF) into the NATO Central European Pipeline System (CEPS) for delivery to a commercial airport. The delivery is one outcome of a ten-year investment in infrastructure for the storage and distribution of renewable fuels and biofuels at Ghent. “For several years we have been developing a

fully adapted infrastructure for renewable jet fuel,” says Jeroen Lagerweij, managing director of Evos Ghent. Consequently, the terminal is now one of the largest SAF terminals worldwide, offering the facilities and flexibility to load/unload SAF for all transport modes including trucks, containers, barges and seagoing shipping, and railcars. “SAF is the future and we would like to help build it and grow together with our customers,” adds Tom D’Oosterlinck, HSSE specialist at Evos Ghent.

NOORD NATIE, BELGIUM

Noord Natie Odfjell Antwerp Terminal (NNOAT) formally opened its latest expansion, Tank Pit T, in June 2022. The seven new tanks, built by Ivens, provide an additional 12,700 m3 of storage capacity.

Engineering has started on the next phase, Tank Pit U, which will add six 6,000-m3 storage tanks and take overall capacity up to 461,000 m3 by the end of 2023. To accommodate the new tankage, one warehouse will be dismantled, with current drumming and IBC filling activities being consolidated at another

HCB MONTHLY | MAY 2023 30

ACCIDENTS WON’T HAPPEN.

It might not look much, but it could save your tanker operator’s life. The Fort Vale Remote Closure System removes the need for operators to be on top of their tank when opening valves - which means they won’t be able to fall off should they slip. Other benefits include:

l Compact Design.

l Stainless steel construction.

l 180 degree operation and low friction cable giving mechanical advantage and lower torque meaning easier to operate.

l Lockable for additional security.

l Ambidextrous design giving increased flexibility when fitting.

l Operating housing suitable for a range of valve sizes, rather than separate housings for different valve sizes.

l Bearing guided operating cable rod for stable operation.

l Cable rod protected by housing to minimise risk of operational damage.

l Clear Open/Closed indication.

WWW.HCBLIVE.COM
® FORT VALE. FOLLOW THE LEADER. Visit us at www.fortvale.com SEE US AT TRANSPORT LOGISTICS 9-12 MAY, MUNICH STAND: B4.221/322

warehouse; Noord Natie has decided not to expand drumming and IBC filling beyond its existing contacts.

In addition, Noord Natie has taken a new centralised truck loading gantry into service. As well as providing extra efficiency, the new gantry includes improvements in terms of safety and ergonomics, affirming the company’s stated vision that, next to capacity expansion, investments in the upgrading of existing infrastructure are just as important.

VOPAK, BELGIUM

Vopak has committed to a refurbishment of its Eurotank chemical terminal in Antwerp, where it will spend some €70m to rebuild 41,000 m3 of tankage and strengthen its service offering for chemical imports. Completion of the project is slated for fourth quarter 2024.

Vopak has also agreed to acquire the Gunvor Petroleum Antwerp site from commodity trader Gunvor, providing it with a rare opportunity to grasp a 105-ha site along the River Scheldt. Of great interest is the fact that the plot of land is adjacent to existing and

future pipelines that are suitable for the movement of gases, including olefins as well as carbon dioxide and ammonia.

Working closely with the Port of AntwerpBruges, Vopak plans to reconfigure the concession with the primary aim of developing a facility that will contribute to the decarbonisation of the industrial cluster in Antwerp by building a new green energy hub. In particular, it is likely that Vopak will use the terminal to handle green ammonia, sustainable fuels and fine chemicals.

STS, DENMARK

Scandinavian Tank Storage (STS) and the Port of Aalborg are cooperating on a project to develop tank storage facilities at the coal and oil terminal at the Nordjylland Power Station; in particular, the partners will explore how the tank farm can be used to store future green fuels. The four 55,000-m3 tanks at the site are currently use for storing marine fuels.

“We are pleased with our collaboration with Scandinavian Tank Storage, which helps accelerate the development of our storage solutions and teaches us how we can meet the future demand for green fuel storage,” says Michael Rosenkilde Lind, senior commercial manager at Port of Aalborg. “The transport industry is facing a significant transformation, where fuels derived from Power-to-X and biomass will play an important role. With Scandinavian Tank

Storage’s in-depth knowledge and network, we are taking some major long-term steps in handling future fuels.”

ADVARIO, GERMANY

Advario entered into an agreement with Sasol Germany in August 2022 to study the potential construction of an ethylene terminal at Sasol’s ChemCoast Park site in Brunsbüttel, northern Germany. It is expected that the terminal will have a single 30,000 m3 storage tank able to handle both conventional and green ethylene, for use in Sasol’s production process.

Planning and construction is expected to take about four years. Once in service, the terminal will be operated by Advario.

HES, GERMANY

Wintershall Dea and HES Wilhelmshaven Tank

Terminal signed a memorandum of understanding in October 2022 for the development of the planned CO2nnectNow CO2 hub at the terminal. The new facility will act as a gathering point for CO2 collected from industrial sites in Germany for onward transmission by pipeline to planned carbon storage caverns in Norway. The HES Wilhelmshaven facility was chosen for the development due to its strategic location, deep draft quay and extensive rail and industrial infrastructure. A feasibility study is underway, with results expected next year.

“Only with CCS can Germany achieve its

HCB MONTHLY | MAY 2023 32
AIR PRODUCTS AND MABANAFT ARE COLLABORATING ON THE DEVELOPMENT OF A GREEN ENERGY TERMINAL AT THE OILTANKING SITE IN HAMBURG

climate targets,” says Klaus Langemann, senior vice-president, Carbon Management & Hydrogen at Wintershall Dea. “The North Sea, especially Norway and Denmark, offers enormous potential and Wilhelmshaven is perfectly located in Northern Germany. We are delighted to have found an experienced and locally rooted partner in HES to mature our CO2nnectNow project.”

MABANAFT, GERMANY

Air Products and Mabanaft, through its subsidiary Oiltanking Deutschland, are to build Germany’s first large scale green energy import terminal in Hamburg, with commissioning planned for 2025. The projected facility will be located at the existing Oiltanking terminal in the port and will be used to receive and distribute green ammonia, imported from green hydrogen production plants operated by Air Products and its partners around the world. The intention is to convert the imported ammonia into green hydrogen at the Air Products plant in Hamburg for distribution to customers both within the port and across northern Germany.

“We are delighted to work together with Air Products, the world’s leading hydrogen producer, on the development of this terminal,” says Volker Ebeling, senior vice-president for new energy, chemicals and gas at Mabanaft. “As a result, we will make significant investments and deploy our energy infrastructure capabilities and expertise to accelerate the energy transition in Hamburg as the key import gateway for Germany.”

ACE TERMINAL, NETHERLANDS

ACE Terminal, the planned green energy import terminal in Rotterdam being developed by Gasunie, HES International and Vopak, signed a memorandum of understanding with Spanish energy company Cepsa in February this year to establish a green ammonia supply chain. Cepsa is developing 2GW of green hydrogen production at its two energy parks in Andalusia in southern Spain, which will form part of the Andalusian Green Hydrogen Valley, designed to be the largest green hydrogen hub in Europe.

ACE Terminal and Cepsa intend to sign a

binding commercial agreement to facilitate the overseas transport of green ammonia, to redistribute the green ammonia to end markets in the hinterland, and to process the green ammonia into green hydrogen ready for use by end customers in north-west Europe.

The location of ACE Terminal in the port of Rotterdam offers direct connection to Rotterdam’s industry and the planned national hydrogen network, while the production site in southern Spain benefits from ample sun, wind and land, a solid electricity grid and access to high-traffic ports, including Algeciras. Exports from Cepsa’s plants are projected to begin in 2027.

The agreement with Cepsa is a major step forward in the development of ACE Terminal, which will rely on a ready supply of green ammonia to support its ambitions. The

terminal, which is still in development, is participating in a study to look at the viability of a large-scale ammonia cracker that will allow 1m tpa hydrogen to be imported, in the form of ammonia, into the port of Rotterdam, with the project being led by the Port of Rotterdam Authority.

ADVARIO, NETHERLANDS

Advario has managed to gain a foothold in the crowded Rotterdam port space through an agreement signed in April 2023 to acquire a plot of land in the Botlek area from Aluminium & Chemie. The site will provide Advario with the opportunity to develop, build and operate a bulk liquids storage terminal designed to help its customers and partners successfully transition to cleaner energy.

“We are very pleased to have secured this strategic location in the Port of Rotterdam,” says Bas Verkooijen, Advario’s CEO. “This is another important step in the delivery of our long-term strategy to play a frontrunner role in supporting the energy transition. The site’s strategic location, ample size, and waterfront

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ROTTERDAM IS ALREADY PACKED WITH STORAGE FACILITIES BUT SPACE IS BEING FOUND FOR ADDITIONAL TANKAGE

access offer us an excellent opportunity to enter one of the leading energy and chemical hubs in Europe. Advario looks to develop a new and future-focused storage terminal in close cooperation with our customers, industrial partners, and the Port of Rotterdam.”

Aluchemie will now prepare the site for handover by demolishing and removing all above- and underground structures and remediating the soil. It is aiming to finish this work by the end of 2025, after which Advario will begin construction on its terminal for future fuels.

EVOS, NETHERLANDS

The Port of Amsterdam signed a memorandum of understanding in October 2022 with tank storage provider Evos and liquid organic hydrogen carrier (LOHC) pioneer Hydrogenious, with the aim of developing large-scale hydrogen import facilities in the port. The plan includes an LOHC dehydrogenation plant to produce between 100 t and 500 t per day, as well as related storage and handling facilities. All

three parties to the agreement are founding members of the H2A platform, which focuses on the development of green hydrogen import infrastructure in the port of Amsterdam.

“We have been building and supporting the H2A platform from the beginning, working with our partners on green hydrogen imports via the port of Amsterdam,” says Ramon Ernst, managing director of Evos Amsterdam. “We see a promising future in LOHC technology as it is intrinsically safe and fits with the port’s existing logistics infrastructure. We operate two large tank terminals that are perfectly suited for the storage and handling of LOHC. We are delighted to have teamed up with two exceptionally strong partners and look forward to working on concrete next steps.”

GUNVOR, NETHERLANDS

Air Products and Gunvor Petroleum have agreed to jointly develop a green hydrogen and ammonia import terminal in Rotterdam, with startup scheduled for 2026, subject to regulatory approvals and a final investment decision.

“We are very supportive of Air Products’ and Gunvor’s plans, which are a great example of using a brownfield location to set up a new import terminal for green ammonia in the port of Rotterdam,” says Allard Castelein, CEO of the Port of Rotterdam. “Both companies have been active in the energy sector for a long time and are responding to society’s demand to reduce greenhouse gas emissions as well as to increase Europe’s energy independence. Green ammonia is not only a hydrogen carrier and a feedstock for the chemical industry, but it’s also an important renewable fuel for the shipping sector. First-mover projects like this will make Rotterdam Europe’s foremost Hydrogen Hub.”

HES, NETHERLANDS

In January this year, HES Hartel Tank Terminal was declared insolvent by the District Court in Rotterdam. The company was established by HES International to build a 1.3m-m3 tank terminal in Rotterdam but ran into financial difficulties caused by Covid-related construction delays and a fire during construction work, which led to additional costs.

“Unfortunately, it is no longer financially viable for HES International to invest the further significant amounts required to complete the HES Hartel Tank Terminal given the level of project finance indebtedness at the terminal level,” a statement from HES said. HES Hartel Tank Terminal is an entity fully separate from the rest of the HES Group. Therefore, this insolvency has no impact on HES International’s wider operations, which continue to operate normally and perform strongly. No impact is expected on HES customers or employees at other locations.

KOOLE, NETHERLANDS

Koole Tankstorage Botlek (KTB) put its new barge jetty into operation in May 2022, in collaboration with the Port of Rotterdam.

“This new jetty is an exciting addition to our terminal and will allow two seagoing vessels or barges on one side and three barges on the other side,” the company says.

Construction of the new Jetty 7 was a major project, requiring the demolition and removal of existing quays and berths and the

HCB MONTHLY | MAY 2023 34

installation of hose towers and a pipe bridge fabricated at the contractor’s facility. Work continued, with the new Jetty 6 being commissioned before the end of the year.

Koole Terminals and Horisont Energi have announced a joint plan to develop a carbon dioxide terminal and storage facility in Rotterdam, designed to handle CO2 and clean ammonia. The plan builds on a memorandum of understanding signed in 2021 for a clean ammonia terminal.

“We are very excited to announce that our cooperation with Koole Terminals will include a CO2 terminal,” says Bjørgulf Haukelidsæter Eidesen, CEO of Horisont Energi. “The two companies have cooperated well during this first year, and it is essential for us to bring about solid relationships with key storage, handling, and transport partners in the region so we can establish an end-to-end carbon capture and storage (CCS) service, while ensuring that our clean ammonia can reach all potential clients. This is an important step for Horisont Energi.”

OCI, NETHERLANDS

OCI is to move ahead with a significant expansion of its ammonia import terminal in Rotterdam that will triple throughput capacity to 1.2m tonnes per year by 2023. The decision to go ahead with the work, taken last year, followed what OCI says is a “significant increase in ammonia imports” over the previous year to compensate for lower European production as a result of volatile and high gas prices. The expansion of what is currently Rotterdam’s only ammonia import facility will also help meet emerging largescale demand for ammonia for use as a low-carbon fuel, particularly in the maritime sector. OCI has also mapped out a further expansion that could increase capacity to more than 3.0m tpa and is planning to begin permitting activities this year.

VESTA, NETHERLANDS

Vesta Terminals and Uniper Global Commodities signed a memorandum of understanding in September 2022 to evaluate the feasibility of revamping and expanding Vesta’s existing bulk liquids storage facility in

the port of Vlissingen with the aim of creating the first green ammonia hub in north-west Europe. The partners are looking at having the new facility, to be known as ‘Greenpoint Valley’, up and running by early 2026. Uniper intends to book capacity at the terminal to create an entry point into the north-west European markets for the growing green ammonia and hydrogen activities within the Uniper group, as one of several access points for green energy in Europe.

The project has moved forward this year, with the award of a scoping and feasibility study, to be followed by a FEED contract, by Vesta to Proton Ventures. The study is looking at re-purposing two 30,000-m3 ammonia tanks at the Vlissingen terminal.

PERN, POLAND

PERN Group is responding to growing throughput at its Debogórze fuel terminal by planning to increase storage and throughput capacity. The facility handled almost 50 per cent more fuel in the first quarter of 2023 than it did in the same period the year before. Fuel arrives at the terminal via a rail link to the Port of Gdynia, so a first stage in the work will involve investment in rail infrastructure,

including modernising the tracks and loading points and, potentially, the addition of a fourth loading area.

Meanwhile, PERN plans to add two storage tanks at the terminal this year, adding 32,000-m3 of new capacity, with three more tanks planned that could add a further 50,000 m3. Combined with the new tankage and PERN’s work on its rail faciltieis, the port authority is also modernising the liquid fuels reloading station and deepening the fairway to allow larger tankers to call, and PKP is improving rail access to the port. This should all allow an increase in the volume of petroleum products received at the Debogórze fuel terminal for delivery to the interior of the country.

STANLOW, UK

Stanlow Terminals recently announced plans to develop a major open-access import terminal for green ammonia in the Port of Liverpool, UK. The new facility will represent an expansion of Stanlow Terminals’ existing sites in the area, which will provide the connecting infrastructure to allow the distribution of imported ammonia and contribute to Essar’s ambition to be a major hub for low-carbon energy.

HCB MONTHLY | MAY 2023 36

The new terminal, scheduled to begin operations in 2027, will enable the import and storage of more than 1m tonnes per year of green ammonia for onward distribution into the UK or conversion back to green hydrogen for supply to industrial customers in the north-west.

“This new terminal is the latest milestone in Stanlow Terminals’ and Essar’s ongoing commitment to leading the UK’s low carbon transformation,” says Michael Gaynon, CEO of Stanlow Terminals, which is owned by Essar. “By investing in new energies infrastructure and building a secure supply chain of green ammonia into the UK, we are building on our expertise in storing and blending of bulk liquids to put the north-west economy at the forefront of the UK’s energy transition to net zero.”

STOLTHAVEN, UK

Stolthaven Dagenham is to build a used cooking oil (UCO) processing plant in partnership with cooking oil supplier and collector Olleco. The facility will process oil collected from restaurants and food production sites into renewable, low-carbon biodiesel. Olleco has several similar plants elsewhere in the UK but the Dagenham terminal offers the closest site to the greater London area.

“We are pleased to welcome Olleco to our terminal,” says Steve Walker, general manager of Stolthaven Dagenham. “In recent years, we have invested significantly in the terminal – including a new jetty due for completion this year – to ensure we continue to meet the specific needs of our customers and we are looking forward to partnering with Olleco on this project.”

“Our new partnership with Olleco highlights the significance of waste oil in the production of biofuels and the role we play in the supply chain and the transition to sustainable products and alternative fuels,” adds Pim van den Doel, commercial and business development manager, EMEA, at Stolthaven Terminals. “Together with our sister companies, Stolt Tankers and Stolt Tank Containers, we provide safe, integrated storage and handling solutions to the biofuel

industry worldwide and our Dagenham terminal stores UCO for several customers.”

MIDDLE EAST & AFRICA

SKA, IRAQ

SKA Group is continuing with an upgrade programme at its Khor Al Zubair terminal in Iraq. Last year saw the installation of internal floating roofs in all the remaining tanks, which allows for the handling of various additional products. The original product pumps have also been replaced, resulting in a doubling of product transfer speed and faster discharge of product heel.

BIDVEST, SOUTH AFRICA

Bidvest Tank Terminals is finalising development plans for three projects, including construction of a brand new inland LPG terminal at Isando. It is currently working with Transnet to establish the framework for the supply of LPG by rail and, assuming approvals are forthcoming, expects the new facility to be commissioned by the end of 2025. Separately, Bidvest is planning the conversion of three existing spheres, previously used for butadiene, to handle growing demand for butane at its Richards

Bay terminal. The three tanks, with a total capacity of 12,000 m3, will receive butane by ship for onward distribution by road. Bidvest is also looking into expanding the Richards Bay site to handle growing demand for the storage of liquid products, especially since the closure of refinery capacity in South Africa in recent years. Bidvest says it has space available to add at least 48,000 m3 of new capacity and is currently in discussion with potential customers.

ACTAD, UAE

Arabian Chemical Terminals Abu Dhabi (ACTAD) is due to complete its first phase of construction in mid-2023 and put its first tanks into operation in July. The terminal, the first commercial bulk liquids storage and distribution terminal in Abu Dhabi, will have some 100,000 m3 of capacity in 40 tanks. The greenfield terminal is sited in the Khalifa Economic Zone Abu Dhabi (KEZAD), mid-way between Abu Dhabi and Dubai and away from residential and commercial areas. It has a private berth of 250 metres alongside, with a 16-metre draft, as well as smaller tender/ bunkering berths.

ACTAD is already considering a second phase, using a 150,000-m2 plot of land

WWW.HCBLIVE.COM STORAGE TERMINALS 37

adjacent to the first phase available, depending on demand. It is likely that a second phase would include more extensive capacity to handle gases, including ammonia and hydrogen.

SOUTH & SOUTH-EAST ASIA

DIALOG, MALAYSIA

Dialog Group has announced plans for a third terminal in Tanjung Langsat, Johor. The new Langsat 3 terminal will focus on renewable fuels and is expected to commence operations by the end of 2024.

The planned terminal will have storage capacity of 24,000 m3 and will serve the needs of traders and multinational energy companies. It is expected that it will handle renewable fuel feedstock and products, including used cooking oil, tallow, pyrolysis oil and palm oil mill effluent, as well as biodiesel, based on used cooking oil methyl ester and fatty acid methyl ester (Fame).

GPS GROUP, MALAYSIA

GPS Group completed construction and commissioning of its new LPG storage terminal in Port Klang, Malaysia this past August. The new facility, for which Equinor is the anchor tenant, enables cost-advantages VLGC shipments of LPG to discharge in Malaysia. It is fully automated and can re-export pressurised cargoes for regional distribution, as well as handling domestic distribution within Malaysia in cylinders and by truck. There are also pipeline connections to other LPG distribution facilities in the port. Annual throughput is put at some 1.2m tonnes.

“The completion of the new terminal is a game-changer for LPG shipments into the region,” says CEO Eric Arnold. “It is the first time that an independent player has the advantage of VLGC freight economics into south-east Asia. Delivering this asset is another important milestone in the relationship between Equinor and GPS. We’re thrilled that together we have been able to improve the energy infrastructure of our region.”

Since then, GPS Group has merged with its sister company, Global Energy Storage, and now operates under the GES banner.

PETREDEC, INDIA

Petredec acquired NGC Energy India, a former joint venture in which it was a minority partner alongside Oman’s National Gas Company, this past September. Petredec will now operate the business independently. NGC Energy India is currently nearing completion of a 34,000-tonne LPG import terminal in Krishnapatnam, designed to address growing import demand in southern India. The terminal is due to be commissioned in the first half of this year and will be renamed Petregaz India, operating as a standalone business within Petredec’s onshore division.

JPTT, SINGAPORE

JPTT (Jurong Port Tank Terminals) has completed phase 2 expansion of its site in Singapore, taking total capacity to some 580,000 m3 for clean petroleum products. The work involved construction of three new tank pits, adding 330,000 m3 of capacity, along with an upgrade to the terminal’s infrastructure. All tankage at the site have now been fully leased, JPTT says.

“The expansion of our state-of-the-art liquid bulk terminal is a significant milestone,” says Francis Nyan, JPTT chairman. “Since starting operations in 2019, JPTT has supported the needs of our customers in the clean petroleum trading market and fortified Singapore’s position as a global energy and

chemicals hub. With our partner Advario, we remain confident that JPTT’s expansion strengthens the integrated terminal network and enhances our overall value offering to the market, leveraging each other’s expertise and length of experience.”

JPTT is a 60/40 joint venture between Jurong Port and Advario.

VOPAK, SINGAPORE

Vopak Singapore announced in fourth quarter 2022 that it is exploring the possible expansion of its ammonia storage infrastructure with full import and export capabilities for low-carbon power generation and bunker fuels at its Banyan terminal. The Banyan site, with an overall storage capacity close to 1.5m m3, is an integrated oil, chemical and gas facility, located on Jurong Island, and already has one 10,000 m3 ammonia tank that supports the local petrochemical sector.

Vopak Singapore completed a conceptual design for the expansion and proceeded to carry out a quantitative risk assessment. Rob Boudestijn, managing director of Vopak Terminals Singapore, said: “In line with Singapore’s ambition on net-zero carbon emissions, Vopak can leverage on our proven expertise of safely storing ammonia in Banyan. We have the right expertise and are at the right location to facilitate new supply chains for low carbon ammonia. We do see a

HCB MONTHLY | MAY 2023 38

strong potential in Singapore that supports the momentum of developing ammonia ready infrastructure ahead of other locations.”

In other decarbonisation projects, Vopak and Petronas signed a memorandum of understanding in November 2022 to look at developing a value chain for carbon capture and storage (CCS) in south-east Asia. Both companies will focus on capturing CO2 emitted by industries in Singapore, storing the captured CO2 at a Vopak terminal and transporting it for injection into regional storage hubs developed by Petronas.

“We are excited about this project with our long-term partner Petronas to jointly collaborate,” said Chris Robblee, president of Vopak Asia & Middle East. “This is well aligned with our commitment to support the energy transition through development of CO2 infrastructure for sustainable energy solutions and the decarbonisation of the industry.”

CHINA & NORTH ASIA

VOPAK, CHINA

Vopak and its 50/50 partner are due to start construction of an additional 110,000 m3 of capacity at the Caojing terminal this year, to serve a long-term industrial contract. Completion is scheduled for first quarter 2025.

STOLTHAVEN, TAIWAN

Stolthaven Terminals and Revivegen Environmental Technology have formally established a joint venture, Stolthaven Revivegen Kaohsiung Terminal Co (SHRVK), to develop a greenfield bulk liquids storage terminal in the port of Kaohsiung, Taiwan. Construction work started early in 2023 and the partners expect that the new terminal will open by the end of this year. It is designed to help meet growing customer demand for high quality bulk liquids storage in the region and attract more international trade to Taiwan.

“We are delighted with the addition of the SHRVK terminal to our global network, which enables us to increase the reach of the supply chain solutions that we can offer our customers,” says Guy Bessant, president of Stolthaven Terminals. “The partnership also opens up Taiwan to our broad customer base and the integrated services we can provide in

collaboration with our sister companies Stolt Tankers and Stolt Tank Containers. Together with Revivegen’s expertise and local knowledge we will deliver a terminal that focuses on the safe and efficient handling and storage of chemicals and industrial gases for local and multinational companies. And we will use our experience in innovative sustainability projects to support Taiwan’s progress towards its carbon-reduction ambitions.”

AUSTRALASIA

COOGEE, AUSTRALIA

Coogee started work on the construction of 120,000 m3 of diesel storage at its Kwinana terminal in Western Australia in July 2022. The work, which will double storage capacity at the site, is part of the federal government’s Boosting Australia’s Fuel Storage programme designed to improve long-term fuel security. The new tankage is due in service in June 2023.

“The investment in our new diesel storage adds to our existing strategically located fuel terminals business and makes us the largest independent fuel terminal storage and services provider in Western Australia,” says Dr Grant Lukey, Coogee CEO. “Our existing facilities along with these new tanks offers

the fuel majors optionality and access to a very efficient open access commingled fuel storage facility.”

IMPALA, AUSTRALIA

Impala Terminals formally inaugurated its first energy import, storage and distribution terminal in Australia in March 2023. The Kwinana Bay site in Western Australia, which has been operating since October 2022, offers 225,000 m3 of storage capacity in 11 liquids and one butane tank, and has an express lane for loading diesel to road tankers. It is currently handling diesel and gasoline, with butane for blending, supported by an anchor customer.

“We are very excited to be here, not only as an asset owner and operator, but also as a company committed to further investing into Western Australia infrastructure,” says Sjoerd Bazen, CEO of Impala Terminals Energy Infrastructure. “We have been impressed by the support and collaboration with the local government, the Fremantle Port Authority and other key stakeholders and look forward to building on these relationships.”

Impala Terminals Energy Infrastructure was created in October 2022 following the acquisition of 19 storage assets from Puma Energy.

WWW.HCBLIVE.COM STORAGE TERMINALS 39

PRESSING ON

GROWTH • ADVARIO IS READYING ITS NETWORK FOR CHANGING DEMAND WITH NEW PROJECTS AND TANKAGE IN MAJOR PORTS IN NORTHERN EUROPE, SOUTH-EAST ASIA AND CENTRAL AMERICA

ADVARIO HAS MANAGED to gain a foothold in the crowded Rotterdam port space through an agreement to acquire a plot of land in the Botlek area from Aluminium & Chemie. The site will provide Advario with the opportunity to develop, build, innovate and operate the storage infrastructure its customers and partners need to successfully transition to cleaner energy. The 26-ha Aluchemie site is located close to the existing hydrogen and carbon dioxide pipeline networks. Its waterfront on the third Petroleumhaven gives quick access to Rotterdam’s main waterways. And lastly: the site is close to the operations of existing, valued partners Advario works with globally.

“We are very pleased to have secured this strategic location in the Port of Rotterdam,” says Bas Verkooijen, Advario’s CEO. “This is another important step in the delivery of our

long-term strategy to play a frontrunner role in supporting the energy transition. The site’s strategic location, ample size, and waterfront access offer us an excellent opportunity to enter one of the leading energy and chemical hubs in Europe. Advario looks to develop a new and future-focused storage terminal in close cooperation with our customers, industrial partners, and the Port of Rotterdam.”

Aluchemie will now prepare the site for handover by demolishing and removing all above- and underground structures and remediating the soil. It is aiming to finish this work by the end of 2025, after which Advario will begin construction of its terminal for future fuels.

BUILD IT BETTER

Elsewhere, Advario and Braskem Idesa have formalised their joint venture to build an

ethane import terminal in Coatzacoalcos, Mexico. The 50/50 Terminal Química Puerto México (TQPM) project will have 100,000 m3 of storage capacity, a new jetty to handle ships of up to 100,000 dwt and a pipeline link to the nearby Braskem Idesa plant, which will use the ethane.

“We are pleased with the partnership and look forward to successfully developing the important terminal, and our long-lasting relationship with Braskem Idesa,” says Verkooijen. “This is another example of Advario’s commitment to partnership, and our focus on growth opportunities within chemicals, gases and new energies.”

And in Singapore, Jurong Port Tank Terminals (JPTT), a 60/40 joint venture between Jurong Port and Advario, has completed its phase 2 expansion, adding 330,000 m3 of new tankage to take total storage capacity for clean petroleum products up to some 580,000 m3

“The expansion of our state-of-the-art liquid bulk terminal is a significant milestone,” says Francis Nyan, chairman of JPTT. “Since starting operations in 2019, JPTT has supported the needs of our customers in the clean petroleum trading market and fortified Singapore’s position as a global energy and chemicals hub. With our partner Advario, we remain confident that JPTT’s expansion strengthens the integrated terminal network and enhances our overall value offering to the market, leveraging each other’s expertise and length of experience.”

Snehashish Chatterjee, vice-president, south-east Asia at Advario, adds: “We are extremely excited with the expansion of JPTT’s terminal capacity and commissioning. This significant achievement will enhance our capacity to support our partners with efficient transportation and storage solutions, while also fostering a more interconnected and collaborative industry ecosystem by leveraging the pipeline connectivity of Jurong Island. By providing greater access to the improved infrastructure and resources, we can foster better collaboration and greater synergy among industry players on the island, establishing ourselves as a frontrunner in the region.” advario.com

40 STORAGE TERMINALS HCB MONTHLY | MAY 2023

The quarterly magazine from the Tank Storage Association

Also in this issue, we look at the UK Government’s new report, Powering Up Britain, skills in the bulk storage and energy infrastructure sector and nondestructive testing for above-ground storage tanks.

Tank storage provides an essential interface between sea, road, rail and pipeline logistics.

WHAT’S NEXT FOR THE BULK STORAGE AND ENERGY INFRASTRUCTURE SECTOR: IN CONVERSATION WITH PETER DAVIDSON
Summer 2023 Issue 14
10 TSA Tank Storage Associa on
Page

TSA

Insight is published by the Tank Storage Association, the voice of the UK’s bulk storage and energy infrastructure sector.

To contact the editorial team, please email info@ tankstorage.org.uk

TSA Insight Team

CONNECT WITH

@UK_TSA

US

Tank Storage Association

TSA

CONTACT

Tank Storage Association

Devonshire Business Centre Works Road

Letchworth Garden City

Herts. SG6 1GJ

United Kingdom

Telephone: 01462 488232 www.tankstorage.org.uk

TSA has used reasonable endevours to ensure that the information provided in this magazine is accurate and up to date. TSA disclaims all liability to the maximum extent permitted by law in relation to the magazine and does not give any warranties (including any statutory ones) in relation to its content. Any copying, redistribution or republication of the TSA magazine(s), or the content thereof, for commercial gain is strictly prohibited unless permission is sought in writing from TSA. Claims by advertisers within this magazine are not necessarily those endorsed by TSA. TSA acknowledges all trademarks and licensees.

Welcome to the summer issue of Insight. In March, the UK Government set out its plans to enhance energy security, seize the economic opportunities of the transition to climate neutrality, and deliver on its net zero commitments in a new policy paper titled ‘Powering Up Britain’. It also published a response to the independent review of its net zero strategy expressing agreement that decisive action is needed to seize the growth opportunity that net zero presents in the 21st century. In this issue of Insight, we explore emerging trends in the supply and demand of petroleum products, the strategic role of the bulk storage and energy infrastructure sector in the energy transition as well as the opportunities for industry as it looks to the future. I hope you enjoy this new edition of the magazine and don’t forget to follow us on social media for all our latest news.

Tank Storage Associa on
Peter Davidson, Jamie Walker, Nunzia Florio
@uk_ tsa

08 Ambient temperatures – are we at risk of becoming complacent?

An overview of the impact of changing local ambient temperatures on process safety.

14 An overview of nondestructive testing (NDT) for above-ground storage tanks

Non-destructive testing (NDT) is a set of techniques used to evaluate materials without causing damage to them.

17 TSA appoints new President and VicePresident

Wilma Kelly, HSE Director at Certas Energy, and Arun Sriskanda, Managing Director at Oikos Storage, have been appointed as President and Vice-President of the TSA.

18 Safe transfer systems made possible through continuous advancements in hose, connector and loading technologies

The Novaflex Group is committed to continuous advancement in hose, connector and loading solutions.

20 Contributing to the decarbonisation of the industry

Mobile emissions reduction services reduce hazardous industrial emissions and help industry on the path to climate neutrality.

23 Transport Committee report on fuelling the future

The House of Commons Transport Committee has published a new report as part of its inquiry into fuelling the future.

24 Unleashing your potential for the energy transition: a message from John Reynolds Safety leader, John Reynolds, discusses the opportunities of the energy transition and why he is driven to prepare candidates in this shifting landscape.

06 The importance of storage terminals in the renewable fuel supply
of
the importance of storage terminals in the renewable fuel supply
10 What’s next for the bulk storage and energy infrastructure sector TSA’s Executive Director, Peter Davidson, discusses emerging trends in the bulk storage and energy infrastructure sector in the UK. 13 Department for Energy Security and Net Zero
Powering
The Department for
Security and Net Zero has published its policy paper,
Up Britain’, setting out plans to secure the nation’s future
needs.
Page 14
chain Phil McEvoy, Managing Director
UM Terminals, discusses
chain.
publishes
Up Britain report
Energy
titled ‘Powering
energy
Contents

News:

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Online meetings and webinars

The following meetings will take place online:

• 18 May 2023: TSA Customs & Excise Expert Committee

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• 13 June 2023: TSA Sustainability & Energy Transition Comittee

The Tank Storage Association has launched a new Instagram account. Stay up-to-date with all our latest news by connecting with us @uk_tsa. Discover

• 27 June 2023: TSA Council

• 29 June 2023: TSA SHE Committee

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For more information on TSA’s meetings, write to info@tankstorage. org.uk

04 INSIGHT MAGAZINE
all the latest events of interest to the bulk storage and energy infrastructure sector by visiting www.tankstorage.
org.uk/events

2023 Tank Storage Conference & Exhibition

The Tank Storage Association’s Conference & Exhibition will return to the Coventry Building Society Arena on Thursday 21st September 2023.

The UK’s flagship event for the bulk storage and energy infrastructure sector provides one of the best opportunities for anyone interested in effective and safe bulk liquid storage operations to come together to share knowledge and network.

The conference programme once again will feature top keynote speakers from regulators and industry, as well as subject experts offering delegates thought-provoking discussions and thorough analyses on a range of key industry issues.

Delegates will get the chance to delve deeper into up-to-the-minute topics relevant to the bulk storage and energy infrastructure sector, including Net Zero priorities, the energy transition, climate change adaptation, biofuels and much more.

Peter Davidson, Executive Director of the Tank Storage Association, said: “Thisyear’seventallowsustoconsider latest innovations and developments in the bulk liquid storage industry, while also highlighting our focus on the future of the sector in the journey to climate neutrality. The tank storage industry is an essential part of the UK’s energy infrastructure, providing resilient, innovative and flexible solutions to the energy, industrial, transport and defence sectors. The industry has a key role to play in the

energy transition and in creating the necessary infrastructure flexibility to manage change in support of the UK’s net-zero goals. Terminals are also an essential part of global infrastructure networks, ensuring that bulk liquids, from transport and heating fuels, chemicals, animal feed and foodstuffs, are supplied when they are needed in the quantities required. As we look to the future, the Conference & Exhibition will provide us with an opportunity to hear from a panel of renowned experts about the challenges and opportunities for our sector against a complex and evolving landscape.”

Registration is now open for delegates. The TSA looks forward to welcoming members, exhibitors and delegates on 21st September 2023. To stay connected until then, please schedule a call with our conference organisers on 01462 488232 or write to info@tankstorage.org.uk.

For all the latest news and updates, follow us on LinkedIn, Twitter and Instagram. To register as a delegate, or book your exhibition stand, visit www.tankstorage.org.uk/conferenceexhibition.

05 Issue 14
In focus

THE IMPORTANCE OF STORAGE TERMINALS IN THE RENEWABLE FUEL SUPPLY CHAIN

Bulk storage terminals play a critical role in the supply chain of renewable fuel production by providing a central location for the storage, blending, and distribution of fuels. These terminals are typically located near transportation hubs such as ports, rail yards, and highways, allowing them to efficiently receive and distribute renewable fuels to end-users. In the context of renewable fuel production, bulk storage terminals are particularly important enabling the efficient storage and distribution of biofuels, which have different properties than traditional petroleum fuels. Biofuels, such as ethanol, Hydrotreated Vegetable Oils (HVOs) and biodiesel, are typically produced in different locations and require specialised storage and handling equipment to ensure their quality and safety.

Bulk storage terminals can also play a key role in the blending of renewable fuels with traditional petroleum fuels, such as gasoline and diesel. This can help to increase the overall use of renewable fuels and reduce greenhouse gas emissions.

For example, ethanol can be blended with gasoline to create a fuel blend known as E10, which contains 10% ethanol and is commonly used in many countries. Similarly, HVO is a drop-in replacement to Ultra-low sulphur diesel, requires no blending with mineral diesel and offsets greenhouse gas emissions by 90%. In addition to their storage and blending functions, bulk storage terminals can also provide a range of value-added services to their customers, such as fuel testing, quality control, and transportation logistics. By offering these services, bulk storage terminals can help to reduce costs and improve efficiency throughout the supply chain.

UM Terminals is taking its valueadded services one step further by offering the pre-treatment of biofuel feedstocks. Used cooking oil (UCO) and rendered animal fat are by far the most abundant raw materials to produce HVO and biodiesel in the UK. Our storage terminals act as a consolidation and pre-treatment hub for these materials for several fuel producers that operate globally. Pre-treatment of UCO and tallow is an important step in the production of biofuels helping to improve the quality, reduce shipping costs and improve yield of the final product.

UCO and tallow can contain impurities such as food particles, water, and other contaminants, which can affect the quality of the biofuel. Filtering the oil through a series of screens

06 INSIGHT MAGAZINE
Phil McEvoy, Managing Director of UM Terminals, discusses the importance of storage terminals in the renewable fuel supply chain. Phil McEvoy, Managing Director, UM Terminals

and filters can help to remove these impurities and ensure a cleaner, more consistent feedstock. Heating these materials and settling the water impurities also means that the exported materials contain no water solids which reduces shipping costs and helps biofuel refineries be more efficient in increasing product yield. Overall, pre-treatment of UCO and tallow is an important step in the production of high-quality biofuels. By removing impurities, reducing free fatty acids (FFA), and increasing the stability of the oil, pre-treatment can help to improve the yield, efficiency, and quality of the final product. Due to its experience in this area, UM Terminals is seeing a sharp increase in enquiries for its biofuels services, driven by the looming 2030 deadline for the phasing out of new diesel vehicles and the UK government’s 2050 target to reach net-zero carbon.

UM Terminals, which has its head office in Liverpool, is ideally positioned to support the varied requirements of its customers, including some of the world’s largest blue-chip organisations, from its network of eight terminals strategically located across the UK. The business has a current capacity of over 300,000 cubic metres of bulk liquid storage, but with an ambition to increase this to around 400,000 cubic metres. The UM Terminals’ portfolio consists of a broad portfolio of around 40 products including vegetable oils, industrial, food and feed, chemical, fertiliser, fuels, biofuels and base oils.

Value-added services include biofuel feedstock pre-treatment, blending, water dilution, product packing, HMRC bonded warehouse and COMAH compliance. UM Terminals, which is part of the United Molasses Group, prides itself on delivering a customercentric approach. One aspect of this is our Client Central Services team, headed by Lynn McCoy and based out of Regent Road in Liverpool, providing a service that integrates all weighbridge and administration from across UM’s terminals. A dedicated portal gives clients instant access to essential weighbridge documentation and current stock levels for each tank. They also have a secure log-in and can access their data 24/7, 365 days a year via a desktop, tablet or mobile device.

Equally important is ensuring that the business is meeting the labyrinth of quality standards and industry accreditations. UM Terminals has recently undergone an intensive programme of external audits – the first time in over two years that on-site audits had been possible due to the Covid-19 pandemic. Responsibility for preparing for these and other audits rests with Jo Winning, UM Terminals’ Quality, Performance & Development Manager, along with Karl Pass, our National Operations Manager. Audits carried out include the Universal Feed Assurance Scheme [UFAS], FSSC 22000, the certification scheme for Food Safety Management Systems, for its Regent Road and Gladstone Dock sites, and the Halal certification

for Regent Road. The company’s ISO 9001:2015 quality management accreditation was also audited.

Whatever the sector or products, ensuring that UM Terminals continues to innovate, evolve its capabilities and meet and exceed the high standards expected of our industry is vital if we are to maintain our position as one of the leading providers of bulk liquid storage. This is why our team is never willing to rest on its laurels. Our customers come to us with a range of demands, sometimes enabling them to secure further strategic growth and sometimes to meet supply chain challenges necessitating a rethink in the storage provision to ensure business continuity and future resilience.

We are committed to enabling our customers to grow with us and we pride ourselves on our adaptability and, where appropriate, willingness to invest to ensure that the facilities clients require are best-in-class.

About UM Terminals

UM Terminals is part of the United Molasses Group. The Group’s other services include the international trading of molasses, the sales and distribution of molasses and the procurement and marketing of vegetable oils for use in the animal feed industry.

For more information, please visit www. umterminals.co.uk

07 Issue 14

AMBIENT TEMPERATURES –ARE WE AT RISK OF BECOMING COMPLACENT?

When it comes to process safety and the containment of hazardous substances, temperature is an important factor which requires management and control to ensure accidents such as pool fires and flash fires don’t occur.

In the UK, when asked about potential risk factors leading to hazards, ambient temperature may not initially spring to mind, but with the dynamic and unpredictable nature of today’s climate showing no signs of calming, it is important that we are aware of what can go wrong and where we might need to change our approach to stay on top of these changing temperatures, both high and low. Highs of 40 degrees Celsius were experienced in summer 2022.

How can climate change introduce new hazards?

The general trend with climate change is average air temperatures increasing slowly but surely, but one thing that will remain the same is the flash points (the lowest liquid temperature at which, under certain

standardized conditions, a liquid gives off vapours in a quantity such as to be capable of forming an ignitable vapour/air mixture) of the substances being handled. This leads us to think about the potential inevitability of ambient temperatures reaching, and eventually surpassing, the flash points of these substances. For example, Jet A1 has a flash point of 38 degrees Celsius, which usually rules flash fires as non-credible in the UK but we have seen ambient temperatures exceed these levels in recent times. This risk is not exclusive to Jet A1, and leaves us with the task of preparing for greater average temperatures down the line.

How much of a threat is an increase in ambient temperature?

If ambient temperatures on site reach the flash point of a substance handled, this doesn’t necessarily mean that a fire or explosion is going to follow, due to several factors. For instance, using Jet A1 as an example again, ambient temperatures may only exceed 38 deg. C for a couple of hours during the day, and during a heatwave temperatures may only rise to these levels for a couple of consecutive days, whereas it would take some time for the entire volume of the liquid in a bulk storage tank to reach the highest air temperature due to the bulk thermal capacity of the liquid. Other factors that retard the storage temperature reaching the flash point include receipt via buried pipelines which is maintained at a low temperature, and the turnover of the liquid in the bulk storage tank.

08 INSIGHT MAGAZINE
With the climate becoming increasingly difficult to accurately predict, it is essential that we are aware of new hazards it can present us with.

These factors contribute towards a low likelihood of liquids with moderately high flash points reaching these temperatures, but in the world of safety, anything that isn’t impossible should not be brushed under the carpet. The typical review cycle for risk assessment within industry is 5 years. Therefore, with climate change, it is important that sites don’t just base their assessments on the current climatic state, but also account for predicted changes that may occur within the following 5 years, and even further into the future. Alongside this, sites need to be aware that different procedures can lead to liquids having the potential to heat up and reach their flash point more readily. Using airports as an example, sampling of fuel via small diameter pipework could lead to volumes of fuel to sit within pipework where it can heat up faster. Because liquids aren’t always stored in large tanks in which ambient temperatures would take some time to be reached, it is important to recognise all equipment and processes at the site in question and understand the potential risks and act accordingly.

What can we do in response to changes in ambient temperature?

With temperatures rising, will every site be required to install new equipment to handle more flammable substances? In reality, this is an excessive measure to implement at this moment in time, and a less conservative approach can be taken. An automated alert system

could notify workers when ambient temperatures around liquids are reaching potentially dangerous levels. This could subsequently trigger workers to carry out safer procedures, as part of a pre-planned emergency response, which all workers will be aware of and prepared for.

With the climate becoming increasingly difficult to accurately predict, it is essential that we are aware of new hazards it can present us with, as well as how we can be well equipped to adapt to these hazards, both temporary and permanent. Existing industry standard hazard study and risk assessment techniques can be easily applied to consider the effects climate change can introduce.

About RAS Safety Consultants

RAS Ltd is an independent firm of risk specialists established in 1993. RAS are founded on a set of simple principles: recruit the best people in the industry, only work in our areas of expertise, and work with our clients, not for them. It’s an approach that has seen them grow from being a handful of specialists in the North West to a rapidly developing company working with the leading companies in the oil & gas, pharmaceuticals and specialist chemical sectors across the world. The RAS team has worked on some of the biggest and most influential projects in the industry, and continues to expand their specialist knowledge.

For more information, please visit www.ras.ltd.uk

09 Issue 14

WHAT’S NEXT FOR THE BULK STORAGE AND ENERGY INFRASTRUCTURE SECTOR

The TSA represents the interests of over 60 member companies engaged in bulk storage, energy infrastructure and the provision of products and services to the sector. Collectively, its members operate 302 terminals and distribution hubs in the UK and have over 11 million cubic metres of storage capacity in the United Kingdom (UK) and Republic of Ireland (ROI). TSA’s members provide and support an essential interface between sea, road, rail and pipeline logistics for many different substances including transport and heating fuels, chemicals, animal feed and foodstuffs.

Storage capacity is a strategic asset and the bulk storage and energy infrastructure sector plays a vital role in providing services that are critical to the UK consumer. Tell us more about the role of the sector in this context.

Tank storage is an essential part of commodity trading and storage terminals improve the flexibility of supply chains. Terminals may either store single products or multiple

products within a single facility and can provide supplementary services such as blending, packaging, canning, drum filling, water treatment and analysis, warehousing, as well as bonded facilities for duty suspended products. Terminal operations are present throughout the world. However, storage hubs have become established in Europe – representing 30% of the world capacity for bulk liquid storage - the United States, Middle East and Asia to provide the necessary storage required for global commerce in bulk liquids. These vital facilities also provide greater resilience within the supply chain by ensuring flexibility to meet demand, particularly in periods where domestic supplies of stored products cannot be guaranteed.

Our members operate a variety of terminals across the UK and the Republic of Ireland, storing both hazardous and non-hazardous liquids (and in some cases gases). Around twenty-two of these terminals are designated by HM Government as Critical National Infrastructure (CNI). Storage capacity also includes strategic reserves held for emergencies and supply disruptions.

Terminals also improve the flexibility of the entire supply chain and its ability to respond to market fluctuations by helping to balance out supply and demand and ensuring that critical products are supplied when they are needed in the quantities required.

Terminals are distributed throughout

10 INSIGHT MAGAZINE
TSA’s Executive Director, Peter Davidson, discusses emerging trends and developments of interest to the bulk storage and energy infrastructure sector in the UK.
Peter Davidson. Executive Director, Tank Storage Association

the UK, in strategic locations, with clusters in the North East and Thames Estuary. The transport energy system’s strategic flexibility is heavily reliant on the bulk liquid storage sector, with fuels and hydrocarbon derivatives currently accounting for over 65% of tonnage throughput1. In addition, UK demand for diesel and aviation fuel is heavily supported by imports via the bulk liquid storage sector owing to a misalignment between UK production and domestic demand. Also, several regions across the UK, such as the South East and North East of England, are particularly reliant on imports of transport fuels by ship, a large proportion of which are imported from the ARA (AmsterdamRotterdam-Antwerp) trading hub.

What trends are emerging with regard to the supply and demand of petroleum products?

While the UK’s import supply chain is designed to react quickly to market demands, this demand may be more volatile in the future due to geopolitical challenges. For example, Russia was the second most important source of refined petroleum products in 2021 after the Netherlands and, with regard to diesel specifically, it represented around 34% of all imports and 20% of total UK supply of diesel during the same year2. As of 5th December 2022 and 5th February 2023 respectively, the UK has banned the import of Russian oil and oil products, and has further banned UK services including finance, insurance, and shipping from enabling the

seaborne transport of Russian oil and oil products globally. In coordination with the G7 and Australia, it has also created a price cap exception to the services ban permitting the maritime services sector to continue facilitating the transport of Russian oil and product by sea to and between third countries, if sold at or under an agreed price (the ‘price cap’). At the same time, according to the IEA3 global oil demand is set to rise by 1.9 mb/d in 2023, to a record 101.7 mb/d, with nearly half the gain from China following the lifting of its Covid restrictions. In addition, product markets, especially diesel, are considered to be most at risk as demand growth recovers4

Analysts have reported that global refineries, such as those in the Middle East, have capacity to increase diesel production. However, this means that supply chains will become longer, with subsequent greater reliance on long range large vessels (LV) for product movement. The UK is less well equipped to handle LVs compared to the ARA trading hub which, in turn, is expected to maintain its dominance as a storage hub but may seek to fulfil EU demand as a priority. Of the top 15 average import terminals and refineries in the UK, only eight are capable of LV imports. With an increase in global demand, competition within Europe, and limited LV jetty capability, there will be greater focus on supply according to vessel handling capabilities of import terminals, and greater buffering of

inventories will therefore be required. With regard to strategic stocks, the UK, as a member of the International Energy Agency, is bound by International Energy Agency oil stocking obligations for 90 days of net imports of oil both held in tanks, or national tickets on stock. These strategic reserves ensure that recovery is possible during periods of disruption in supply and provide stability to the global oil market. And the bulk storage and energy infrastructure sector is an essential part of this. It is critical for the UK to ensures that it maintains sufficient domestically located stocks due to the inevitability of changing product flows and to provide the necessary buffering to mitigate against fluctuations due to uncertain supply routes. It is also crucial that considerations focus on resilience measures that may be required for new energy carriers, therefore ensuring domestic security of supply whilst reducing reliance on potentially unstable international sources.

The UK government has recently published an independent review of its net zero strategy. Tell us more. Earlier this year, the UK Government published former Energy Minister Chris Skidmore MP’s independent review into its strategy for achieving net zero by 2050. Titled “MISSION

ZERO - Independent Review of Net Zero5”, the report highlights the need for a “long-term, stable investment plan” in the context of a pro-grow, pro-business transition. In line with

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the review’s findings, the bulk storage and energy infrastructure sector has been clear that a long-term and stable policy background is essential to engender investor confidence. This approach will avoid delays caused by the lack of transitional infrastructure and provide the resilience and security of supply needed. Expanding storage capacity is a lengthy process that varies by the size of tank and permitting. The bulk liquid storage industry is also capital intensive and the fixed cost element of running bulk liquid storage terminals is very high. The sector employs highly trained specialised personnel in order to meet ongoing safety and environmental standards and regulatory requirements, and invests heavily in the latest technology. It is therefore critical that investors have confidence in the policy and legislative framework in place.

Recommendations in the report include developing a cross-sectoral strategy, by 2025, to support the building and adaptation of infrastructure for electricity, hydrogen, CO 2 and other networks that support the green economy, and reforming planning rules. The review also calls on the government to publish the Low Carbon Fuels Strategy in 2023 and the necessary legislation for the sustainable aviation fuels (SAF) mandate to apply from 2025. It further sets out that the government should continue to work with industry to lay out a clear programme by 2024 to accelerate decarbonisation of the wider freight sector through modal shift and deployment of new technologies, building on the Future of Freight Plan which was published in July 2022. The Tank

Storage Association will continue to work with the government and other stakeholders to help to deliver on the opportunities highlighted in the review.

References

1. Tank Storage Association, Annual Review 2022, available: www. tankstorage.org.uk/mediacentre/publications/

2. Department for Energy Security and Net Zero, ‘Energy Trends: UK oil and oil products’, tables 3.4 and 3.14, available: www.gov.uk/ government/statistics/oil-andoil-products-section-3-energytrends

3. IEA (2023), Oil Market ReportJanuary 2023, IEA, Paris, available: www.iea.org/reports/oil-marketreport-january-2023

4. Ibid.

5. Department for Energy Security and Net Zero (2023), ‘Mission Zero: Independent Review of Net Zero,’ available: www.gov. uk/government/publications/ review-of-net-zero

Author Peter Davidson is TSA’s Executive Director and is responsible for all aspects of advocacy and lobbying on behalf of the sector, and for promoting process safety leadership, helping members achieve excellence in this area and work toward becoming high reliability organisations. Peter works in close collaboration with the UK Government and Regulators and is a leading member of a number of cross-industry committees, Process Safety groups and the Federation of European Tank Storage Associations.

12 INSIGHT MAGAZINE

Department for Energy Security and Net Zero publishes Powering Up Britain report

On 30th March, the Department for Energy Security and Net Zero (DESNZ) published its policy paper, titled ‘Powering Up Britain’, setting out government’s plans to enhance Great Britain’s energy security, seize the economic opportunities of the transition to climate neutrality, and deliver on its net zero commitments. The DESNZ also published the government’s response to the recommendations made in the Independent Review of Net Zero, led by former Energy Minister Chris Skidmore MP, expressing agreement that decisive action is needed to seize the growth opportunity that net zero presents in the 21st century. To meet the ambitions set out in the ‘Powering Up Britain’ policy paper, the DESNZ will aim to deliver:

• Energy security: setting the UK on a path to greater energy independence.

• Consumer security: bringing bills down, and keeping them affordable, and making wholesale electricity prices among the cheapest in Europe.

• Climate security: supporting industry to move away from expensive and dirty fossil fuels.

• Economic security: playing our part in reducing inflation and boosting growth, delivering high skilled jobs for the future. New measures to tackle UK emissions include the introduction of a zero-emission vehicle mandate

which would require that from 2024 an increasing percentage of manufacturers’ new car and van sales are zero emission, and a new Green Finance Strategy. The government has also indicated its commitment to carbon capture, utilisation and storage (CCUS), announcing that eight projects have been chosen to proceed to the next stage of support negotiations. It further announced that fifteen hydrogen projects have progressed to the next application round for funding under the £240m Net Zero Hydrogen Fund. Ambitions also include that of ramping up nuclear capacity to up to 24GW by 2050, developing up to 50GW of offshore wind by 2030, quintupling solar power by 2035 and phasing out all new and replacement natural gas boilers by 2035 at the latest. A revised set of energy national policy statements for consultation, covering overarching energy, renewables, electricity networks, gas generation, and pipelines, will be published in due course.

The ‘Powering Up Britain’ report can be accessed at www.gov.uk/ government/publications/poweringup-britain. The report acts as an introduction to ‘Powering Up Britain: Energy Security Plan’, and ‘Powering Up Britain: Net Zero Growth Plan’, both of which are complementary and should be read alongside each other.

Issue 14 13
News

AN OVERVIEW OF NON-DESTRUCTIVE TESTING (NDT) FOR ABOVE-GROUND STORAGE TANKS

Non-destructive testing (NDT), also known as non-destructive examination (NDE) or non-destructive inspection (NDI), is a set of techniques used to evaluate materials without causing damage to them. This process involves inspecting, testing, or evaluating materials of components or assemblies for discontinuities or differences in characteristics without destroying the serviceability of the part or system. In other words, when the inspection or test is completed, the part can still be used. Non-destructive testing is a common practice in fuel storage to detect and assess potential problems like corrosion, stress, cracking and pitting in fuel tanks and pipework. By recognising potential issues, it is possible to take preventive action or replace the tank before any spills or leaks occur. The goal of non-destructive testing is to ensure that critical infrastructure is properly maintained in order to avoid catastrophic accidents.

Early adoption of good nondestructive testing procedures saves time, money and reputation

Non-destructive testing is a costefficient and reliable method of

performing essential inspections of your fuel systems without causing any harm or destruction. This prevents your assets from being damaged in the process of inspection and provides peace of mind that the risk of any contaminants to the environment has been minimised. Implementing a detailed non-destructive testing process can help you to:

• Reduce downtime of your operations while keeping you compliant.

• Remain compliant with EEMUA 159 and API 653 guidance.

• Lower maintenance costs in the longer term.

• Adopt best working practices with safety as top priority.

• As soon as a storage tank is built and installed, a comprehensive maintenance cycle should start. This consists of regular visual inspections, and implementing planned preventive maintenance to keep the tank and containment to the required condition.

Based on these inspections and established non-destructive testing results, calculations are made for the remaining lifetime of your storage tank. By implementing the correct maintenance and inspection regimes, the lifecycle of your tank can potentially be prolonged.

Convenient, accurate and sustainable

Non-destructive testing can detect flaws and differences in materials that negate the need to employ destructive

14 INSIGHT MAGAZINE
Non-destructive testing (NDT) is a set of techniques used to evaluate materials without causing damage to them.

methods. This makes testing of fuel storage tanks convenient, accurate and sustainable - elements that other methods of testing don’t offer.

Non-destructive testing can aid in the early detection of stress points and wear and tear before failure happens, prolonging the lifespan of your resources. This significantly lowers the likelihood of interruptions due to problems with storage tanks.

Carrying out non-destructive testing on your storage tanks can provide trend-based information on deterioration, helping to predict where the worst issues might be found and successfully prevent a pollution incident.

Complying with EEMUA 159 and API 653

Staying compliant and following regulations is essential. A planned non-destructive testing schedule can prove compliance with the guidance established in EEMUA 159 and API 653 standards.

The guidance in EEMUA 159 and API 653 covers above-ground, flatbottomed storage tanks and details the inspection, maintenance, and repair of these storage tanks. It offers guidance on the inspection and maintenance of tanks built to BS, EN or API standards for the storage of petroleum.

These world-renowned standards define the best engineering practices

for safe and effective tank storage operations. Following them and implementing their suggested strategies can give you peace of mind that your fuel storage tank and infrastructure is in sound operational condition. Various methods of nondestructive inspection can be used without causing disruption, allowing businesses to keep their vital infrastructure functioning without interruption.

The Health and Safety Executive (HSE) recommends that non-destructive testing on fuel storage tanks is carried out at least every 10 years, depending on the last inspection or inspection report, or when the tanks were built.

External inspections

API 653

All tanks shall be given a visual external inspection by an authorised inspector. This inspection shall be called the external inspection and must be conducted at least every 5 years, or the quarter corrosion rate life of the shell. Tanks may be in operation during this inspection.

EEMUA 159

According to table B.3, external inspections range from 1-year to 15year intervals. Factors include climate and type of product stored in the tanks. For example:

• Crude oil and refined products with no internal liner - 5 years

• Finished products with internal liner - 8 years

• Jet A with internal liner - 10 years

Internal inspections

API 653

Based on the bottom corrosion rate, not to exceed 20 years.

EEMUA 159

According to table B.3, internal inspections range from 3-year to 20year intervals. Factors include climate and type of product.

Different methods of nondestructive testing for different materials

Each method of non-destructive testing uses a different technique to examine the subject material.

Visual testing

Visual testing is a widely-used form of non-destructive testing that involves examining a specimen to see if any issues are visible without needing to cause damage. This is a great way of spotting corrosion, cracks, welding defects, deformation, and more.

In cases where it is not possible for an inspector to access hazardous or hard-to-reach areas, drones are often employed instead.

Ultrasonic testing (UT)

Ultrasonic testing is a technique used to examine the internal structure of materials by sending high-frequency sound waves through the material in order to measure the reflected response. It covers a wide range of frequencies, usually between 500 KHz and 50 MHz. This method can be used to discover characteristics of the

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material such as its thickness, density, and composition, as well as any flaws, cracks, or other defects. There are different types of ultrasonic testing, such as pulse-echo testing, immersion testing, guided wave testing, and phased array ultrasonic testing.

Magnetic flux leakage (MFL)

Magnetic flux leakage is a magnetic method of non-destructive testing that is used to detect corrosion, pitting and wall loss in steel structures. It is commonly used for inspecting storage tank floors in the petrochemical industry, but can also be used on pipeline inspections.

This approach involves utilising a strong magnet to generate a magnetic field that saturates metal structures like storage tanks and pipelines. Sensors are then used to identify magnetic flux leakage, which could be a sign of wear caused by pitting, erosion, or corrosion.

Liquid penetrant testing (PT)

Liquid penetrant testing is designed to detect any surface-level flaws. The process involves applying a lowviscosity liquid to the area in question and wiping away any excess. After a period of time, a special developer is applied that allows the penetrant to be drawn up to the surface. The specimen is then left to sit for a predetermined amount of time to allow the developer to take effect. A visual check can be done to see if the dye is present. For fluorescent dyes, ultraviolet light is necessary to detect it.

Magnetic particle testing (MT)

Magnetic particle testing utilises

magnetic fields to detect imperfections close to the surface of ferromagnetic materials. These fields can be generated either with permanent magnet or by running an electric current through an electromagnet.

Any cracks in the object being examined are made visible by the leakage of the magnetic flux lines, and this can be detected by using magnetic particles that are drawn to the surface.

Electromagnetic testing (ET)

Electromagnetic testing (eddy current testing) is carried out using a specially designed coil that is energised with an alternating current that creates a changing magnetic field surrounding the coil. The coil is placed within the proximity of a test surface, where the changing magnetic field permeates the conductive material.

Eddy current testing can used for crack detection on coated welds and for determining the thickness of nonconductive coatings.

Our team are ready to help Non-destructive testing is a widely-used, beneficial method for businesses to assess the characteristics of items, components, constructions, or systems without doing any harm. There are several types of NDT available depending on the scenario.

The advantages of non-destructive testing in terms of efficiency, costeffectiveness, and safety are causing it to become the preferred choice for uncovering flaws in fuel storage and infrastructure.

With inspectors certified to EEMUA 159 and API 653 standards, our specialist tank integrity inspection team are able to provide nondestructive testing services for your storage tanks.

About Adler and Allan

Our tank services include inspection, tank and line testing, nondestructive testing, cleaning and decommissioning of any storage tank type, in any sector including MoD, data centres, forecourts, utilities, rail and chemical sectors.

The expertise we bring prolongs the life of your tank, protecting your fuel from contamination and degradation, no matter what its purpose or capacity.

Ensuring compliance with structural integrity and inspection regulations, our experts are also EEMUA 159 accredited, members of OFTEC and the Water Jetting Association and have confined space entry qualifications.

For more information, please visit www.adlerandallan.co.uk

16 INSIGHT MAGAZINE

TSA appoints new President and Vice-President

Wilma Kelly, HSE Director at Certas Energy, has been elected as the new President of the Tank Storage Association, the trade association representing all aspects of the UK’s bulk storage and energy infrastructure industry. Wilma succeeds Adrian Jackson, Chief Executive of the Oil and Pipelines Agency.

Arun Sriskanda, Managing Director at Oikos Storage, has been elected to the position of Vice-President, and will also join the Board of Directors of the TSA.

The Presidency and Vice-Presidency transferred at the TSA’s Annual General Meeting, which was held on 29th March 2023.

Wilma Kelly said: “I am honoured to take on the role of President of the Tank Storage Association and I would like to thank Adrian Jackson for all his hard work, dedication and support over the past two years. I look forward to building on his success and taking the Association forward. The Tank Storage Association plays a leading role in several industry, regulatory and Government forums and works to ensure that members’ interests are at the top of the agenda. My priorities will be to continue to boost our connections whilst championing the value and benefits of this vital industry. I will be focusing on supporting the energy transition and ensuring the skills and resources

for the future, particularly at a time of transformational progress for our sector.”

Arun Sriskanda said: “I am delighted to be taking on the role of Vice-President at this important time for our sector. I look forward to working together with the Association’s membership on the issues that matter most to us and helping to deliver the exciting new initiatives we are setting out for the months and years ahead. Thank you for the warm welcome from the existing TSA Board Members.”

About the Tank Storage Association

The Tank Storage Association (TSA) represents the interests of over 60 member companies engaged in the storage of bulk liquids and the provision of products and services to the sector. Collectively, its members operate 302 terminals and distribution hubs in the UK and have over 11 million cubic metres of storage capacity in the United Kingdom (UK) and Republic of Ireland (ROI). TSA’s members provide and support an essential interface between sea, road, rail and pipeline logistics for many different substances including transport and heating fuels, chemicals, animal feed and foodstuffs.

For more information, please visit www.tankstorage.org.uk

Issue 14 17
News

SAFE TRANSFER SYSTEMS MADE

latest material, design and flow optimization techniques, ultimately delivering significant improvements in real world performance.

AND LOADING TECHNOLOGIES

The Novaflex Group is committed to continuous advancement in hose, connector and loading solutions.

The Novaflex Group® is a privately held company committed to continuous advancement in hose, connector and loading solutions through innovation, design excellence and strategic partnership.

Headquartered in Ontario, Canada, with advanced manufacturing facilities in Canada, USA and the UK, Novaflex® - under its Novaflex Safe Transfer Systems (Novaflex STS) banner - focuses on providing the safest and most reliable transfer products available.

Novaflex® draws upon decades of joint experience in the design and application of Dry Release Coupling while still ensuring interchangeability with other systems conforming to N.A.T.O., STANAG, CEFIC and others, to maintain no costly product redundancy.

Having studied industry-wide products, the opportunity was seized to design out all the potential negative elements and further use the experience to incorporate the

The result was the Novaflex Hi-Flow Dry Release Coupling (HDC)® which features increases in flow rates/ reduction in pressure drop, with most sizes showing more than 30% improvement compared to traditional designs whilst providing dramatic increases in pressure connection performance as well as reduced maintenance and increased servicing ease.

Novaflex® has also been busy in further developing the Uni-Chem® Composite hose range, manufactured across three sites in Canada, USA and the UK - a truly major global supplier.

Major investments have been made within the group to increase capacity, in-house testing and compliance capabilities as well as bringing some industry innovations such as NovaGlow™ to the market.

Nova-Glow™ patented technology is a photoluminescent safety option available across the complete composite hose range. The NovaGlow™ luminescent marker runs the length of the hose, offering both hazard identification and safety benefits at night or in reduced light/ visibility conditions.

Typically, this could be employed on Ship/Shore, Dockside and Road/Rail

18 INSIGHT MAGAZINE
POSSIBLE THROUGH CONTINUOUS ADVANCEMENTS IN HOSE, CONNECTOR
JLA® Loading Technology Marine Loading Arm

tanker loading stations, especially in areas where contractors or thirdparty personnel are present who may be unfamiliar with the location. The luminescent marker only requires minimal light exposure to glow through the night-time hours, it is non-toxic and designed to perform for the reasonable service life of the hose.

Novaflex® Composite hoses are manufactured up to 12” inside diameter, making Novaflex® one of very few manufacturers to produce such a size range and in compliance with industry standard EN 13765:2018.

In North America, Novaflex® are proud to partner with and represent JLA® Loading Technology Marine Loading Arms, Hose Towers, Hose Reels including a comprehensive range of safety/high efficiency accessories, bringing decades of engineering and service experience for critical marine loading and bunkering equipment to the industry.

About Novaflex

The Novaflex Group® is a privately held company committed to continuous advancement in hose and connector solutions through innovation and design excellence backed by rigorous product proof testing regimes.

To learn more about Novaflex Group®, , visit www.novaflex.com

Issue 14 19
HDC with Uni-Chem™ Composite Hose. Nova-Glow™Composite Hose. The Nova-Glow™ luminescent marker runs the length of the hose, offering both hazard identification and safety benefits at night or in reduced light/ visibility conditions.

CONTRIBUTING TO THE DECARBONISATION OF THE INDUSTRY

Protecting the environment and stopping increasing global warming are important goals that all parts of society need to contribute to –individuals as well as the economy. Decarbonisation plays an important part for reaching these goals. Decarbonisation describes all measures that are taken to reduce the global carbon footprint – greenhouse gas (GHG) emissions that result from human activity need to be reduced as they heavily impact environment and human health when they get into the atmosphere. Foremost among those hazardous GHG emissions are carbon dioxide (CO2) and methane (CH4).

In the Paris Agreement made in 2015, 194 nations agreed on the 1.5° Celsius goal. In 2019, 27 European states challenged themselves to be net zero with their emissions and to become climate-neutral by 2050. In other words, by then no greenhouse gas emissions are to be emitted that are not otherwise compensated. By reducing emissions as much as possible and compensating any remaining emissions, governments

as well as industry have set goals and made commitments to reduce carbon emissions. In order to reach the ambitious goal of climate neutrality, all areas of daily life must contribute and reduce their emissions. For example, industry is to further modernise technologies in order to pollute less. There is also a shift towards alternative, greener technologies, fuels and energy sources such as green ammonia, hydrogen or LNG. While progress is being made, more must still be done.

Why it is important to reduce industrial emissions

Having said that, economy and industry worldwide are still major causes for greenhouse gas emissions, for example by burning fossil fuels. It is of uttermost importance for industrial facilities to take action in order to further reduce their emissions and reach the climate goals. For example, hazardous hydrocarbon, VOC (volatile organic compounds) and HAP (hazardous air pollutants) emissions develop in many industrial operations. When they get simply vented into the air, they harm environment and human health at the same time. For example, hazardous emissions develop in operations like tank cleaning, loading procedures, turnarounds and shutdowns, commissioning and decommissioning, and in emergency situations. Therefore, it is important that dangerous emissions caused by industrial processes are immediately treated and are not just vented into the atmosphere. ENDEGS

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Mobile emissions reduction services reduce hazardous industrial emissions and help the industry on the path to climate neutrality.

offers various services to address just this. Applying the innovative ENDEGS technologies for mobile emissions reduction contributes to decarbonisation and helps industrial facilities to significantly mitigate hazardous emissions. The ENDEGS services are environmentally-friendly, sustainable and specialise in the effective elimination of VOC and HAP emissions from venting and flaring within the oil, gas, chemical and petrochemical industry. Our innovative emissions reduction services include mobile degassing, mobile vaporizers with nitrogen tanks and the remotecontrolled ATEX Zone 0 robot as a rental service.

How ENDEGS can support industrial facilities in decarbonisation ENDEGS developed the first portable vapor incinerator worldwide and enabled mobile emissions treatment for the very first time. With over 1,400 successfully completed projects all around the world, ENDEGS is an expert in the effective reduction of industrial emissions.

The innovative vapor combustion units (VCU) are capable of burning all kinds of gases, gas compounds and vapors of the hazard groups IIA, IIB and IIC and make ENDEGS the only company operating in Europe that is able to do so with a combustion rate of over 99.99 % and no open flame. ENDEGS VCUs are ideally suited for the degassing of all types of tanks, containers,

Issue 14 21
We are proud to be among the 100 most innovative mediumsized companies in Germany as we have received the TOP innovator seal 2023. Applying the innovative ENDEGS technologies for mobile emissions reduction contributes to decarbonisation and helps industrial facilities to significantly mitigate hazardous emissions.

pipelines, barges, ships, vacuum trucks and all other components used in industrial facilities. Furthermore, they are capable of temporarily replacing vapor recovery units (VRU) in refineries during downtimes. While the ENDEGS units operate, downtimes of facilities are reduced to a necessary minimum and daily operations can continue with only minimal interference.

Nowadays, industrial degassing has become a standard. The challenge now is to adapt technologies to enable wider areas of application. For example, the range of products our customers in the different industries work with are constantly changing. As already mentioned, there is a notable increase in more sustainable products like green ammonia or LNG in order to contribute to decarbonisation. However, those products are more complex to work with as they are highly flammable. Therefore, we now offer the ENDEGS nitrogen services. The ENDEGS fleet of mobile vaporizers with nitrogen tanks can be used to purge and render insert systems and system components containing flammable liquids and gases. ENDEGS also offers the rental of the ATEX Zone 0 robot. The robot is remote-controlled and makes the cleaning of industrial tanks safer as it can be operated from a safe distance. Due to its small size and mobility, the ATEX Zone 0 robot can be used in many industries for a wide variety of materials. It is controlled via two joysticks and a monitor shows every movement in real time.

All ENDEGS services are available individually or in combination to offer customers an all-in-one package to

reduce their emissions. With offices in Germany, France, the Netherlands and Saudi Arabia, ENDEGS operates internationally.

Innovation is the basis for effective decarbonisation

As the example of green ammonia and LNG shows, it is important to always adapt the current technologies in order to make them suitable for new fields of application. This is why we have made innovative processes a priority. In our daily work, we always listen to our customers and their specific needs in order to improve our portfolio.

We are proud to be among the 100 most innovative medium-sized companies in Germany as we have received the TOP innovator seal 2023 – for the third year in a row! Furthermore, ENDEGS recently took part in an innovative competition for decarbonisation in Malaysia. Under the slogan Race2Decarbonise, we were chosen as one of 32 companies to personally present our technologies in Kuala Lumpur. The competition was hosted by a major Malaysian oil company in order to work more closely with companies offering sustainable emissions reduction services. ENDEGS finished the Race2Decarbonise in a top 20 position out of initially 500 participants with more than 3,000 ideas.

Watch out for our article in the next TSA Insight Magazine edition with more details and exemplary calculations.

For more information, please visit www.endegs.com

22 INSIGHT MAGAZINE

Transport Committee report on fuelling the future

On 2nd March, the House of Commons Transport Committee published a new report as part of its inquiry into ‘fuelling the future’. The inquiry set out to examine how the Government could meet its aims for transport decarbonisation, what the best fuel choices for each mode are, and what further steps the Government should take to achieve its aims. In its report, the Committee concludes that Sustainable Aviation Fuels (SAF) are the most viable option for the immediate reduction of aviation emissions. In July 2022, the Government published its Jet Zero Strategy, introducing a SAF mandate that will require at least 10 per cent of jet fuel to be made from sustainable sources by 2030. In this light, the Committee urges the Government to invests in low-carbon SAF, which include both biofuels and synthetic fuels, using a ‘Contracts for Difference’ model to stimulate uptake. With regard to rail transport, the report urges ministers to speed up progress with electrifying the UK’s railways lines, noting that only around 38% of the rail network is currently fully electrified, with the Government having committed in 2018 to removing all diesel-only trains by 2040, including freight. It also calls for the Department for Transport to publish a long-term strategy for decarbonising the rail network, with a vision for what proportion of the future network will use electrification, supplemented by hydrogen, battery-powered and bimode or tri-mode traction trains. The

report =adds that the new strategy should be supported by appropriate costings and a credible delivery plan with targets and milestones. The UK Government has also committed to phasing out new, non-zero emission HGVs weighing 26 tonnes or less by 2035, with all new models sold in the UK to be zero emission by 2040. The Committee calls for the Government to publish a long-term HGV decarbonisation strategy as a matter of priority. It also recognises that the maritime sector presents a significant challenge to decarbonisation and recommends Government’s support in relation to the (IMO) International Maritime Organisation’s work to develop global standards for construction that will enable new ships to utilise alternative fuels such as ammonia and hydrogen. For private cars and taxis, the Committee reiterates a recommendation from its 2021 zero emission vehicles report noting that the Government should try to ensure no areas across the country are left behind. It further urges the Government to publish its future of rural transport strategy as a matter of priority and for the strategy to include the Government’s plan to ensure people living in rural areas have adequate access to charging infrastructure.

The report can be accessed at www.committees.parliament. uk/publications/34205/ documents/188123/default/

Issue 14 23
News

UNLEASHING YOUR POTENTIAL FOR ENERGY TRANSITION: A MESSAGE FROM JOHN REYNOLDS

Hello there, energy champions! Are you ready to step up and make a meaningful impact in our energy transition future? At Reynolds Training, we are. In fact, we’re already doing it. When it comes to preparing our candidates for a career in the Bulk Liquids and Tank Storage sector, we’re always thinking about the future. In rising to the challenge of helping people unlock their full potential in the petroleum and petrochemical health and safety industry, we are keenly aware of the energy changes in the pipeline and the long-term transition away from fossil fuels.

With a motivational mindset and a strategic approach, safety providers, process industries and individual workers can navigate this transition together and create a brighter future for ourselves and our planet.

As the world shifts towards sustainable energy sources, industry is mapping the path to 2030 and 2050. At Reynolds Training, we therefore believe it is imperative that those starting or looking to advance

their careers in the sector continually evolve in order to position themselves as valuable assets in the evolving energy industry.

So, let’s dive in and explore three things we are doing right now that can help:

• Organisational leaders shape their approach to safety training and skills development

• ●Individuals secure and develop the skills needed for a successful career in this changing landscape

#1 Anticipating the future:

As we embrace energy transition, it’s crucial to stay ahead of the curve and anticipate the future of fuels. Biofuels, hydrogen and synthetic fuels are indeed gaining momentum. As we move towards more sustainable and renewable energy options, we need to be prepared to handle, store and transport these emerging alternatives safely and efficiently - and this sentiment applies to governments, organisational leaders and workforces.

Governments need to set the agenda. Industry needs to shape and lead that agenda. Individual workers need to implement that agenda. Because, guess what: when we all work together, we can do great things. With alternative fuels gaining traction, it is incumbent upon all of us in the petroleum and petrochemical industries to have one eye on the road and the other on what’s coming down it. At Reynolds Training, for instance,

24 INSIGHT MAGAZINE
Safety leader, John Reynolds, on the challenges process industries and workers face in the energy transition, the opportunities it brings, and why he’s driven to prepare candidates in this shifting landscape.
John Reynolds, Managing Director, Reynolds Training Services

we are taking positive steps today to secure a safer tomorrow. Atop our agenda is a commitment to provide learners with cutting-edge training programmes that equip them with the knowledge and skills to adapt to these changes with confidence. After all, by being proactive and staying informed, you can position yourself as a valuable asset in the ever-evolving energy industry.

Likewise, organisational leaders and safety providers need to be proactive in anticipating the future of fuels. Steps you can take include:

• ●Providing site managers and operators with the latest information, best practices and practical skills needed to adapt to changing industry demands.

• ●Supporting them with experienced instructors who are well-versed in the latest advancements in the energy sector.

Because this is underpinned by training, Reynolds Training is continually infusing its learning programmes with forward-thinking elements to foster positive change.

#2 Adapting to change:

Change is inevitable and energy transition is no exception. By embracing this change and being open to new ideas and perspectives, you can stay relevant and agile in the ever-evolving energy landscape.

This mindset is important as energy

transition brings about changes in the way terminals and infrastructure are designed, operated and maintained. As new fuels and technologies emerge, the industry needs to adapt and evolve to meet the changing demands. This requires professionals to be flexible and adaptable in their approach to work.

At Reynolds Training, we recognise the importance of continuous learning and development in keeping up with the changing industry dynamics. Our training programmes are designed to foster a mindset of adaptability and flexibility, enabling candidates to embrace change and be open to new ideas and perspectives.

It is, therefore, key that organisational leaders and operators at ‘the coalface’ work closely together to understand the changing demands of the industry while undertaking the right training.

#3

Investing in growth:

To thrive in the energy transition future, it’s essential to invest in your personal and professional growth. This includes not only honing your technical skills but also developing your soft skills such as leadership, communication and problem-solving. As the energy industry evolves, professionals do indeed need to be well-rounded and adaptable, possessing not only technical expertise but also strong interpersonal skills.

At Reynolds Training, we believe it’s all about taking a holistic approach

to growth and development. As such, we provide comprehensive training and development programmes that empower you to unlock your full potential. Through a combination of formal training, on-the-job learning and mentoring, we help candidates develop a growth mindset and unleash true capabilities.

By investing in your growth, you can position yourself for success in the changing energy industry.

Energising careers today and tomorrow

Energy transition is a global imperative and, as the industry evolves, it presents both challenges and opportunities. Professionals in the petroleum and petrochemical industry need to stay informed, anticipate the future of fuels, adapt to change and invest in their personal and professional growth to thrive in this changing landscape. So, stay updated, anticipate future fuels, embrace change and invest in personal and professional growth. That way, we can all thrive in the changing landscape of the energy transition future. Contact

25 Issue 14
Reynolds Training to learn more about its comprehensive training offering and how the safety provider can support your growth in the energy transition era. Visit: www.reynoldstraining.com; Email: enquiries@reynoldstraining. com; Call: +44 (0) 1469 558 222

Solving the safety puzzle

How to unleash your career potential for energy transition

FUTURE PLANNING

What do we need to do now to prepare for our future fuel landscape in 2050? Workers entering our industry today need to know there is a lifelong career ahead of them.

FUTURE FUELS

What will fuel the future? Will it be biofuels, hydrogen, Lithium-ion, synthetic fuels or something else? We have to be prepared to adapt to any and all potential futures.

FUTURE TERMINALS

What infrastructure will we need by 2040 or 2050? What do we need to do now? With global, political and scientific variables to consider, we have to be adaptable.

FUTURE SKILLS

Our industry needs a clear future vision, led constructively with knowledge and skills at its core. We need to challenge old methods and be willing to work towards change.

READY TO ENERGISE YOUR CAREER? CONTACT REYNOLDS TRAINING FOR MORE HELP AND GUIDANCE

26 INSIGHT MAGAZINE
+44 (0) 1469 558 222 reynoldstraining.com enquiries@reynoldstraining.com
Issue 14 27
TSA Insight Magazine - Issue 14 Tank Storage Association Devonshire Business Centre Works Road Letchworth Garden City Herts. SG6 1GJ United Kingdom www.tankstorage.org.uk T. +44 (0)1462 488232 info@tankstorage.org.uk Follow us CONTACT US The voice of the bulk storage and energy infrastructure sector TSA Tank Storage Associa on

Expanding horizons

Driving change to meet the energy transition

At Exolum we see the energy transition as an opportunity to expand our horizons. A chance to diversify our business and meet the challenges of climate change and our customers’ businesses. We have adopted Sustainable Development Goals (SDGs) to touch every aspect of our business and made a commitment to minimising our impact on the environment by striving to use energy resources and raw materials e ciently.

Europe’s leading bulk liquid logistics provider

SECTION SLUG
To find out more visit exolum.com

BRIGHT IDEAS

PROJECTS • EXOLUM IS TAKING PART IN A COLLABORATIVE PROJECT TO INCREASE LPG SUPPLY SECURITY IN THE UK AND CONTINUES TO INVEST IN GREEN POWER GENERATION IN ITS HOME MARKET

EXOLUM HAS SIGNED a strategic agreement to store 120,000 tonnes of LPG at its Seal Sands terminal (below) which will be distributed in the Teesside area from October 2023. The deal is set to enhance fuel security for businesses and homes in the North of England and Scotland thanks to a strategic agreement signed with Flogas Britain and North Sea Midstream Partners Limited (NSMP).

Currently, gas reserves from several North Sea fields are transported to NSMP’s gas processing plant at Seal Sands, where LPG is

fractionated and then exported to global markets. As a result of the deal, NSMP will transport this LPG to Exolum’s existing infrastructure at Seal Sands, and Flogas will act as off-take partner, distributing the LPG supply across Northern England and Scotland. Once completed, the project at Seal Sands will increase available supply for LPG as well as providing opportunities for future delivery of renewable fuels, thus enhancing energy security for customers not connected to the UK’s power grid.

Exolum’s NWE commercial director, Luke Robbins, says: “We are delighted to be collaborating with Flogas and NSMP to develop such an important project for the Teesside area. This investment in our Seal Sands terminal is further proof of Exolum’s commitment to improving energy resilience and enabling the needs of our customers.”

SHINE A LIGHT

In other news, Exolum has reinforced its network of photovoltaic projects to supply its own energy consumption needs at its terminals in Spain. A three-phase project at its facility in Algeciras will, once completed before the end of this year, provide more than 220 MWh for self-consumption, equivalent to some 14 per cent of the total power consumption of the site. Exolum knows that electricity consumption is the main source of the company’s emissions and energy supply from this new renewable solar energy plant will prevent the release of approximately 27 tonnes of CO2 into the atmosphere every year. Exolum is also carrying out the extension of its photovoltaic plant in Barcelona, which will have a final power for self-consumption of 96.63 MWh. The project covers an area of 186 m2 and will prevent the emission of over 13 tonnes of CO2. Exolum is now planning a new photovoltaic plant at its Huelva terminal, in addition to two new solar plants at its facilities in Poblete and Arahal. Once all these projects are complete, Exolum will be able to supply some 10 per cent of its total energy consumption in Spain with carbon-free solar energy.

Exolum says that the construction and operation of clean energy plants is part of its sustainability strategy that aims at making it a zero-emission company by 2040, in line with the Paris Agreement at COP 21 and the UN Sustainable Development Goals. In addition to its new solar power generation, Exolum is also looking at alternative methods of reduction emissions, including the incorporation of new technological developments and the diversification of energy supply sources to ensure that emission-free generation is as widespread as possible.

exolum.com

42 HCB MONTHLY | MAY 2023

THE BIG PAY-OFF

DIGITALISATION • IN 2021, ODFJELL LAUNCHED A MULTI-YEAR DIGITAL TRANSFORMATION PROGRAMME AT ITS US TERMINALS. ALMOST TWO YEARS IN, ITS SITES ARE SEEING SIGNIFICANT BENEFITS

A FEW YEARS AGO, ‘digital transformation’ was just another business buzzword. Today, it’s a strategic imperative. An efficient IT platform is a competitive advantage, as time and quality of service are of the essence when contracts are awarded.

Picking up on that trend, Odfjell Terminals US (OTUS) initiated a comprehensive multi-year Digital Transformation programme, which aims to harness the latest technologies to help maintain the highest safety standards, boost efficiency, and provide a future-proof foundation for business scalability and growth.

“This project is an all-encompassing change in the way OTUS does business. Not only are we enhancing and expanding current capabilities and phasing out old systems, but we are also focused on using these tools to better plan and execute as an organisation,”

explains John Blanchard, CEO of OTUS.

“Our employees have heavy ownership in the project’s implementation and as such will heavily contribute to its successful long-term sustainability. Our staff will greatly benefit from the efficiency improvements and in turn this project will provide our customers with a significantly improved customer experience,” Blanchard adds.

The forerunner of the transformative project dates back to 2018 when an IT materiality assessment identified several improvement areas. A detailed assessment of overall business performance by a third party in 2019 confirmed the findings and triggered an overarching business improvement programme. Investment in a new digital platform was a necessary enabler for OTUS to capture much of the benefits in that programme.

REAPING THE BENEFITS

The Digital Transformation project started by scoping and developing a number of tailored solutions in close collaboration with process owners, IT professionals, consultants, key stakeholders, and representatives from shareholders. Today, the implementation is well underway with several new modules already in place. This allows for new capabilities and enables optimised processes for key functional areas of the business.

“We have already started reaping the benefits of the transformation through increased operational efficiency and improved insight. We are confident that our capital investments will generate attractive returns,” says Adrian Lenning, managing director of Odfjell Terminals.

Before the implementation of the project, the majority of operational and administrative processes at OTUS were highly manual. Data capture was limited, and most of the documentation was done through numerous Excel spreadsheets and paper forms. Now, workflows will become streamlined, safer and with fewer manual errors due to the implementation of digital tools. Tasks will be carried out more efficiently, leading to reduced costs. In addition, data collection will be highly automated.

The automation removes costly processes and results in higher productivity, better information accuracy, and improved governance/compliance. Last but not least are the most important and welcome results of all: improved safety performance and increased customer and employee satisfaction.

“Looking forward, success encourages further ambition,” Lenning adds. “The digital transformation journey is more than a fixed project within a fixed timeframe – it’s a journey of continuous improvement that helps us reach new targets across all value streams, consistently, and with long-lasting results. We are committed to keep delivering world-class services, and to take on the challenges and opportunities of digitalisation. The OTUS Digital Transformation Project will serve as a model for our other terminals, as we pave the way for a more efficient future.”

www.odfjell.com

WWW.HCBLIVE.COM
STORAGE TERMINALS 43

IT’S A START

Stade industrial park as well as the construction of the terminal. FCC can draw on extensive experience in the construction of liquid gas tanks – it has built and commissioned eight LNG storage plants in Spain alone. The final part of the consortium, Turkey-based Entrade, will be responsible for the electromechanical assembly.

“Our choice of EPC partners is based on many years of experience in the construction of complex infrastructure projects and comprehensive technical expertise in LNG, green gases and hydrogen,” explains Johann Killinger, managing director and coshareholder of HEH.

WHEN THE FIRST piles were driven this past January at the new jetty in Stade in northern Germany, it marked not just the first physical construction of one of five floating LNG import terminals, fast-tracked to ease Germany’s reliance on Russian natural gas, but also a first step on the road to a “future-flexible” modular terminal to help bring about the energy transition.

The Hanseatic Energy Hub (HEH) in Stade has been set up by the Buss Group, Fluxys, the Partners Group and Dow. While the floating storage and regasification unit Transgas Force is due to arrive at the new jetty before the end of this year, it will be replaced from early 2027 by a land-based, zeroemission terminal that will help secure Germany’s supply of conventional LNG,

bio-LNG and synthetic natural gas (SNG). More than that, though, the onshore terminal, port, industrial park and connection infrastructure are designed in such a way that the conversion to hydrogen-based energy carriers can take place in a modular way.

By April, HEH was in a position to commission a consortium led by Madrid-based Técnicas Reunidas to develop the land-based terminal for liquefied gases, subject to HEH’s final investment decision, expected within the next few months. Assuming the planned work goes ahead, Técnicas Reunidas will take over the planning and management of the construction phase and will undertake all the equipment and materials supply work for the project. The FCC Group, also from Spain, will carry out all the site preparation work at the

EAGER FOR CAPACITY

One of the first customers for the new LNG capacity is Energie Baden-Württemberg (EnBW), a major energy supplier in Germany, which has contracted to import 3bn m3 of natural gas via HEH from its start-up. In addition, it has the option of moving to ammonia as a hydrogen-based energy source at a later date.

“At EnBW, we are working intensively on the transition from fossil fuels such as coal to non-fossil fuels such as hydrogen. The cooperation with the Hanseatic Energy Hub fits very well into our efforts to become climate-neutral by 2035,” explains Georg Stamatelopoulos, COO of Sustainable Generation Infrastructure at EnBW. “Initially, we will ensure security of supply with the help of LNG imports from the terminal in Stade, and in the long term we will be able to substitute natural gas with climate-neutral green hydrogen.”

Both EnBW and HEH are focusing on ammonia as a carrier for hydrogen, since its handling, transport and storage have been proven over many years. Ammonia is one of the most widely produced chemicals in the world and has many different applications. After transport, it can be reconverted to hydrogen or used directly as a CO2-neutral fuel. Corresponding technologies are making rapid progress. Co-combustion of up to 20 per cent ammonia has already been successfully implemented in smaller power plants and furnaces.

www.hanseatic-energy-hub.de

44 HCB MONTHLY | MAY 2023
GASES • GERMANY IS TO USE LNG AS A STEPPING STONE TO DECARBONISED ENERGY AND THAT PROCESS IS BEING REFLECTED IN INVESTMENT IN LAND-BASED TERMINALS AND INFRASTRUCTURE

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WWW.HCBLIVE.COM STORAGE TERMINALS 45 Contact us at info@chemmedcluster.com | chemmedcluster.com 25% of Spanish chemical production 20 million tons of chemical production per year more than 30 multinational companies in the petrochemical sector 350 ha available for new industrial investment CHEMICAL CLUSTER STORAGE TERMINALS INTERMODAL RAIL TERMINAL ChemMed, The largest chemical cluster in southern Europe _ 9234 - Anunci HCB (Cris).indd 1 24/4/23 14:31
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ROBOT REBOOT

INSPECTION • SQUARE ROBOT HAS GOT A LONG WAY SINCE IT WAS FOUNDED IN 2016. RECENT APPLICATIONS HAVE SEEN ITS UNITS CONDUCTING IN-SERVICE INSPECTIONS WITH LOW-FLASH PRODUCTS

SQUARE ROBOT, THE world leader in robotic tank inspection, is in the advanced development stages on its next generation robot, which is being designed specifically for completing in-service robotic inspections of gasoline and other volatile products and internal floating roof tanks. This will be the first robot ever developed that is capable of performing such inspections.

The development of the SR-3 robot follows the success of SR-1, Square Robot’s first generation robot that is currently being deployed to inspect aboveground storage tanks (ASTs) containing high flashpoint products, in accordance with API 653. The SR-3 is designed for compatibility with

gasoline and other volatile products and the launch of the robot directly into the product through the side launcher will remove all potential exposure to oxygen. The side launcher is designed to launch and recover the SR-3 robot from an AST’s shell manway. It enables operations to completely immerse the SR-3 robot in the tank product before being launched into the tank, avoiding the transit of the SR-3 robot through the vapour space.

“Completion of SR-3 opens up a world of new tanks for us to be able to inspect and keep from going out-of-service,” says David Lamont, CEO of Square Robot. “The emissions released from a product like gasoline when taking a tank out-of-service is over five times that of

diesel. Our customers have been looking for a solution for gasoline and we are excited to be able to provide that solution in the upcoming months.

GET LUBED

Another recent ‘first’ for Square Robot has been the successful completion of multiple inspections of ASTs containing lube oil for customers across the US. These first three tanks mark the first time the company has commercially inspected lube oil ASTs, exhibiting its capability within a new petrochemical sector of the bulk storage industry.

Each time Square Robot begins a new product application, its Mechanical Engineering team completes a 21 day soak test to determine the product’s compatibility with the robot’s exterior materials. A kit of sample materials is fully submerged into the product and, at various intervals of the soak test, the team examines the samples for signs of cracking, swelling, shrinkage, pitting or degradation.

For highly viscous liquids such as lube oils, the team takes the product compatibility testing one step further in order to confirm that the robot will have sufficient power and thrust to successfully move around the tank. After measuring the product’s temperature and viscosity, a thruster test rig is fully submerged in the liquid and stepped through a series of commands to verify that the thruster will operate as necessary in the vehicle operating environment. The thruster’s power and force are characterised by measuring the thrust output as a function of setpoint determining operational viability. If an inspection is feasible, the team also develops operational parameters for the liquid conditions from the test results.

“The team is always evaluating and testing unique products at our customer’s request,” says Charles O’Connell, chief mechanical engineer. “While not all products are suitable for operations, we do get excited after a successful compatibility assessment opening up new tank opportunities and allowing us to demonstrate the robot’s ability in a wide spectrum of tank liquids.”

www.squarerobots.com

46 HCB MONTHLY | MAY 2023

EYES IN THE SKIES

generally done about once every few months, letting any small leaks that arise between inspections go unnoticed.

OGI provides an affordable and accurate way to visualise escaping plumes of gas that would otherwise be invisible. The real magic happens when OGI is combined with autonomous drone inspection solutions.

THE CURRENT WAR in Ukraine has only served to accentuate the growing demand for oil and gas products across the globe. This increasing need, combined with efforts worldwide to reduce methane emissions, is placing more focus on leak detection and repair.

The new game changer in the industry is use of infrared cameras, spectrally filtered to pick up volatile organic compounds (VOCs) by optical gas imaging (OGI). This technology has been transforming the way oil and gas players are detecting leaks and fugitive emissions. But now, using these infrared sensors as the payload for autonomous drones marks a new era in leak detection, making it safer, more frequent, and thoroughly documented. The new technology is here to stay and here’s why.

Whether refinery emissions are seen as a carbon footprint issue or a product loss issue – it’s an issue. And with such large quantities of emissions, optimising emissions

inspections has the potential to transform industry. According to the US Environmental Protection Agency (EPA), a typical refinery or chemical plant can emit 600 to 700 tpa of VOCs from leaking equipment, such as valves, connectors, pumps, sampling connections, compressors, pressure-relief devices, and open-ended lines. It is estimated that valves and connectors account for more than 90 per cent of emissions leaking from equipment, with valves being the most significant source.

OUT OF THE BOX

Older inspection options entail an elaborate and often hazardous process that requires specialised staff to take measurements by walking through the equipment. This technique can only conduct spot measurements and cannot pinpoint where the leak is coming from or where the gas is flowing. Further, the complexity and risk of these manual inspections means they are

Percepto’s drone-in-a-box solution augments manual inspections with autonomous on-site inspections, for increased safety and reliability. The data collection and analysis is automated by the Percepto AIM software, which includes a sophisticated cloud backend for AI-powered site inspections, monitoring, surveillance, and visual data collection and management. The inspection data is automatically captured, unified, analysed and visualized to provide actionable insights that are based on high quality information.

Using autonomous drones equipped with OGI cameras and Percepto’s AIM software algorithms for inspections offers several distinct advantages over those done with handheld cameras. There are the obvious benefits, such as more frequent inspections that are unaffected by inclement weather, hazardous physical conditions involving heights, or the lack of an available crew. AIM also solves the challenge of upcoming US regulations by saving leak videos and keeping a historical timeline of emission inspections and leaks. All this translates directly into better productivity and lower costs by minimizing environmental infractions and product loss.

When automated, scanning for large emissions takes less time and can be performed more often, to find leaks before they turn into something more difficult to repair and more dangerous. This makes it much easier to catch the 1 per cent of leaks that account for 99 per cent of emissions. In other words, automating emission inspections with drones means never missing the big leaks—ever.

This article is an edited version of a piece written by Mark Fishburn, director of sales, North America at Percepto. More information on the Percepto system can be found at https:// percepto.co/

WWW.HCBLIVE.COM
STORAGE TERMINALS 47
INSPECTION • COMBINING OPTICAL GAS IMAGING WITH AUTONOMOUS DRONES OPENS UP AN EFFICIENT MEANS OF KEEPING ON TOP OF EMISSIONS AT STORAGE TERMINALS, SAYS PERCEPTO

NEWS BULLETIN

STORAGE TERMINALS

and some 2m bbl of tank storage capacity in Midland, Texas.

The transaction is expected to close in the second quarter, after which Energy Transfer will begin construction of a 30-mile pipeline link to tie the two networks together and allow direct pipeline delivery of crude oil volumes from Energy Transfer’s own Midland terminals to the Cushing hub.

www.energytransfer.com

IMTT TO TIDY UP BAYONNE

DOME TO PERFECTION

Äager, an engineering company specialising in storage tank design, has launched a new tank roof concept, the Domeroof. This is intended to provide a superior storage tank solution for customers in various industries, including oil and gas, water treatment, food and beverage, and pharmaceuticals. It features a patented geodesic dome design that offers exceptional strength, stability, and reliability, even in the harshest of weather conditions.

One of the key benefits of the Domeroof (above) is its ability to withstand high winds, heavy snow loads and earthquakes. Its unique design allows it to distribute weight evenly across the tank, providing maximum protection against external factors. In addition, the design of the Domeroof allows for easy maintenance, cleaning and inspection, which reduces downtime and maintenance costs.

“Äager’s mission has always been to provide our customers with innovative and reliable solutions that meet their specific needs,” says Riza Altunergil, vice-president of Äager. “The Domeroof is a testament to that mission,

offering our customers a storage tank solution that is both reliable and easy to maintain, while providing superior protection against external factors.”

www.aager.de

OILTANKING OUT OF BULGARIA

Oiltanking has completed the sale of its 91.1 per cent stake in its Bulgarian operation to the Astra Group, as announced this past November, following receipt of relevant approvals. The assets comprise a 25,860-m3 bulk liquids terminal on the Black Sea coast at Varna, which provides storage and handling services for a range of products. The Port of Varna retains its 8.9 per cent holding.

www.oiltanking.com

ET PICKS LOTUS

Energy Transfer has agreed to acquire Lotus Midstream Operations in a $1.45bn deal; Lotus owns and operates Centurion Pipeline, an integrated crude oil midstream platform in the Permian basis that includes around 3,000 miles of gathering and distribution pipelines

IMTT has announced plans to consolidate existing bulk liquids storage operations at its Bayonne site in New Jersey to free up some 130 acres (52.6 ha) of waterfront land for redevelopment. IMTT says the move will allow it to serve its bulk customers more efficiently and attract additional economic opportunities to the Bayonne area. There will be some reduction in storage capacity but, IMTT says, the terminal will continue to be the largest in the New York Harbor area.

“We are pleased to announce that IMTT is consolidating a portion of the Bayonne terminal and embarking on a transformational development process for the eastern portion of the property. This will allow us to continue providing high-quality storage and logistics services on the west side of our property and pursue sustainable development opportunities on the east side,” says Carlin Conner, IMTT’s chairman/CEO. “IMTT has proudly been operating in Bayonne for nearly four decades and we are committed to continuing to provide the safe and dependable services our storage and logistics customers rely on, while also preparing the east side of our property for commercial activity that will support growth in the community for years to come. We are eager to work with the city of Bayonne, the state of New Jersey and other various stakeholders on a plan that will provide significant economic and

48 HCB MONTHLY | MAY 2023

environmental benefits to Bayonne and the broader New York metropolitan area.” www.imtt.com

WOMAN AT THE TANK TOP

The UK Tank Storage Association (TSA) has appointed Wilma Kelly as its new president, succeeding Adrian Jackson, and Arun Sriskanda, managing director of Oikos Storage, as vice-president.

Wilma Kelly, HSE director at Certas Energy, says of the appointment: “I look forward to building on [Adrian’s] success and taking the Association forward. The Tank Storage Association plays a leading role in several industry, regulatory and Government forums and works to ensure that members’ interests are at the top of the agenda. My priorities will be to continue to boost our connections whilst championing the value and benefits of this vital industry. I will be focusing on supporting the energy transition and ensuring the skills and resources for the future, particularly at a time of transformational progress for our sector.” tankstorage.org.uk

EXOLUM TAKES FLIGHT

Exolum has won the tender to operate and manage the fuel storage terminal at Shannon airport in Ireland. In addition to a hydrant

system, the storage terminal is an upper tier Seveso site with a capacity of more than 42,000 m3. Exolum will handle the receipt of fuel by vessel, storage and dispatch and will be the only agent providing into-plane fuelling services.

The two-year contract consolidates Exolum’s operations in Ireland, where it already operates fuel supply services at Dublin Airport.

Exolum is also a founding member of the Spain-based Alliance for Air Transport Sustainability (AST), a group formed last month to promote sustainable aviation from an environmental, economic and social perspective. The Alliance seeks to promote the decarbonisation of the aviation sector by favouring a rational and orderly identification and implementation of new technologies and innovative processes to ensure the long-term sustainability of the sector. Very specifically, it brings together interests from across the aviation spectrum, including aircraft manufacturers, operators, safety bodies, academia and the oil industry.

“At Airbus, we have a clear purpose: to be pioneers in a sustainable aerospace industry for a safe and united world. This is the ambition that is behind everything we do and develop,” comments Ricardo Rojas, head of Airbus Commercial Aircraft in Spain. “However, it is clear that we cannot do this on our own. We

must join forces with everyone in the industry and the creation of the Alliance is a key milestone on this road.”

exolum.com

RUBIS ON A RISE

Rubis Terminal achieved storage revenues of €235m in 2022, up 6 per cent year-on-year, with growth accelerating in the second half of the year; adjusted EBITDA was up 2 per cent at €124m. Improved demand was seen particularly for biofuels, chemicals and agri-food storage, while the 2022 results also included a €6m capital gain from the sale of Rubis’ activities in Turkey, though this was more than offset by non-recurring costs linked to the refinancing of its debt.

www.rubis-terminal.com

TRAFFIC FALLS AT ANTWERP-BRUGES

The Port of Antwerp-Bruges reports a 4.5 per cent decline in total freight volumes in the first quarter of this year compared to the same period last year. “This decline is due to the still complex geopolitical and macroeconomic context, which has led to a decline in the container segment and significant shifts in cargo flows,” says the port authority. “To keep responding to these demands, the port is committed to sustainable growth together with new and existing pioneers.”

While terminal congestion has eased over the past two quarters, economic uncertainty and inflation have impacted import demand which, along with the ongoing impact of the RussiaUkraine conflict, has led to a 5.7 per cent drop in container traffic. There was, though, growth in liquid bulk traffic, especially in LNG but also for diesel, fuel oil and energy gases. Chemical throughput has also picked up since the previous period, though it was still more than 21 per cent down on the first quarter 2022.

www.portofantwerpbruges.com

STORAGE TERMINALS 49
WWW.HCBLIVE.COM

CLEANER SAILING

PROPULSION • FINNISH MARINE ENGINE GIANT WÄRTSILÄ IS TAKING A LEAD IN DECARBONISING THE SHIPPING INDUSTRY, WITH NEW ORDERS RECEIVED IN THE CHEMICAL AND GAS TANKER MARKETS

SWEDEN-BASED TANKER owner Erik Thun has selected advanced engines from Wärtsilä to power the four new 7,999-dwt ‘R-class’ chemical tankers it has ordered from the Ferus Smit shipyard in the Netherlands. The new ships will operate with the Wärtsilä 25 engine, a future-fuels-ready addition to the engine manufacturer’s portfolio.

The medium-speed, four-stroke engine features advanced technologies to help vessel operators stay ahead of the curve in getting their fleets ready for fully decarbonised operations. The Wärtsilä 25 also features outstanding fuel economy, low emissions and smoke-free operation at all loads.

“Decarbonisation is a key driver for our operations. It makes total sense, therefore, for us to select the Wärtsilä 25 engine,” says Henrik Källsson, deputy managing director of Erik Thun. “We recognise the reliability, fuel efficiency and compact design of the engine, and the option to operate with clean future fuels is very important to us. We are

impressed with the investments Wärtsilä is making by developing these very modern and future-proof engines. We believe the Wärtsilä 25 is the world’s most advanced engine in the 2000 kW range.”

Nor is the shipyard any stranger to working with Wärtsilä, as Patrick Kuiper, mechanical designer at Ferus Smit explains: “We have had a long-term partnership with Wärtsilä and have developed a mutual trust over the years. We appreciate their brave approach in enabling the marine industry to achieve decarbonisation via these new engines that are capable of being converted to run on alternative fuels.”

“We have worked closely with both Erik Thun and Ferus Smit for a number of years, and our companies are all committed to raising the efficiency and sustainability levels needed to make decarbonised shipping a reality,” says Roger Holm, president of Marine Power at Wärtsilä. “These four vessels reflect that approach, and we are pleased that the Wärtsilä 25 engine has been chosen for them. This

really is the way ahead for operators who wish to make the transition to future fuels as smooth as possible.”

GOING FOR GAS

Wärtsilä is benefitting increasingly from the need for shipowners to look carefully at their carbon footprint and the Finland-based specialist in marine and energy markets has done well out of the gas carrier sector. It recently booked a two-ship deal to supply the cargo handling and integrated fuel gas supply systems for very large ethane carriers (VLECs) ordered by Iino Lines at Hyundai Heavy Industries (HHI), following a series of ongoing deliveries of similar vessels at the year.

“We have great respect for Wärtsilä as a provider of high-quality cargo handling and fuel gas supply systems, which are essential elements in the design of these ships,” says Sangryul Kim, vice-president of HHI. “In today’s maritime market, close cooperation with trusted partners is increasingly important for ensuring that projects are completed in the most efficient way possible.”

Wärtsilä is also partnering with Höegh LNG, the Institute for Energy Technology (IFE), University of South-East Norway, Sustainable Energy and BASF in a project to develop ammonia as a hydrogen carrier for the energy market, which has recently been awarded funding of some €5.9m from the Norwegian government as part of its Green Platform programme of initiatives.

The project is designed to enhance the availability of large-scale storage and transportation capabilities of clean energy. “This important project is a natural extension of the investments and efforts made by Wärtsilä to accelerate the use of decarbonised energy,” says Walter Reggente, vice-president of Wärtsilä Gas Solutions. “Hydrogen will play a considerable role in future renewable fuel consumption, and there is a clear need for the development of ammonia as a storage and transportation carrier for hydrogen. We are grateful to the Norwegian government for its support and funding, and we appreciate also the cooperation of Höegh LNG and our other partners in making this project possible.”

www.wartsila.com

50 HCB MONTHLY | MAY 2023

H2 TO GO

systems such as compression and H2 bunkering. Provaris is developing production capacity for cargo tanks that can be operational for floating storage by 2025 which will cater to short term demand for storage and allow Provaris to gain operational experience and de-risk the continued development of the H2Neo carrier.”

PIECE OF THE JIGSAW

PROVARIS ENERGY, AN Australiaheadquartered firm looking to develop a viable liquefied hydrogen supply chain, has taken a step further in its project by gaining Approval in Principle (AiP) from ABS for its floating storage unit, H2Leo. Using this solution could bring down the capital cost of a liquefied hydrogen project considerably, since Provaris calculates that the per-tonne cost of floating storage is between $0.2m and $0.3m, compared to as much as $2.0m/tonne for large-scale onshore storage.

“Provaris sees the development of a floating storage solution as a natural extension of its compressed hydrogen IP, providing an alternative to current high-cost bulk-scale

storage solutions and improving the economics of its existing projects,” says Martin Carolan, managing director and CEO of Provaris Energy. “We believe a floating storage solution will complement our pipeline of hydrogen production and transport projects and decrease timelines to first revenues and IP commercialisation.”

“The H2Leo is a flexible hydrogen floating storage unit that can be optimised in size, capacity and operations for different applications,” adds Per Roed, chief technical officer at Provaris. “Its simultaneous operations (SIMOPs) capability allows for continuous operations, and it has a large working deck and hull for installing auxiliary

The AiP from ABS allows for a flexible solution to meet industry demands, with a design capacity in the range of 300 to 600 tonnes; future development will focus on expanding this to 2,000 tonnes. The H2Leo unit will be configured with two cargo tanks with independent isolation, safety valves and manifolds for the transfer of compressed hydrogen.

ABS has carried out risk and safety workshops to assess and mitigate hydrogen handling risks. Provaris will now work with ABS for design approval, cargo tank testing and construction. The H2Leo class will have a fixed beam and depth of 31.00 m and 17.00 m, respectively, with length and draft varying according to the specified cargo capacity.

Provaris has two compressed hydrogen carriers in development, both of which received AiP in 2021. The first, H2Neo, will have a cargo capacity of 26,000 m3 at 250 bar, giving a maximum cargo of 430 tonnes.

Provaris is aiming to have shipbuilding contracts in place this year or next and to have the first vessel in operation during 2026 or 2027; the ships will have a range of up to 2,000 nautical miles. For larger projects and longer distances, Provaris also has the H2Max in development; this has a cargo capacity of 120,000 m3/2,000 tonnes and the company is aiming to place shipbuilding contracts in 2027 and have the first ships in the water by 2030.

The development of H2Leo will run in parallel with the remaining engineering and approvals for H2Neo, with prototype testing and final class approval targeted for the end of this year and the first units to be available in 2025. Provaris is involved in two export projects in Australia, both of which envisage the shipment of clean hydrogen to importers in Asia.

www.provaris.energy

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NEW ENERGIES 51
HYDROGEN • BRINGING DOWN THE COST OF ONSHORE STORAGE IS KEY TO DEVELOPMENT OF A COMPRESSED HYDROGEN SUPPLY CHAIN. PROVARIS IS PROGRESSING WITH A FLOATING ALTERNATIVE

NEWS BULLETIN

BUCKEYE LOOKS TO THE FUTURE

Buckeye Partners has launched BAES Infrastructure, a diversified energy company that will focus on the development, construction, and operation of energy transition projects. BAES Infrastructure will pursue new energy transition-related opportunities, with its seed assets being Swift Current Energy, OneH2, Bear Head Energy, a low carbon hydrogen and ammonia project under development in South Texas, and other advanced-stage solar development projects.

“The launch of BAES Infrastructure represents another step in our energy transition strategy, reinforcing our commitment to investing in growth that aligns with our customers’ current and evolving needs, while facilitating the decarbonisation of the broader economy,” says Buckeye CEO Todd Russo. “This new company will allow us to leverage existing and new relationships and focus on investment and development activity in the energy transition space without compromising our focus on safely and reliably operating our critical petroleum products infrastructure.”

Jamie Cemm, until recently chair of Buckeye’s board of directors, has been appointed CEO of the new company. www.baesinfra.com

STOLTHAVEN AIMS FOR AMMONIA

Stolthaven Terminals has joined the Ammonia Energy Association (AEA), a global non-profit industry association that promotes the responsible use of ammonia as part of a sustainable energy economy. Stolthaven is already involved in a number of projects worldwide that are exploring the transition to green and blue energy, and AEA provides essential resources, insights and industry connections to support further progress in this area.

Specifically, Stolthaven Terminals is looking to include storage solutions for hydrogen, ammonia and green methanol at a number of current products, including a new joint-venture terminal in Taiwan, a potential ammonia import terminal at the Advario Stolthaven Antwerp site, and a potential project in Brazil to develop a storage and export terminal for

green hydrogen and ammonia. Sister company Stolt Tankers is also exploring the potential use of ammonia as an alternative fuel for its ships.

“As an infrastructure company with terminal assets and facilities in strategic locations, we believe we can complement other AEA members, many of which are technology companies or producers,” says Pim van den Doel, commercial and business development manager, EMEA at Stolthaven Terminals. “We look forward to working with member organisations to develop projects that continue to drive the reduction of emissions and promote increasingly sustainable operations across the supply chain.”

www.stolt-nielsen.com

CATCH THE WIND

The TransHydrogen Alliance (THA) has signed an MoU with Brazilian renewable energy company Casa dos Ventos and energy efficiency company Comerc Eficiência with a view to developing a new supply chain to move green ammonia from Brazil to Rotterdam, beginning in 2026. The two Brazilian partners are planning a new plant in the Industrial and Port Complex of Pecém (CIPP), in Ceará, which will produce 960 tonnes of hydrogen per day and up to 2.2m tonnes of ammonia per year.

“We want to use the abundant renewable resources in Ceará and neighbouring states to expand our low carbon energy solutions abroad,” says Lucas Araripe, CEO of Casa dos Ventos. “We are joining forces with a group of companies that will be able to contribute to the technological development of the project and with a portfolio of international clients.”

The THA members involved in the MoU are specialist engineering firm Proton Ventures, ammonia trader Trammo and terminal operator Global Energy Storage (GES), which is already developing a green ammonia import terminal in Rotterdam.

transhydrogenalliance.com

52 HCB MONTHLY | MAY 2023
NEW ENERGIES

EXOLUM BACKS START-UP

Exolum is investing further in the energy transition by becoming a shareholder in H2Vector, a technology start-up based in Asturias, Spain that aims to provide energy solutions based on renewable hydrogen. The company is also conducting research into new forms of storage and transport of green hydrogen based on the use of organic liquids.

“The investment by Exolum will allow us to accelerate our technological developments and to attain greater visibility in the green hydrogen energy sector,” says Miguelangel Ocando, CEO of H2Vector. “We are especially pleased to have established this relationship with an industrial partner that has a recognised track record, and with which we share values, mission and objectives.”

exolum.com

CAPTURING JAPAN’S CARBON

Mitsubishi Shipbuilding has launched a demonstration test ship designed to test the viability of transporting liquefied carbon dioxide by sea. The vessel is owned by Sanyu Kisen and will be managed by Nippon Gas Line. It features a containment system developed by the Engineering Advancement Association of Japan (ENAA) and will work on a large-scale carbon capture, utilisation and storage (CCUS) project being conducted by Japan’s New Energy and Industrial Technology

Development Organisation (NEDO). It will also help to accelerate research being conducted by ENAA, Nippon Gas Line, K Line and Ochanomizu University that is aiming to reduce the cost of CCUS technology and realise safe large-scale marine transport of liquefied CO2.

www.mhi.com/group/mhimsb/

RELY ON THE RHINE FOR RENEWABLES

HGK Shipping and the Port of Rotterdam have signed a long-term cooperation agreement to promote sustainable concepts for inland waterway services. The document primarily focuses on the energy revolution and logistics for hydrogen as well as reducing CO2 emissions by using innovative drive concepts and digitalisation. These topics are crucially important to ensure reliable and sustainable supplies for industry and will help ensure that stable supply chains will continue between Germany and the Netherlands and within Europe.

As part of the cooperation arrangement, HGK – as Europe’s largest inland waterway shipping company - and Europe’s largest seaport will in future maintain close ties to share information and jointly examine the possibilities that open up for both partners. For example, a reliable supply chain for hydrogen and hydrogen derivatives as well as alternative

renewable fuels is due to be established to promote the energy revolution. Among other things, the partners will analyse how the need for services to transport, store and tranship alternative energy sources will probably develop. Another important factor in this connection is how to make the inland waterway fleet more ecologically friendly and draw up implementation concepts for renewable engine fuels.

HGK Shipping and the Port of Rotterdam also intend to enhance transparency along supply chains in order to be able to organise procedures in a more efficient, flexible and sustainable manner, with the involvement of other stakeholders. Exchanging information about the quantities and types of goods that are transported and transhipped, for example, will take place through cooperation on digital platform initiatives.

Matthijs van Doorn, vice-president, commercial at the Port of Rotterdam Authority, says: “We are very pleased with the enhanced cooperation with HGK Shipping. Cross-border initiatives with strong and ambitious partners in the areas of energy transition and digitalisation are of paramount importance to reach our goal of becoming a CO2-neutral port by 2050. Inland shipping plays a crucial role in supplying hydrogen to the European market and at the same time this sector has the best credentials to do so in a sustainable and efficient way by sailing on alternative fuels and using innovative techniques.”

Steffen Bauer, CEO of HGK Shipping, adds: “The Port of Rotterdam is assuming a key role in supplying European industries and the energy sector as the hydrogen economy is launched. As an important hydrogen port, it depends on efficient connections to destinations further inland – and we at HGK Shipping are able to handle them through our inland waterway system. By working together, we can develop the future flows of supplies for the energy sector, but also for our parent company, the City of Cologne Public Utilities Group, and therefore enable reliable and dependable access to renewable energy sources.”

www.hgk.de

NEW ENERGIES 53
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Dangerous Goods Seminar

Book Now!

20 June 2023

The Studio, Birmingham

The VCA Dangerous Goods Seminar returns for 2023 to explore the theme ‘sustainability’. From recycling lithium batteries to safely and sustainably transporting hazardous articles, we’ll be hearing from speakers from across the industry about how their businesses are adapting to a world facing a climate emergency.

Dangerous Goods Safety Advisers should also view this as an excellent opportunity to update their knowledge and share ‘best practice’ with other delegates.

How to book:

Ticket purchase and registration is through Eventbrite. Please scan the QR code or visit https://bit.ly/vcadg2023 to book your place.

£255

All delegate prices are VAT free Includes evening drinks and buffet, full day of talks from industry experts, opportunity to meet the regulators, and all day refreshments and lunch.

Exhibitor spaces still available!

For further information, email us at: events@vca.gov.uk

CONFERENCE DIARY

MAY

Transport Logistic

MAY 9-12, MUNICH

Biennial exhibition for logistics, IT and supply chain management www.transportlogistic.de/en/

UKIFDA Show 2023

MAY 10, COVENTRY

Annual exhibition and conference for the fuel distribution sector in the UK and Ireland https://ukifda.org/ukifda-events/

ChemUK 2023

MAY 10-11, BIRMINGHAM

Supply chain expo and conference for the UK chemical industry www.chemicalukexpo.com

GPCA Plastics Conference

MAY 14-15, RIYADH

12th GPCA conference on the polymers sector and recycling https://gpcaplastics.com/

GPCA Supply Chain Conference

MAY 16-17, RIYADH

14th annual meeting of logistics professionals in the Gulf Petrochemicals and Chemicals Association www.gpcasupplychain.com

Bulk Tanker Day

MAY 17, BRISBANE

14th annual road tanker event hosted by the National Bulk Tanker Association www.nbta.com.au/bulktankerday/

Oil & Gas Africa 2023

MAY 18-20, NAIROBI

Tenth annual exhibition for the upstream and processing sectors in east Africa www.expogr.com/kenyaoil/

NTTC Annual Conference

MAY 20-23, BOSTON

Annual meeting of the National Tank Truck Carriers

https://tanktruck.org/Public/Events/Home-Pages/ Annual-Conference---Exhibits.aspx

ILTA

MAY 22-24, HOUSTON

42nd annual operating conference and trade show of the International Liquid Terminals Association

https://ilta2023.ilta.org/

Intertanko Annual Tanker Event

MAY 22-25, DUBAI

25th annual meeting of the International Association of Independent Tanker Operators www.intertanko.com/events-panels/annual-tankerevent

Chemspec Europe 2023

MAY 24-25, BASEL

International exhibition for fine and speciality chemicals www.chemspeceurope.com

Hazmat 2023

MAY 24-25, STRATFORD-UPON-AVON NCEC’s annual conference for those involved in hazmat response, incident management and crisis management https://the-ncec.com/en/emergency-response/ hazmat-event

JUNE

Nor-Shipping

JUNE 6-9, OSLO

Biennial exhibition for the global maritime industry http://nor-shipping.com/

SIL Barcelona

JUNE 7-9, BARCELONA

Annual international logistics expo and congress www.silbcn.com/en/index.html

IAFC Hazmat Conference

JUNE 7-11, BALTIMORE

Annual international event for response teams

www.iafc.org/events/hazmat-conf

Multimodal 2023

JUNE 13-15, BIRMINGHAM

15th annual exhibition for the supply chain management and logistics sectors

www.multimodal.org.uk/

VCA Dangerous Goods Seminar

JUNE 20, BIRMINGHAM

36th annual regulatory update conference

www.vehicle-certification-agency.gov.uk/dangerousgoods/dangerous-goods-seminar/

PGLC

JUNE 22-23, MARSEILLE

Third annual Petrochemical Global Logistics Convention

www.pglc.biz

CO2 Shipping & Terminals

JUNE 27, LONDON

Second one-day event to discuss the emerging CO2 supply chain www.rivieramm.com/events/co2-shippingterminals-conference

JULY

LNG 2023

JULY 10-13, VANCOUVER

20th triennial global exhibition and conference on LNG http://lng2023.org

Chemical Warehousing Workshop

JULY 18, ONLINE/CREWE

One-day training workshop on the storage of chemicals in warehouses

www.chemical.org.uk/training-and-workshops/ chemical-warehousing-workshop-2/

Intermodal Asia

JULY 19-21, SHANGHAI

Annual exhibition for the Asian intermodal sector www.intermodal-asia.com

COURSES & CONFERENCES 55
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INCIDENT LOG

ROAD/RAIL/AIR INCIDENTS

22/3/23 Pasadena, road tanker LPG Tank truck with LPG became over-pressurised prior to delivery to cumene unit at Ineos plant, causing Maritime Texas, US BLEVE; one person injured; Houston Ship Channel was closed briefly Executive

24/3/23 Pikesville, road tanker heating oil Tank truck with 8,500 gal (32.2 m3) heating oil was involved in single-vehicle crash on I-795 close to ABC Maryland, US Baltimore Beltway, causing road closures; video clips showed flames, dense smoke; driver badly injured News

26/3/23 Wyndmere, freight train asphalt, 31 cars of 70-car CP train derailed in rural area; four tank cars with asphalt, two with ethylene glycol and one AP N Dakota, US glycol with propylene were involved, some leaked; no threat to public safety; CP suspected broken rail

30/3/23 Raymond, freight train ethanol

22 cars of BNSF train derailed, some with ethanol or corn syrup; fire broke out; most of the town evacuated Fox Minnesota, US in case of explosion; no injuries reported; BNSF to investigate cause of derailment Business

1/4/23 Toledo, road tanker diesel Tank truck carrying 3,000 gal (11.4 m3) diesel struck dumpster while turning into an alley, causing rupture MSN Ohio, US in tank and loss of half its load to sewer; no impact on water supplies expected; roads closed for cleanup

4/4/23 nr Paekakariki, road tanker fuel Road tanker collided with truck in ‘Transmission Gully’ on SH1 north of Wellington; substantial fuel spill RNZ New Zealand led to closure of highway in both directions; dam set up to isolate fuel spill; remaining fuel transferred News

10/4/23 Columbiana county, truck soil Truck carrying 20 tonnes of contaminated soil from site of East Palestine derailment overturned on SR 165, Western Ohio, US spilling half its load; 74-year-old driver suffered minor injuries, was cited; no threat to nearby waterway Journal

10/4/23 Lincoln Borough, truck epoxy Truck carrying 80 drums with two-part epoxy chemical ran off road, crashed into ravine, spilling fuel and PostPennsylvania, US chemicals to creek that runs into Monongahela River; dams set up in stream; driver said he lost his brakes Gazette

MARINE/INLAND WATERWAY INCIDENTS

21/3/23 off Leixões, Greta K jet fuel, Fire broke out in engine room of product tanker (24,770 dwt, 2016) shuttling product from Sines to Leixões; Maritime Portugal diesel 12 crew were taken off, seven remained onboard; fireboats sprayed water to prevent fire spreading to cargo Executive

24/3/23 Delaware River, - latex Pipe burst at Trinseo’s plastics plant in Bristol, spilling some 8,100 gal (30 m3) 50% latex polymer solution to Maritime Pennsylvania, US river upstream of Philadelphia; water treatment plants closed temporarily, cutting off supplies Executive

26/3/23 Lombok Strait, Kristin fuel Explosion, fire in forecastle of product tanker (5,000 dwt, 2003) prior to anchoring; three crew killed; FleetMon Indonesia vessel was carrying 5,900 m3 fuel for distribution to islands for Pertamina; no spill observed

30/3/23 Taiwan Strait, Lu Dao You 3 unknown

Fire broke out in engine room of product tanker, with unspecified cargo, some 23 nm east of Quanzhou; FleetMon China to superstructure, threatened cargo tanks; crew evacuated; fire out next day; cargo to be transferred

4/4/23 Suez Canal, Lyric unknown Product tanker Aligote (74,200 dwt, 2010), from Libya, cargo unknown, collided with moored Aframax FleetMon Egypt Magnolia tanker (110,000 dwt, 2016), ballasting from Denmark to Saudi, in Great Bitter Lake; traffic suspended

9/4/23 Sunda Strait, Fortune unknown Tanker (6,450 dwt, 2008), outbound Merak, was struck by tanker Sinar Malahayati (20,950 dwt, 2006) in FleetMon Indonesia Pacific XLIX anchorage; both tankers suffered significant damage; Sinar Malahayati later berthed at terminal to discharge

MISCELLANEOUS INCIDENTS

7/3/23 Madison, roofing asphalt Fire broke out in tank with 11,500 gal (43.5 m3) molten asphalt at Seal Master plant; fire crews Rocking’m N Carolina, US company found it hard to extinguish, were concerned at potential for fire to spread to second tank; dozens evacuated Now

29/3/23 Novara, solvents chemicals

Explosion, fire destroyed warehouse at Kemi plant in San Pietro Mosezzo industrial park; locals advised to ANSA Piedmont, Italy plant keep windows closed, shelter in place; no injuries at plant; environmental agency monitoring air quality

29/3/23 Pelym, pipeline natural gas Explosion, fire on gas pipeline; Gazprom said fire broke out on Yamburg-Yelets 1 gas line during repairs; Newsweek Sverdlovsk, Russia informal reports suggest event was worse than Gazprom said, with videos showing massive flames

30/3/23 Burt, chemical organic Nouryon reported fire broke out in building with 10,000 five-gallon containers of Trigonox 21S organic NOAA New York, US plant peroxide peroxide; some 16 containers said to have exploded before automatic fire suppression kicked in

1/4/23 Dumai, Sumatra, oil refinery fuel Nine workers injured in explosion, fire in gas compressor at Pertamina refinery; several nearby houses were NST Indonesia damaged; several units at plant were affected and could not immediately be restarted

56
Date
Vehicle Type Substance Details Source
Location
Date
Substance Details Source
Location Plant Type
Date Location Vessel Substance Details Source
HCB MONTHLY | MAY 2023

already occurred, and instil more urgent motivation to act before more catastrophic disasters result.”

MORE TO FOLLOW

Intended as the first of an ongoing series of publications to be updated as circumstances require, these first Guidelines (101.A) provide a general overview and will be followed by three further documents – regulatory compliance check-lists, risk assessment and emergency response, and training and educational awareness. Stakeholders in the supply chain are encouraged to implement the advice according to their specific operations and requirements but to always keep safety of life as their primary consideration.

NOT ON OUR WATCH

THE CARGO INCIDENT Notification System Network (CINS), together with partner organisations, has compiled a comprehensive publication, Lithium-ion Batteries in Containers Guidelines, that seeks to prevent the increasing risks posed by the transport of lithium-ion batteries by sea, provide suggestions for identifying such risks and thereby help to ensure a safer supply chain in the future.

The new Guidelines are to be the first in a series of in-depth advisory publications aimed at minimising the risks of transporting lithium-ion batteries and cells by sea, amid heightened concern over container fires. It follows on from a very successful one-day conference held this past 15 March by the International Group of P&I Clubs (IG), CINS and TT Club to bring various parties together to discuss the risks and to share their knowledge and experience of carriage across the logistics supply chain.

The new Guidelines examine the properties of lithium ion batteries and cells and their potential to explode, initiate fires and emit toxic

gases. It concentrates on those measures that can be taken – and there are many of them – to ensure the safe transport of what is an exponentially increasing volume of cells and batteries in various states of charge, whether shipped alone or contained in or packed with equipment. The Guidelines cover the classification and regulation of such batteries according to the International Maritime Dangerous Goods (IMDG) Code, container packing, landside storage, stowage onboard ships, incident detection and fire suppression, and loss prevention and risk mitigation.

“We strongly urge all stakeholders in the production, supply, transport, handling and sale of lithium-ion batteries, whether as individual components or integrated into an electronic device, vehicle or other product to recognise their responsibilities in maximising safety when in transit,” says Dirk Van de Velde, deputy chair of CINS and a board member of the association of cargo handlers, ICHCA. “Our Guidelines will create greater awareness of the possibilities of the damaging and life-threatening incidents, which have

“As our experience of transporting lithiumion batteries widens and the technology surrounding their chemical composition, production and application rapidly evolves, risk controls and loss prevention measures need to keep pace,” adds Mark Smith, loss prevention executive at NorthStandard and IG’s representative on the CINS Lithium Batteries Working Group. “The work encapsulated in these Guidelines will, of necessity, continue and be undertaken in collaboration with all relevant stakeholders to increase our knowledge and understanding of the risks posed by carriage of lithium-ion batteries in containers by sea.”

“As the pressure on all forms of economic activity for decarbonisation increases, the use of these batteries will inevitably escalate at rates we have previously not experienced,” notes Peregrine Storrs-Fox, risk management director at TT Club. “Air transport has been heavily restricted already and it is clear that surface modes will be called upon to transport these goods. As an adaptable unit, the container will remain a focal point for safe transport, including for electric vehicles alongside other vehicle carriers. The intermodal nature of containers means more actors other than shipping lines, be they manufacturers, packers, forwarders, logistics operators, warehouses and cargo handlers must all be cognisant of the safety issues we are addressing and play their part in ensuring the risks are properly managed.”

The Guidelines can be freely downloaded at https://www.cinsnet.com/documents/.

WWW.HCBLIVE.COM
LITHIUM BATTERIES • AS THE TRADE IN LITHIUM CELLS AND BATTERIES CONTINUES TO GROW, CONCERN IS RISING IN THE MARITIME SECTOR. NEW GUIDELINES AIM TO ENSURE SAFETY
SAFETY 57

NEWS BULLETIN

CSB HIGHLIGHTS FAILURES

The US Chemical Safety Board (CSB) has released its final report into the explosion and fire at the Husky Superior Refinery in Wisconsin in 2018, which injured 36 workers and caused some $550m in damages. The explosion happened when the refinery was shutting down its fluid catalytic cracking (FCC) unit ahead of a maintenance turnaround; two vessels in the unit exploded, puncturing a storage tank and spilling some 17,000 bbl hot asphalt that caused several fires.

In addition to smoke from the fires at the refinery, more than 2,500 residents of the nearby city of Superior evacuated and a shelter-in-place order was issued in Duluth, based on the potential risk of a release of highly toxic hydrofluoric acid (HF), which was stored and used at the refinery. Although no HF release occurred, the risk of an HF release was present because the HF storage tank was closer to the point of the explosion than the asphalt storage tank and could have been punctured by the debris from the explosion.

As a result of its investigation, CSB has issued 16 safety recommendations, including a call for the US Environmental Protection Agency to develop a programme that prioritises the inspection of FCC units in refineries with hydrofluoric acid alkylation units, with particular regard to verifying FCC safeguards to prevent explosions during transient operations.

CSB has also released its final report into the toxic gas release and chemical fire at the Bio-Lab facility in Westlake, Louisiana in August 2020 during damage caused by Hurricane Laura. Rainwater from the storm came into contact with a large amount of trichloroisocyanuric acid (TCCA) stored at the site, initiating a chemical reaction and decomposition, the heat from which caused a fire. Part of nearby I-10 was closed for 28 hours

and a shelter-in-place was ordered for the surrounding community.

“The CSB has investigated several incidents related to hurricanes and other extreme weather events,” noted CSB chair Steve Owens. “With powerful storms and other extreme weather occurring more frequently, companies and regulators must take action to prevent weather-related releases of hazardous chemicals that can cause substantial damage to facilities and threaten surrounding communities.”

CSB found that Bio-Lab had not learned the importance of preparing for extreme weather, and had failed to implement updated industry guidance issued following the 2017 incident at the Arkema plant in Crosby, Texas. CSB also notes that TCCA is not covered by OSHA’s Process Safety Management standard nor by EPA’s Accidental Release Prevention requirements and it has reiterated its recommendation to the two agencies to extend their rules to achieve a more comprehensive control of reactive hazards.

www.csb.gov

CLEAN SWEEP RECOGNISES SQAS

The European Chemical Industry Council’s (Cefic) Safety and Quality Assessment for Sustainability scheme (SQAS) has been recognised by the board of the Operation Clean Sweep (OCS) certification programme as an alternative method for assessing the performance of logistics providers. As a result, SQAS-assessed companies will no longer need to obtain additional OCS certification to ensure that they operations have all the safeguards in place to prevent unintentional loss of plastics pellets.

The OCS certification scheme was industry’s response to a 2019 call from the European Commission to step up actions to combat pellet loss. OCS now audits polymer producers and converters and the OCS board, which consists of representatives from a wide range of stakeholders, has agreed to recognise SQAS as an alternative for those involved in polymer logistics.

www.sqas.org

www.opcleansweep.org

58 HCB MONTHLY | MAY 2023
SAFETY

BUNKERING OF GASEOUS FUELS

The International Association of Ports and Harbours (IAPH) has updated its bunkering checklists for fuels such as LNG, liquefied biogas (LBG) and liquid hydrogen. The harmonised bunker checklists are designed for known bunkering scenarios – including ship-to-ship and truck-to-ship – and reflect the extra requirements on ports and terminals for alternative marine fuels bunker operations.

The intention is that the bunkering checklists can support a high level of quality and responsibility in such operations. Implementing harmonised bunker checklists in ports will also be of great benefit to the vessels (and their crew) bunkering in other ports because it will reduce the potential confusion caused by having to comply with different rules and regulations in different ports, IAPH says.

The new checklists can be downloaded free of charge AT https://sustainableworldports.org/ clean-marine-fuels/lng-bunkering/bunkerchecklists/#downloads.

RAIL REMINDER FROM PHMSA

The US Pipeline and Hazardous Materials Safety Administration (PHMSA) has issued two safety advisories in the wake of the recent derailment accident in East Palestine, Ohio. Neither notice adds to regulation but, rather, both remind dutyholders of their responsibilities under existing requirements.

Firstly, PHMSA urges all those involved in the transport of hazardous materials by rail to take further actions to ensure that emergency responders are adequately equipped to respond to incidents and warns that, if investigations reveal that improvements in the emergency response planning process are necessary, it may take additional action in the future.

The second advisory urges hazmat tank car owners and offerors to review existing fleets to check for tank cars that are equipped with

aluminium protective housing covers on manway assemblies, as these can melt when exposed to extreme heat, as they were in the Ohio derailment incident. They should consider replacing aluminium equipment with carbon steel housings, as is the current industry practice. Again, PHMSA and the Federal Railway Administration (FRA) may take addition action if they deem it necessary.

NTSB LOOKS INTO NS

The US National Transportation Safety Board (NTSB), which is already investigating the 3 February derailment in East Palestine, Ohio, has opened a wider special investigation into Norfolk Southern Railway’s safety practices and culture. The East Palestine derailment, while it did not cause any fatalities, raised public awareness and concerns about the safety of the transport of hazardous materials by rail through populated areas.

NTSB notes that it has, since December 2021, had reason to launch investigation teams to five significant accidents involving Norfolk Southern, which led to three deaths, and NTSB will also review another two derailments in Ohio in October 2022 and March 2023.

“The continued safe operations of Norfolk Southern is vital to the United States,” NTSB stresses, saying it is “concerned that several organisational factors may be involved in the accidents, including safety culture”.

NTSB is continuing its investigation into the East Palestine derailment, which will report in due course; it is also examining the specific issue of the use of aluminium protective covers, a number of which failed during the fire that followed the derailment and which has already been the subject of a safety alert from PHMSA (see above). www.ntsb.gov

SAFETY 59
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with an amendment made to the 2015 text of RID/ADR that had been overlooked. In addition, three additional UN entries – UN 3405, 3406 and 3408 – had been identified with classification code OT1 and packing groups II and III that needed to be reflected in the tank code tables.

The Working Group on Tanks proposed –and the Joint Meeting agreed to insert a new line against LGBV under 5.1 for OT1, PG III. Against L4Bn, the current line under 5.1 for O1 is restricted to packing group II (PG I is deleted); the line for OT1, PG I is also deleted and a new line for OT1, PG II is added. Also against L4BN, the current assignment under Class 3 to F1, PG III with a boiling point below 35°C is also deleted. Against L1.5BN, the current Class 3, F1 line is deleted.

OUT OF THE BLOCKS

THE JOINT MEETING tof the RID Committee of Experts and the Working Party on the Transport of Dangerous Goods (WP15) of the UN Economic Commission for Europe (ECE) was held in Bern this past 20 to 24 March, with Claude Pfauvadel (France) as chair and Silvia Garcia Wolfrum (Spain) as vice-chair.

The session was attended by representatives of 23 countries as full members, the European Commission, the EU Agency for Railways (ERA), the Organisation for Cooperation between Railways (OSJD) and 14 non-governmental organisations.

The main purpose of the Joint Meeting is to discuss matters of multimodal applicability, specifically to road, rail and inland waterways, and not least those emanating from the changes made by the UN Sub-committee of Experts on the Transport of Dangerous Goods (TDG) that are included in the UN Model Regulations. The spring session of the Joint

Meeting was its first opportunity to take a close look at the final decisions taken by the UN Sub-committee at its December 2022 meeting and to start taking steps to transpose those amendments into the modal regulations for rail (RID), road (ADR) and inland waterways (ADN) due to enter into force in 2025.

TANKS MATTERS

As is traditional, those papers relating to the transport of dangerous goods in tanks were remitted to the Working Group on Tanks, which met in a hybrid format under the chairmanship of Arne Bale (UK) on 20 to 22 March.

The Intergovernmental Organisation for International Carriage by Rail (OTIF) proposed an amendment to the rationalised approach to the assignment of tank codes to groups of substances, as found in the tables in 4.3.4.1.2. OTIF said that the changes proposed were consequential amendments in connection

OTIF also queried the inclusion in RID of a provision that allows the use of wood in the construction of tank wagons. It was felt that this is most unlikely and it was also noted that there is no equivalent in ADR for road tankers. The consensus of the Working Group was that this special provision (TE 16) should be deleted. Reference to that special provision is deleted from column (13) of Table A of Chapter 3.2 against UN Nos 1745, 1746, 1873, 2015 (twice) and 2495. Again, the Joint Meeting agreed to this change; the OTIF secretariat was asked to bring the decision to the attention of the RID standing working group. The Working Group on Standards, which had met in a virtual format on 30 January, had proposed adopting the revised version of EN 14129 LPG Equipment and accessories –Pressure relief valves for LPG pressure vessels. One outcome of this would be to reference the 2023 edition (kept in square brackets pending the final text) in 6.8.2.6.1 in the table ‘For design and construction of tanks’. The Working Group on Tanks agreed this was appropriate but felt there was no need to include a reference in the third column to 6.8.2.2.1, as this is not done at present for the 2014 edition of the standard. During work to revise EN 14025 on the design and construction of pressure tanks, the provisions relating to the tests of test plates prescribed by EN ISO 15614-1 do not guarantee that the tests carried out give

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MULTIMODAL • THE JOINT MEETING HAS HIT THE GROUND RUNNING IN ITS RACE TO GET TO WORK ON THE AMENDMENTS THAT WILL APPEAR IN THE 2025 EDITIONS OF RID, ADR AND ADN
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results in accordance with the provisions of 6.8.5, as two different welding procedures are possible. France proposed the addition of a Note after the first paragraph of 6.8.2.1.23. Both the Working Group on Tanks and the Joint Meeting agreed to the suggestion, which reads:

NOTE: When 6.8.5 is applicable, the impactstrength tests carried out for the qualifications of the welding process shall comply with the requirements of 6.8.5.3.

The UK had been looking into an issue discussed at the previous session, namely the use of transparent materials in level gauges. It had been agreed that 6.8.2.2.11 should be amended to clarify that sight glass type level gauges are not permitted for Chapter 6.8 tanks, but it had been difficult to settle on a form of words that would be unambiguous.

While there was general agreement of the UK’s offering, the paper had arrived late in proceedings and the Working Group on Tanks was not minded to adopt its proposal definitively. Therefore, the new wording of 6.8.2.2.11 will remain in square brackets

pending confirmation at the next session of the Joint Meeting:

Level-gauges shall neither be part of, nor fitted to shells, if they incorporate transparent material which can, at any time, come into direct contact with the substance carried in the shell.

There will be a need for three transitional measures for tank-wagons, fixed tanks and tank-containers, respectively; these were also left in square brackets pending later approval.

During its translation of the 2023 text of ADR, Poland had found that the definition of fibre-reinforced plastics (FRP) tanks adopted in Chapter 6.9 deviates from the general rule of the definitions for ‘tank’ in 1.2.1 and ‘portable tank’ in 6.7.2.1. Poland proposed modification of the new definition for ‘FRP tank’ in 6.9.2.1 and possibly also for ‘FRP shell’, in particular to transfer mention of tank ends (heads) from ‘FRP tank’ to ‘FRP shell’.

The Working Group on Tanks felt that it was appropriate for the proposal to be discussed but any changes would need to be made by the UN TDG Sub-committee. The Working Group did, though, support Poland’s position.

REGULATIONS 61
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Poland will submit an official document to the next session of the Sub-committee.

The Netherlands prompted a discussion on the calculation of the actual holding time of tanks for refrigerated liquefied gases, following several recent incidents in which the pressure relief valve of a cryogenic tank had activated, causing severe disruption. Authorities had investigated to examine why the existing provisions to prevent the premature opening of valves was not effective. It was found that, in most cases, an actual holding time was not calculated for tank containers and portable tanks; even when that calculation was made, incorrect data or incorrect calculation methods were used. The Netherlands wondered if other states had experienced similar issues.

The International Rail Union (UIC) mentioned that it was planning to forward an official document to the autumn Joint Meeting on empty uncleaned tanks, though this will only deal with some of the issues raised by the Netherlands. Generally, experts confirmed the problems that had been found and welcomed the initiative taken by the Netherlands. It was, though, acknowledged that this is a complicated matter in practice and it is not always clear who is responsible or in a position to calculate the actual holding time. It was agreed that discussions will continue at the next session on the basis of the UIC paper and a revised paper from the Netherlands.

France urged a reopening of earlier discussions on the dual approval of tank containers, which had been aired during recent sessions of the Working Group on Tanks in relation to the inspection and certification of tanks. In summary, when RID/ ADR were restructured along the lines of the UN Model Regulations, Chapter 6.7 was introduced to include the provisions relating to UN portable tanks, which are those used in maritime transport but can also be used for land transport. At the same time, it was decided to keep the RID/ADR requirements of Chapter 6.8 relating to land tank containers. As a result, portable tanks of Chapter 6.7 are often also approved as tank-containers of Chapter 6.8, which can cause problems. France’s belief was that portable tanks used

worldwide for multimodal transport should only be approved in accordance with Chapter 6.7 and that dual approval should no longer be possible.

The Working Group agreed that there are problems with dual approval but also that there are advantages. Three ways forward were identified: (a) continue with the status quo; (b) forbid dual approval; or (c) delete tank-containers from Chapter 6.8.

The third option was dismissed: there are many tank-containers of limited size and tank swap bodies in service that depend on Chapter 6.8. On balance, most experts who took the floor expressed a preference to forbid dual approval. France took note of the comments made and will prepare a formal document for an upcoming session.

NEW STANDARDS FOR OLD

The Working Group on Standards had met prior to the Joint Meeting session to review information provided by the European

Committee for Standardisation (CEN) on the revision and updating progress of a number of standards referenced in RID and/or ADR. There were only a few that are at the point where the Joint Meeting needs to consider action and one of these, EN 14129, was passed on to the Working Group on Tanks for discussion (see above).

There were two formal proposals from the Working Group on Standards, relating to the 2022 update of EN ISO 9809-4 Gas cylinders – Design, construction and testing of refillable seamless steel gas cylinders and tubes – Part 4: Stainless steel cylinders with an Rm value of less than 1 100 MPa, which is referenced in the table ‘Design, construction and initial inspection and test’ in 6.2.4.1, and the 2022 update of EN 13110:2022 LPG equipment and accessories – Transportable refillable welded aluminium cylinders for liquefied petroleum gas (LPG) – Design and construction, which appears in the table ‘for design and construction of pressure receptacles or

62 HCB MONTHLY | MAY 2023

pressure receptacle shells’ in 6.2.4.1. Both of these changes were confirmed by the Joint Meeting.

The Working Group on Standards also carried out an assessment of prEN ISO 21011 Cryogenic vessels – Valves for cryogenic service. The Working Group initially intended to propose this for reference at the spring 2023 session but it was decided to hold the proposal over to the autumn session since it was realised that this will replace EN 1626:2008 and further work is needed to ensure all RID/ADR issues are addressed correctly.

CEN noted that two general purpose standards, which are referenced in Part 9 of ADR, are also under revision, IEC 60079-2 and IEC 60079-11. These relate to equipment protection for operation in explosive atmospheres.

Finally, it has been identified that there are some standards still referenced in RID that have been withdrawn and replaced by new versions. CEN is to provide a list to the secretariats of the Joint Meeting so that appropriate action can be taken.

Who

Meeting on the difference between ‘nominal

This question was raised after the UN TDG Sub-committee adopted a new definition for ‘degree of filling’ that will appear in the 23rd revised edition of the UN Model Regulations. Belgium thought this might be a topic for the forthcoming ad hoc Working Group on the

carriage in bulk. In accordance with 5.3.1.4

placards relating to the dangerous goods carried. However, RID/ADR/ADN contain no packaged dangerous (including IBCs and

REGULATIONS 63
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examples of such carriage have been encountered during roadside checks – and, according to 5.3.1.5 no placards are required. Most delegates were of the opinion that the matter relates only to ADR; further, the matter could be settled by clarifying that 5.3.1.4 applies to vehicles only when actually being used for bulk transport. France will come back with an official proposal at the next session.

Another informal document from France related a similar issue pertaining to the carriage in bulk of empty packagings, uncleaned, that have contained dangerous goods. This is permitted if bulk carriage is not explicitly prohibited by other provisions of ADR, as per the last sentence of 7.3.1.1, and 1.1.3.6.3 assigns such empty packagings to transport category 4, which means orange plates and placards are not mandatory. Again, the question is whether the vehicles used for the carriage of empty packagings in bulk need to be placarded in accordance with 5.3.1.4 or are exempted from the requirements on the basis of 1.1.3.6.

There were numerous comments and contributions to this debate and it was thought that the relevant sentence in 7.3.1.1 might have been carried over from the prerestructuring versions of RID/ADR and could now be deleted. France volunteered to undertake additional research, together with the International Confederation of Container Reconditioners (ICCR), and return with a formal proposal.

PROPOSALS FOR AMENDMENT

The International Association of Safety Advisers (IASA) returned to its earlier proposals to amend special provision 668, with this latest proposal taking into account comments from previous attempts. SP 668 permits the transport of elevated temperature substances for the purpose of applying road markings, without being subject to the requirements of RID/ADR, provided that certain conditions are met. IASA’s point is that there are other elevated temperature substances that are transported for sealing and repairing cracks and crevices on road surfaces and it seems

perverse not to apply the same approach to these, not least since they are sometimes carried on the same vehicle.

This time the Joint Meeting concurred with the proposal, although after examining the text put forward by IASA it made some alterations. It was agreed that the opening paragraph of SP 668 be amended to read:

Substances for the purpose of applying road markings and bitumen or similar products for the purpose of repairing cracks and crevices in existing road surfaces, carried at elevated temperature, are not subject to the other requirements of RID/ADR/ADN, provided that the following conditions are met:

IASA also proposed that the instructions in writing, as required by 5.4.3, be marked with the year of publication, to make it easier for carriers to ensure that members of the vehicle crew are always equipped with the correct version. Strictly speaking, this is not currently allowed, since there is no permission for additional information to appear and the model instructions in writing do not indicate the year, although RID does offer some flexibility.

Some delegations expressed the opinion that no amendment is necessary since there is no pressing safety reason and that, furthermore, an amendment may lead to future interpretation issues. IASA withdrew the proposal but may return with a revised proposal after further consideration.

Another paper from IASA related to the language to be used on the transport document. At present, ADR and ADN require the transport document to be drafted in an official language of the forwarding country and, if this is not English, French or German, in English, French or German. IASA felt that RID’s approach provides easier compliance, as it states that the transport document shall be filled out in one or more languages, one of which shall be English, French or German, unless agreements have been concluded between the countries concerned. IASA proposed the amendment in ADR and ADN of 5.4.1.4 to more closely mirror the RID text, and also to specifically state that, for national transport, the document shall be in any of that country’s official languages.

64 HCB MONTHLY | MAY 2023

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IASA pointed out that the average international transport operation often results in different languages being used, so that the language of the country where the transport begins may only be relevant for the first part of the journey. On the other hand, inspection and enforcement agencies and the emergency services are used to handling texts in English, French or German so no detrimental safety issues would be anticipated by making the

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There was some support for the first part of IASA’s proposal but most delegations felt it was important to make sure the transport document is in an official language of the forwarding country. As to the latter part of IASA’s proposal, it was stressed that national transport does not fall under the scope of RID, ADR or ADN, despite the fact that these agreements are often applied to such operations. IASA may come back with a

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Another IASA paper proposed harmonising the definitions of ‘closed wagon’, ‘closed

This proposal did not meet with the Joint Meeting’s approval. Those delegations who spoke urged caution, since there could be considerable consequences in practice: it could mean that several types of wagon and vehicle currently used in the transport of dangerous goods would no longer be permitted. IASA withdrew its proposal.

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IASA fared little better with its final proposal, which was to amend the wording of the fifth indent in 1.8.3.13 in RID/ADR, which relates to the possibility that dangerous goods safety advisers (DGSAs) may be questioned only on those types of dangerous goods that the undertakings they work for are involved with. In particular, the last indent refers to ‘UN Nos 1202, 1203, 1223, 3475 and aviation fuel classified under UN Nos 1268 or 1863’. IASA

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noted that, as written, this means that other products classified under UN 1268 or 1863 are not covered.

The OTIF Secretariat had also spotted that the German and French versions of 1.8.3.13 differ from the English version and that the English version is correct.

Most of the delegations who took the floor did not support the proposed amendment to 1.8.3.13 of RID/ADR. It was clarified that the current provisions are mainly linked to the specificity of the training requirements for safety advisors and for drivers of tank vehicles carrying fuels of Class 3 and that the proposed amendment would broaden the scope to many other substances under n.o.s. entry UN 1268.

PENDING ISSUES

The Secretariat had been busy trying to sort out an issue that had been brought to its attention last year, regarding the assignment of special provisions to the various entries for ammonia. It had been queried whether the current assignment of SP 532 to UN 2073 and SP 543 to UN 2672 had not been inadvertently swapped. After close reading, the secretariat was of the opinion that there was no error and that the special provisions were correctly

assigned. However, these special provisions are simply notes to remind users about other potential entries for ammonia solutions.

At the spring 2022 session of the Joint Meeting, opinion was divided on how to address the issue. The Secretariat now proposed several options and the Joint Meeting agreed that the best solution would be simply to delete the two special provisions (and their assignment in Table A of Chapter 3.2), which would also have the benefit of aligning with the UN Model Regulations.

The Secretariat noted that SP 532 and 543 were introduced into RID/ADR in 1993 as notes to marginals; these appeared in the relevant chapters for substances of Class 2 and Class 8, respectively, to point users in the direction of more information. Their usefulness passed once the marginals were rewritten as special provisions. The Joint Meeting had noted that there are other special provisions that were developed for the same reason and that, once the issue relating to SP 532 and 543 was cleared up, it would be useful to examine whether similar action should be taken for other special provisions. The Secretariat was requested to analyse other similar special provisions resulting from the

restructuring of RID/ADR marginals and to come back with a proposal if deemed pertinent.

Germany noted that, following the introduction of ‘waste gas cartridges’ into SP 327 in the 2021 texts of RID and ADR, some consequential amendments had been overlooked. Its paper proposed the addition of “and gas cartridges” after “Aerosols” in special provisions W 14 (RID) and V 14 (ADR) in 7.2.4, and the insertion of “W14/V14” in column (16) of Table A of Chapter 3.2 against the entries for UN 2037. Those proposals were accepted by the Joint Meeting.

The European Industrial Gases Association (EIGA) asked for a clarification to the Notes in 6.2.3.5.1 and 6.2.4.2 relating to the tolerance value given in EN ISO 18119:2018. The Joint Meeting agreed the need for clarification but did not feel in a position to accept EIGA’s proposal in detail; instead if invited all interested delegates to contact EIGA directly. EIGA offered to organise a virtual meeting and prepare an official document for the next session.

Liquid Gas Europe followed up on discussions from the previous session of the Joint Meeting on the definition of LPG. It had proposed to remove the reference to ‘petroleum’ when describing LPG, since the use of alternative sources, including bio- and renewable sources, is increasing. In particular, it had indicated that it would include an as-yet unidentified percentage of dimethyl ether (DME) in the definition. Liquid Gas Europe had intended to submit an official document for the spring 2022 meeting but, in the event, it reported that it is proceeding “diligently and with caution” as it seeks to determine the safe percentage of DME that can be added to LPG to allow the blend to be used as a drop-in product to replace conventional LPG. The organisation now said it expects to submit a formal paper for the autumn 2023 Joint Meeting.

The Council on Safe Transportation of Hazardous Articles (COSTHA) continued with its twin proposals on the topic of direct-toconsumer deliveries. The first relates to the definition of ‘overpack’ and whether the various bags and other handling devices used by delivery companies to sort packages prior to and during delivery rounds can be so

66 HCB MONTHLY | MAY 2023

described or whether an alternative definition, such as ‘consolidation bin’, already in use in the US and Canada, could be applied. Another factor that adds to complexity is that various different dangerous goods (including those shipped in limited quantities) may be contained in any one ‘consolidation bin’, alongside non-dangerous goods, and will be delivered at various points along the delivery route; as the regulations stand, that consolidation bin would need to bear all relevant labels (including LQ, lithium battery mark, etc) until such point as no dangerous goods remain. This would be virtually impossible in practice.

Following the concerns raised by several delegations, the Joint Meeting agreed on the need to further analyse and justify the need for introducing the new term ‘consolidation bin’ as well as the responsibilities on marking,

labelling and documentation during the transport of such consolidation bins. The Joint Meeting agreed to resume its discussion of this subject at its next session, based on a detailed official document to be prepared by COSTHA.

COSTHA’s other topic concerns online grocery deliveries. If consumers drive to the grocery store and buy dangerous goods (household cleaners, flammable liquids, lithium batteries, etc) and carry them home by car, they are exempt from the provisions of ADR. If those same goods are ordered online and then delivered by the retailer’s own vehicle, do they then fall under the scope of ADR? There are no specific exemptions and, as with the ‘overpack’ issue, the presence of dangerous goods on any particular vehicle will vary along the delivery route. Following extensive discussion both at the Joint Meeting

and the UN TDG Sub-committee, COSTHA now came with a formal proposal for a new sub-paragraph (g) in 1.1.3.1 to provide an exemption under certain circumstances for such delivery operations.

COSTHA’s proposal drew supportive amendments from France and the European Aerosol Federation (FEA) and there is clearly an acknowledgment on the part of the Joint Meeting that some amendment is warranted to recognise this form of transport operation, which has become increasingly prevalent since the outbreak of the Covid pandemic. It is expected that discussion will continue at the autumn 2023 session of the Joint Meeting.

The second part of this two-part report on the spring session of the Joint Meeting of RID/ADR/ ADN Experts in next month’s HCB will cover new proposals for amendments, reports from working groups, and other business.

REGULATIONS 67

NOT OTHERWISE SPECIFIED

ACTION MOVIE

Modern life is, as we all know, rubbish. Then again, when we were young we yearned for a way to have our favourite movies available whenever we wanted them – but in those days that would mean having a dedicated theatre room with a screen and a projector. Nowadays anyone can have a huge library of films on hand, in high definition and Dolby sound, running through their wide-screen TV.

But that is not without its hazards, as one family in India discovered last month with tragic consequences. A young newlywed, Hemendra Merawi, was unwrapping wedding presents with his family at his house in Chhattisgarh in early April. One of the prize gifts was a brand-new home theatre music system, which he eagerly plugged in. As the switch was thrown, the equipment exploded, killing him on the spot; five other members of the family were badly hurt, one of whom – his elder brother –died later in hospital.

A police team and forensic specialists attended the scene. They could not find any trace of explosive or flammable material in the house and the new equipment was the only item to have exploded. Further investigation is underway, although press reports do mention sinisterly that the district is subject to terrorist activity by Maoist rebels. All in all, it would probably have been better just to go to the cinema.

AH, HUBRIS

Not quite so tragic but still alarming was an incident in Sydney, Australia over the Easter weekend, when five people were rushed to hospital with burns after an outdoor fire pit exploded. According to reports, the explosion happened while the fire pit’s fuel system was being refilled with ethanol.

The owners of the property where the incident happened – said to be a “luxury multi-level home” overlooking Newport Beach that was bought for A$8.5m in 2020 –were hosting an Easter gathering in their backyard at the time. One of those injured had to be put in an induced coma prior to being taken to hospital. Neighbours said the evening was “bedlam” – but not because of the party or the explosion, rather the number of locals who came out to see what was going on.

AMBULANCE CHASING

Police in New York were called to help stop an ambulance at the end of March, and had to resort to extreme measures at the end of the chase. It all started when a 47-year-old man was taken to Mount Sinai Morningside Hospital in Manhattan for observation (observation of what we are not told). Some time later, the man left the hospital – again, it is not clear whether he was discharged or just walked out; perhaps he was not under close observation – and found that the ambulance that had brought him to the hospital was still outside. What’s more, there was no-one in it, the doors were unlocked and the key was in the ignition.

Not surprisingly under such circumstance, the man decided to get in and drive off. The now-missing ambulance was tracked by GPS travelling north on I-87 and it was spotted by state troopers near Tarrytown. The driver failed to stop and the troopers gave chase, which only ended when police threw a tyre-spiking device across the road on a bridge across the Hudson River.

The man was arrested on several charges, including driving while intoxicated. Now it makes sense…

HCB MONTHLY | MAY 2023 68 BACK PAGE
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OUT OF THE BLOCKS

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NOT ON OUR WATCH

2min
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INCIDENT LOG

3min
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NEWS BULLETIN

5min
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H2 TO GO

2min
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CLEANER SAILING

2min
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NEWS BULLETIN

5min
pages 65-66

EYES IN THE SKIES

2min
page 64

ROBOT REBOOT

2min
page 63

IT’S A START

2min
pages 61-62

THE BIG PAY-OFF

2min
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How to unleash your career potential for energy transition

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UNLEASHING YOUR POTENTIAL FOR ENERGY TRANSITION: A MESSAGE FROM JOHN REYNOLDS

4min
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News Transport Committee report on fuelling the future

1min
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CONTRIBUTING TO THE DECARBONISATION OF THE INDUSTRY

4min
pages 55-56

SAFE TRANSFER SYSTEMS

1min
page 54

AN OVERVIEW OF NON-DESTRUCTIVE TESTING (NDT) FOR ABOVE-GROUND STORAGE TANKS

7min
pages 52-53

Security

1min
page 51

WHAT’S NEXT FOR THE BULK STORAGE AND ENERGY INFRASTRUCTURE SECTOR

6min
pages 50-51

COMPLACENT?

3min
page 49

THE IMPORTANCE OF STORAGE TERMINALS IN THE RENEWABLE FUEL SUPPLY CHAIN

4min
page 48

Contents

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BRIGHT IDEAS

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pages 44-46

PRESSING ON

2min
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ACCIDENTS WON’T HAPPEN.

19min
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THE NEXT STEPS

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Your tank container experts

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NEWS BULLETIN

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QUICK UPDATE

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SPECIAL DELIVERY

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OUT INTO THE WORLD

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BACK AND FORTH

7min
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Tailor made tank container solutions

2min
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WHOLE LOTTA TANKS

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LEARNING BY TRAINING

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30 YEARS AGO

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EDITOR’S LETTER

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