HCB September 2019

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MONTHLY THE INFORMATION SOURCE FOR THE INTERNATIONAL DANGEROUS GOODS PROFESSIONAL SINCE 1980  PLANNING A HYDROGEN SUPPLY CHAIN  DANGEROUS GOODS BY AIR REVIEW  RESPONDING TO CHEMICAL SPILLS IN ASIA SHOW ON THE ROAD SUPPLIERS OFFER TOOLS FOR THE SAFER TERMINAL SEPTEMBER 2019

EDITOR’S LETTER

Over my time at HCB – more than 25 years now – I have had to introduce any number of new recruits to the wonderful world of dangerous goods and what we do to help industry keep up to date. Even for people who have worked in trade journalism before, HCB offers a different perspective: not only do we deal with a comparatively complex aspect of the supply chain, we also look at the end-to-end journey of products from the manufacturer to the end user.

In our terms, we cover a vertical. That is in sharp contrast to most other trade titles, which cover horizontals: trucking magazines cover trucking, whatever the cargo; air publications cover air transport, not just dangerous goods; the big maritime press deals with all manner of topics of interest to the sector. On the other hand, we deal with all of these sectors, and more, but only from the point of view of the transport, storage and handling of dangerous goods.

That approach brings us into contact with a lot of different industrial sectors, although our coverage of them is much the same: what are they doing to improve safety and regulatory compliance, what new products and services have they developed and, at least for the larger companies, how is this translating into their financial results.

Bearing in mind that I have reported on that through several business cycles now, including the 1997 Asian financial crisis and the 2008 crash, it has often been noticeable how bulk liquids storage terminals have managed to sail through the ups and downs relatively serenely, often only reporting a blip in earnings just as things begin to pick up and cargo owners draw down their stocks.

Things have been different over the past year or so. Terminal operators are facing many of the same macro-economic and geopolitical factors

as other players in the chain, not least the changing product flows as new material is stemming from producers in cost-advantaged locations in North America and the Middle East, and more recently growing political tensions and expanding trade wars and sanctions.

Terminal operators are also being disproportionately affected by the ‘IMO 2020’ rule on the sulphur content of marine bunker fuels, which is forcing many companies to take tanks out of service for modification in anticipation of having to handle a larger number of grades.

Further ahead there will be the phasing out of hydrocarbonbased fuels, with 2050 emerging as the favoured year for a carbonneutral future. This will inevitably affect many terminals quite fundamentally but, as we are beginning to hear, there are other carbon-neutral and carbon-free options that might offer alternative cargoes for terminals. This month we report on Vopak’s investment in a project to deliver hydrogen in the form of a liquid fuel, using an organic carrier, that would fit seamlessly into the existing bulk chemical supply chain; work is also going on to develop viable e-fuels, using electrolysis powered by renewable electricity to generate liquid fuels.

These topics will doubtless be on the minds of terminal operators as they gather for the big autumn events: Tank Storage Asia in Singapore and the UK Tank Storage Association annual conference both take place this month, with the EPCA Annual Meeting just a couple of weeks later. By the end of all that we may have a better idea of where we’re going.

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CONTENTS

VOLUME 40

NUMBER

Lufthansa takes care of cargo 26 The Belgian hub

SAFETY

Log

UP FRONT

Letter from the Editor

30 Years Ago

Learning by Training

The View from the Porch Swing

STORAGE TERMINALS

On the up Vopak improves results

Workin’ in Antwerpen NNOAT continues to grow

Going glocal Adnoc buys into VTTI

Sky blue thinking

TSA returns to Coventry

Steady eddy Viking adds SLOFEC

Singapore swing

Looking ahead to Tank Storage Asia 19 News bulletin – storage terminals

DG BY AIR

Head in the clouds

Qatar Airways gets it right 24 Airborne solutions

Coastair builds out Liège base 28 Boxing clever Biocair’s pharma packagings

CHEMICAL DISTRIBUTION

Reaching further

Brenntag carries on buying 30 Looking good

IMCD confident for 2019

Fortune tellers

CBA askes its members’ opinions

TANKS & LOGISTICS

Uncommon carrier

Delivering hydrogen in liquids 34 Sealed for quality

VSP gaskets for tank containers 36 News bulletin – tanks and logistics 37

COURSES & CONFERENCES

Training courses 42 Formula for success

Channoil brings training to Malta 44 Conference Diary 46 Material gathering

Looking ahead to Contamination Expo 48

The more the merrier

APRC builds Asian response

watching

as a loss prevention

bulletin

REGULATIONS

On time,

and verify

More about

First class meeting

IGUS/CIE group

BACK PAGE

Not otherwise specified

NEXT MONTH

The Europe issue

Preview of EPCA’s Annual Meeting

and inland shipping

Road tankers in Europe

next for

Editor–in–Chief

Peter Mackay

Email: peter.mackay@hcblive.com

Campaigns Director

Craig Vye

Email:

Deputy Editor

Alex Roberts

Email:

HCB

Production Manager

Binita Wilton

by

Media

Managing Editor

Stephen Mitchell

Email: stephen.mitchell@hcblive.com

Designer Natalie Clay

Cargo Media Ltd

Marlborough House

Regents Park Road,

ISSN 2059-5735

Commercial Director

Ben Newall

Email:

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Tel: +44 (0) 7769 685 085
alex.roberts@hcblive.com Tel: +44 (0) 208 371 4035
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Monthly is published
Cargo
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.
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Incident
49
capacity 52 Always
CCTV
tool 54 News
– safety 55
in full VCA Seminar covers the lot 56 Trust
enforcement at COSTHA 62
mull Class 1 changes 66
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Shortsea
What’s
RID/ADR/ADN

30 YEARS AGO

A LOOK BACK AT SEPTEMBER 1989

By September 1989, HCB was nearing the end of its first decade of publication and the format of the magazine had settled down: bookended by regulatory updates at the front of each issue (which in this number were extensive) and at the back the latest information on safety issues in the transport of dangerous goods, each copy also contained three or four special surveys on topics of interest to readers. In September 1989, for instance, those included tank container cleaning and repair depots, the transport of cryogenic materials, and dangerous goods warehousing.

As is the case today, the editor was also given the luxury of having a page to himself to discuss hot topics. Those who have been watching our current editor’s weekly videos (available on the HCB YouTube channel – subscribe now!) will have seen him discuss a number of important incidents that have provided lessons for everyone in the industry, being worried that those lessons may be forgotten as the old hands retire and corporate memory fades.

Back in September 1989, then editor Michael Corkhill was musing on exactly one such incident, when a fully laden gasoline tanker ran out of control on a hill in Herborn, Germany in July 1987 and crashed into a café, spilling its load that caught fire and killed four people. In the wake of that incident, the West German (as it still was) government and the European Commission were of the firm opinion that road transport is inherently less safe than other modes. The government put in place restrictions on the transport of dangerous goods by road that still exist – and apply equally to international transport, which comes as a surprise to some.

Another outcome of the Herborn incident was the introduction of the concept of the ‘dangerous goods safety advisor’, something that Germany worked hard to bring into ADR.

Mike Corkhill’s opinion at the time was the imposition of routing requirements over and above anything included in international regulation was contrary to the spirit of the Treaty of Rome and, with the free European market in goods and services about to arrive, this could prove problematic – although it has been allowed to stand now for nearly three decades.

The other major story in 1989 was the introduction of the UNspecification packaging. This had proved something of a windfall for HCB, with a number of manufacturers keen to advertise their capabilities – the September issue, for instance, carried adverts from Plysu Containers, Blagden Packaging, Van Leer and Greif – but it had also encouraged a dialogue through the pages of the magazine, with consultant Arthur Hancock taking the time to argue that the transition to the new system would be fraught with problems.

Indeed, Arthur’s argument sounds very familiar: while the system was meant to introduce greater harmonisation along with greater safety, that was in doubt in international terms as Australia had already implemented a requirement for UN-specification packaging, while Europe was to introduce similar measures on May 1990 and the rest of the world was aiming for January 1991. Furthermore, while there was no possibility that there would be any delay to the deadline, he suspected that shippers might be tempted to take a risk by relying on the lack of sufficient enforcement capacity.

HCB MONTHLY | SEPTEMBER 2019 04

LEARNING BY TRAINING

During the last eight years I have trained many marine tank storage operators on how to control the ship/shore interface and achieve operational excellence. The first thing I do is ask a simple question: are you really in control? After that I ask them ten relevant questions. Too often I come to the conclusion that full control has not yet been achieved.

To control any operational or management system, the first part is to become aware about the risks and vulnerabilities of the operational system. What I observe is what is called ‘compartmentalisation’. People tend to focus on a part (their task) of the organisation. Operators do the operators’ job, loading masters theirs or management ‘manages’. People usually look at ‘parts’ because they don’t understand the ‘whole’.

If I train them to understand how the whole system should work, amazing results are achieved. I show them that if feedback (information about their responsibilities) is shared and communicated, the operations can be controlled much better. It means that people in the terminal, refinery or transport company have an obligation to learn much more about the entire system. Focusing on their tasks alone and not understanding what the duties of others are, limits the ability to run and control the operations fully. It is all about an overall view.

You may ask: who is responsible for learning? I’d say there is a shared obligation to learn as much as one can. Management can order that people need training, but people must demand they are trained as well. The best scenario is that anyone working there should be motivated to reflect on his or her own awareness,

knowledge or skill: ‘I don’t seem to know enough, I will make sure I will learn more.’ To assist companies, we observe people during operations and test competencies. Only when all needed capabilities are confirmed can we certify that maximum control has been achieved.

As a training company we notice that investments are made primarily in equipment, automation, tanks or technology, but that investments in learning is overlooked. This is an error of omission: things that should have been done have not been done. No matter how much management wants to reduce costs, people must not be ignored as a decisive factor when incidents or accidents occur.

People steer the operations but can do much better if they are taught how to think in systems. When they develop an overall view of their operations and learn that every task, duty or job is interdependent and interconnected, overall excellence becomes possible. It means that everyone must understand the law of requisite variety: a terminal generates tremendous variety and tries to control them through HSEQ rules, checklists or regulations. But that is not enough.

A terminal needs to develop internal requisite variety to be able to absorb (counter-balance) ‘outside’ variety (risk). This means having the people with the combined knowledge, experience, expertise and influence to do so, sharing all relevant information, and thinking in systems.

This is the latest in a series of articles by Arend van Campen, founder of TankTerminalTraining. More information on the company’s activities can be found at www.tankterminaltraining.com. Those interested in responding personally can contact him directly at arendvc@tankterminaltraining.com.

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FROM THE PORCH SWING

WHERE ARE THE PERIODS IN HCB?

Will I lose my job as an occasional columnist if I don’t know if the magazine is officially ‘Hazardous Cargo Bulletin’ or if the acronym ‘hcb’ is now its official name? Yeah, maybe I shouldn’t have asked that out loud. But really, aren’t they pretty much interchangeable? I guess potential new readers would find Hazardous Cargo Bulletin more descriptive than hcb, and know that it will be of interest to them, but for most of us they’re interchangeable. As an industry we use a lot of acronyms, often interchangeably with the full phrase, term, or name that the acronym has shortened.

In the world in general, though, it’s not always that way. Sometimes the acronym replaces the phrase completely. What does ‘laser’ stand for? Where did we get the word ‘sonar’? In my favorite example of the acronym becoming a freestanding word on its

own, the meaning of that word changed from when it was an acronym. ‘For Unlawful Carnal Knowledge’ (great album title, by the way, Van Halen) is an old-fashioned term referring to illegal sexual intercourse, either infidelity or underage or both. Of course, now its acronym is a word that refers to all sexual intercourse, whether unlawful or completely legal. And, of course, it’s also a swear word used as an exclamation of disgust and/or frustration.

Some acronyms aren’t unique though. Heck, browsing lists of acronyms on the interwebs makes me think almost all acronyms aren’t unique. Normally though, the set of people who use CSF to mean the California Scholarship Foundation doesn’t have much overlap with the set of people who use CSF as shorthand for CerebroSpinal Fluid. And it’s hard to imagine context that would make it difficult to distinguish one CSF

from the other CSF, or in fact from any of the other dozens of names for which CSF is an acronym.

But sometimes there can be an unfortunate acronym used for different terms in a single field or industry. Once upon a time I joined (okay, my employer joined) a US-based organization called the Hazardous Materials Advisory Council. By the way, I never got an official determination on whether HMAC was to be pronounced Aitch-mac, Hey-mac, or Aitch-Em-A-See. Anyway, as one of the first ever NGOs (non-governmental organizations) to join the United Nations Committee (Yes, it was once a committee, not just a subcommittee) on the Transport of Dangerous Goods, HMAC decided to move from being a US-focused organization to a global one. Part of that change in goals was recognition that “hazardous materials” implied US, while “dangerous goods” is the equivalent global term. So, HMAC became DGAC (with the same kind of pronunciation issues, Dee-jack, Deegack, or Dee-Gee-A-See).

Alas, there is another DGAC in our industry, France’s Direction Générale de l’Aviation Civile, which was so named in 1976, long before HMAC’s name change. So, if there were to be a DGAC meeting about fees/ taxes related to the air transport of certain dangerous goods, which organization is hosting the meeting?

There is a much more egregious example, though, potentially affecting the DG world these days. While everyone is in favor of competence (at a minimum) in DG training, both in the delivery of the training as well as in the subsequent capabilities of the trainees, calling current proposals “competency based training” is a bad idea, and using the acronym CBT is a worse one. Let’s address them in reverse order.

Professional trainers have known and used the acronym CBT as meaning Computer Based Training for at least a couple of decades. And during those decades there have been informal discussions and formal studies and all kinds of debate on the pros and cons of the various ways computers can be used to assist in training delivery. CBT, the established acronym, covers webinars, videoconferences, CDs/DVDs, digital re-

HCB MONTHLY | SEPTEMBER 2019 06

delivery of previously live presentations, and more. CBT-original does not cover live, in-person, hands-on delivery of training. CBT-original can be wonderful, and it can be horribly misused, but that’s not the point of this column. Any trainer who was interested in the varying effectiveness and costs of different methods of training delivery knew the acronym CBT.

So, how is it that those who propose competency based training would use that potentially confusing acronym? The newer CBT may involve CBT-original or live training or both. So, actually, a knowledge of CBToriginal could potentially help assess whether the CBT-new goal is likely to be achieved in a given situation.

Now, please, re-read that previous sentence ignoring the “-original” and “-new”. Hard to tell that CBT isn’t always CBT, isn’t it?

Context doesn’t help much, does it? And what if non-CBT-original (live) methods are used to try to meet CBT-new goals? Try explaining that to upper management. ‘We won’t be

using CBT even though CBT is required’. I know appearances can be deceiving, but it sure does appear that whomever chose the CBT-new acronym didn’t know much about CBT-original, or they’d’ve tried to find a different one.

Which brings me to my second point about CBT-new. Is “competency based training” really training based upon competency? Isn’t competency the desired outcome rather than the basis of the training? I’m fairly certain I know what is intended by the term, but isn’t there a more grammatically correct way to word it? How about something like Achieving Competency Through Training? Doesn’t that say it better? Oh, and it’s not got CBT as an acronym, either. Hey, there’s something about this alternate acronym that makes me think the status quo, the “but we’ve always done it the old way” method needs some action to change it. And in all-caps, doesn’t ACTT suggest we need to act sooner rather than later? Maybe I should formally submit this alternative acronym. Ah, maybe, but first a

visit to AcronymFinder.com… pause… Drat, AirCraft Total Time, and, Air & Command Tactical Trainers beat me to it. Maybe, then, instead, Achieving Functional Competence through Training, AFCTT or AFCT?

Regardless, I think if we want employers and trainers to understand and properly implement the new guidance, we have to be crystal clear in explaining what we mean. For me, step one is getting rid of the CBT (-new) acronym, and the second step is choosing a new term that is clear that competence (if not excellence) is the desired outcome and not the starting point.

HexaChloroBenzene, HTML Comment Box, and Hood Canal Bridge probably don’t mind sharing hcb with Hazardous Cargo Bulletin, with or without periods in the acronym.

This is the latest in a series of musings from the porch swing of Gene Sanders, principal of Tampa-based WE Train Consulting; telephone: (+1 813) 855 3855; email gene@wetrainconsulting.com.

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ON THE UP

RESULTS • VOPAK HAS ENJOYED A RECOVERY IN ITS FIGURES IN THE FIRST HALF, SIGNALLING THAT ITS REVISED STRATEGIC VISION IS TAKING THE COMPANY IN THE RIGHT DIRECTION

Global storage capacity at the end of the second quarter stood at 36.9m m³, up from 36.0m m³ a year earlier after a number of additions and divestments. Average occupancy slipped though, from 86 per cent in first half 2018 to 85 per cent for the same period this year and 84 per cent for the second quarter. Vopak says this drop relates primarily to temporary closures to prepare tanks for the new ‘IMO 2020’ rules on the sulphur content of marine fuels, which take effect on 1 January 2020, as well as continued weakness in some of its oil hub terminals.

European sites: Algeciras, Amsterdam and Hamburg. First State Investments is to pay some €723m for the three terminals, which is expected to deliver an exceptional pre-tax gain of around €200m in the second half of 2019. “The divestment of some of our European assets will, after completion, shift our portfolio further towards industrial, chemical and gas terminals,” Hoekstra explains. “We aim to grow our portfolio in line with market developments and expect our growth investment momentum in 2019 to continue in 2020.”

ROYAL VOPAK HAS reported improved results for the second quarter and first half of 2019. The company has this year adopted the IFRS 16 accounting principles but, on a pro-forma basis, revenue for the first half was 2 per cent ahead of last year at €641.4m and group EBITDA, excluding exceptional items, rose by 14 per cent to €398.3m. The main exceptional item booked in the second quarter was a gain of €16.4m from the sale of its 50 per cent shareholding in the Vopak EOS terminal in Estonia in April this year.

“The first half of 2019 was important as we have taken further steps in the delivery of our strategy and the alignment of our portfolio based on long-term market developments,” says CEO Eelco Hoekstra. “We have taken significant new capacity into operations to meet new customer demand. Together with our partners we fully commissioned the industrial terminal PT2SB in Malaysia and celebrated the opening of the LPG export terminal RIPET in Canada. In addition, we expanded our share in the LNG import terminal in Pakistan.”

CAPACITY TO COME

As well as selling off its interest in Vopak EOS, Vopak has agreed the sale of three other

At the start of 2018, Vopak had 3.2m m³ of new capacity lined up for commissioning by the end of 2019. As of mid-2019, 2.1m m³ of that had been delivered, meaning there is more to come in the second half. A new joint-venture terminal in South Africa is due to be commissioned before the end of the year, along with expansions at the new Panama site and at existing terminals in Malaysia, Brazil, Singapore, Indonesia and Mexico.

In addition, the company has announced two further expansions:

• The Deer Park chemical terminal in Houston will be expanded by 33,000 m³, with the new tankage expected to be commissioned in second quarter 2021; and

• A 105,000-m³ expansion for the storage of clean petroleum products and aviation fuel is

HCB MONTHLY | SEPTEMBER 2019 08

planned for the Sydney terminal in Australia, with completion also scheduled for second quarter 2021.

MARKET ENVIRONMENT

Vopak’s commercial and financial performance is dependent to a large extent on global economic and market developments.

In its half-year report, the company notes that geopolitical tensions are now “impacting business optimism”, although it says that the service sector has been resilient and consumer spending is still solid.

Furthermore, cheap shale-based ethane feedstocks are prompting further investment in petrochemical facilities in the US and, although economic activity is “gradually decelerating” in Asia, it remains robust, with China, India and Vietnam still managing to generate annual growth of 6 to 7 per cent.

Trade tensions and lower chemical prices have led to changes in trade flows, which has had a positive impact of Vopak’s chemical hub in Singapore.

In the oil market, trade tensions and sanctions have affected the supply side but Vopak’s main fear is that geopolitical factors could impact economic growth and further slow growth in oil demand, which has already been affected by environmental considerations. On the other hand, the biofuels and vegoils markets continue to be strong in many areas of the world.

The opening of the Ridley Island LPG export terminal in British Columbia, Canada earlier this year signals Vopak’s interest in the LPG sector and the company notes that global LPG supply is continuing to grow; US exports were 20 per cent higher in the first half of 2019 compared to the same period last year, despite China’s imposition of a 25 per cent tariff on US LPG in August 2018. US product is moving to other markets, including India, while China is sourcing more product from the Middle East.

REGION BY REGION

Those market factors have been reflected in the first-half results for Vopak’s various divisions. In Europe and Africa, for instance, revenues were down 2 per cent year-onyear, although Vopak says this was largely due to “relatively high out of service capacity” in its Rotterdam terminals as they prepare for the IMO 2020 changes. Vopak notes that the economic outlook for the Eurozone area remains weak as a result of adverse dynamics, ongoing uncertainty over Brexit, and weaker demand from the automotive sector.

Revenues from the Asia and Middle East division rose by 3 per cent against first-half 2018, with group EBITDA up 17 per cent. Vopak enjoyed higher revenues from its chemical terminals, although this was partly offset by work at its Singapore sites to ready them for IMO 2020.

The Americas division posted a 9 per cent increase in revenues and a 19 per cent rise in EBITDA, although this was partly accounted for by currency movements. Much of the

rest of the gain reflected additional capacity commissioned in Houston, although there were difficulties here during the period as a result of the fire at ITC’s nearby Deer Park terminal in March.

The small China and North Asia division recorded a 19 per cent increase in revenues and a 40 per cent rise in EBITDA compared to first half 2018. Much of the improvement was due to the acquisition of the Ningbo terminal in early 2019 and the restarting of the Heiteng industrial terminal in June 2018.

Vopak’s activities in LNG grew by 7 per cent over first-half 2018, largely as a result of its investment in the Engro Elengy Terminal in Pakistan in December 2018. This division is, though, an important part of Vopak’s strategy going forward, as Hoekstra explains: “Looking further ahead, we continue to explore opportunities in new energies.”

In addition, Vopak’s digital transformation is “progressing well”. A cloud-based digital terminal management system is being rolled out at terminals around the world. HCB www.vopak.com

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VOPAK IS CONCENTRATING ITS INVESTMENTS IN GROWTH MARKETS AND IN EMERGING ENERGY FLOWS, INCLUDING LPG AND LNG, WHILE DISPOSING OF SOME OF ITS OLDER AND SMALLER EUROPEAN ASSETS 

WORKIN’ IN ANTWERPEN

PROJECTS • NOORD NATIE ODFJELL ANTWERP TERMINAL HAS CONTINUED WORK ON ITS LONG-RUNNING EXPANSION PLANS. AND THERE IS ROOM STILL FOR YET MORE GROWTH

NOORD NATIE ODFJELL Antwerp Terminal (NNOAT) has been expanding its facilities gradually over recent years and the project is making strong headway. HCB reported on this ongoing work in October 2018 (see page 43); one year on, Bert Druyts, commercial manager at NNOAT, here provides an update on the developments from the last 12 months.

In September 2018, two new tank pits were completed and opened, adding 32,700 m3 of storage capacity, and two further stages of the expansion project – Tank Field P and Tank Field Q/R/S/T – are in the development process. Tank Field P is planned to be a replica of the most recent tank field that was

opened (Tank Field O), while final details of Tank Field Q/R/S/T are being concluded. Total storage capacity for the site could potentially reach another 130,000 m3 divided over several tank pits by 2022. Different tank sizes will be possible, ranging from 1,200 m³ to 5,000 m³. Furthermore, another 45,000 m2 of land is available for additional tank storage or related activities including blending, warehousing and/or ADR storage.

“Tank Field P is due to be operational in June of 2020,” says Druyts. “Tank Field P will be a copy of O with seven tanks in total; three tanks of 2,500 m3 and four tanks of 1,300 m3, all stainless steel and all with dedicated stainless steel lines. These will be specialised towards handling hazardous chemicals.” The tanks in the new development are fully automated.

MORE THAN A NUMBER

But there is more than just the addition of tanks and increased storage volumes for the project. The ability to manage larger quantities of product by different modes of transport has received a large

investment, with road-, rail- and sea-based transport benefitting. When discussing the developments for water transport, Druyts says: “We now have 2.5 km of berth length. I believe it’s the longest berth for a liquid terminal in the world. The big advantage is that it gives us the opportunity to handle 13 berths, of which nine can be used for seagoing vessels.” By the close of 2020, the maximum draft of much of the terminal’s berths will be increased from 11.3 m to 14.0 m.

Druyt continues: “Over the next ten years there will be a lot of road works around Antwerp to improve infrastructure, which is why we have decided to build a block train handling station. It will be finished by the end of 2019. This newly built area will be able to handle the loading and unloading of four rail cars at the same time. This means an entire block train of 20 cars will be able to be handled in just one shift. Single wagons can of course still be managed.”

The push to develop improved road and rail facilities have, in part, been fuelled by the recent troubles with low water levels in the Rhine and Druyts notes that there has been an increase in the use of rail over the last year.

NNOAT is currently in the process of attaining the necessary environmental and building permits for the next stage of expansion, which are expected to be completed early in 2020. HCB www.noordnatie.be

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GOING GLOCAL

CHINA • ADNOC HAS TAKEN A STAKE IN VTTI, STRENGTHENING THE POSITION OF FUJAIRAH AND PROVIDING IT WITH BETTER ACCESS TO ITS CUSTOMERS AROUND THE WORLD

THE ABU DHABI National Oil Company (ADNOC) has taken a 10 per cent stake in VTTI, acquiring 5 per cent from each of its 50/50 partners, Vitol and IFM Global Infrastructure Fund. The investment in VTTI provides ADNOC access to storage capabilities across some of its key export markets in Asia, Africa and Europe, while also securing additional facilities at the port of Fujairah, UAE, its main storage hub. This transaction also significantly contributes to the development and growth of ADNOC’s global marketing, supply and trading platforms, providing greater access to knowledge and capabilities that will further enable ADNOC’s growth plans.

“We are delighted to be entering into this strategic investment opportunity in VTTI, alongside Vitol and IFM GIF, which will further complement the development of ADNOC’s integrated global trading platform while also delivering a solid financial return,” says HE Dr Sultan Ahmed Al Jaber, ADNOC Group CEO and UAE Minister of State. “VTTI’s diverse portfolio of storage assets across key target markets such as Asia, Africa and Europe, provides us with direct access to our customers around the world, a key building block to accelerating ADNOC’s transformation into a more integrated and commercially minded global energy player.”

The acquisition followed hard on the heels of the signing of a refining and trading agreement between ADNOC and ENI and OMV, and the establishment of a joint venture, ADNOC Global Trading, that will focus mainly on marketing and trading products from ADNOC Refining.

PLACE IN THE WORLD

VTTI will continue to be managed by an independent management team led by CEO Rob Nijst, who says: “This exciting development is testament to the professionalism and dedication of our VTTI colleagues. Since VTTI was founded 13 years ago, we have worked tirelessly to build a market-leading hydrocarbon storage company, capable of delivering the highest standards of service in key strategic locations. We are very pleased to have ADNOC as our new shareholder and look forward to benefiting from their regional expertise, working together to further grow our global network of terminals and supporting ADNOC’s trading and supply ambitions.”

VTTI’s 50/50 ownership structure was created in November 2018 when IFM Investors acquired Buckeye Partners’ 50 per cent holding.

This past February, ADNOC announced the construction of the world’s largest underground crude oil storage cavern in Fujairah, which will have a capacity of 42m bbl. Combined with its existing 8m bbl of storage in the port, access to VTTI FTL, a 1.6m-m³ tank storage facility and 80,000 bpd oil refinery in Fujairah, will strengthen the UAE’s position as a reliable supplier of crude oil and give ADNOC greater flexibility, allowing it to manage and optimise its delivery schedule and support its broader growth in trading.

“As one of Fujairah’s largest storage operators, VTTI is a natural partner for ADNOC,” says HE Dr Al Jaber. “This investment further strengthens ADNOC’s strategic position in Fujairah and supports the continued development of Fujairah as a strategic hub for our operations.”

VTTI currently has ownership interests in 15 storage facility in 14 countries around the world, with a combined capacity of 60m bbl (9.5m m³). Buying into this network will move ADNOC closer to its customers, allowing it to be more agile and respond quickly to market needs and dynamics. It is also expected to unlock incremental revenue, margin and cost saving opportunities from the trading, transport and storage of its products, giving ADNOC better control over where, when and how its products are being supplied to key markets and customers. HCB www.vtti.com

STORAGE TERMINALS 11 WWW.HCBLIVE.COM
BOTH VTTI AND ADNOC HAVE FOCUSED INVESTMENT IN DEVELOPING PROCESSING AND STORAGE CAPACITY IN THE GROWING OIL HUB OF FUJAIRAH 

SKY BLUE THINKING

PREVIEW • THE LEADING

MINDS IN SAFE AND EFFICIENT BULK LIQUID STORAGE WILL CONVENE IN COVENTRY

THIS SEPTEMBER FOR THE TANK STORAGE ASSOCIATION CONFERENCE AND EXHIBITION

expertise for those visiting the event. Whether a business is looking for the perfect supplier of gaskets and hoses, is needing a state-ofthe-art design for a new tank terminal, or is simply looking to source the highest quality inspection team, the annual TSA event is the prime place to go.

PLANNING AHEAD

The doors will open early to give delegates the opportunity to have coffee and buns and to wander around the exhibition hall before the conference really kicks off. They will also have the chance to catch up with colleagues and peers in the networking area, while debating whether or not Coventry City Football Club will be back at the Ricoh next year.

to provide more grades of fuel and many operators have already been making the necessary adjustments to their assets.

Keeping the theme of environmental impacts going, Dr Jo Nettleton, deputy director radioactive substances and installations regulation at the Environment Agency, will speak about the future challenges and opportunities that environmental regulation of the industry will bring. The environment has been a prominent topic in recent years and being able to keep ahead of the curve is pivotal for businesses to thrive in an ever-changing landscape, so the opportunities discussed here should not be missed.

The other main body with a remit to regulate activities in bulk liquids storage terminals in the UK is the Health and Safety Executive (HSE), which this year will once again be represented by Dr Paul Logan, director of HSE’s Chemical, Explosives and Microbiological Hazards Division. He will discuss the different approaches that can be taken to regulating high hazards industry in line with the UK government’s industrial strategy.

Also from HSE, Caron Maloney, specialist inspector – risk assessment, will look into the differences between individual and societal risk and how terminal operators need to take both into account in their risk evaluation under the Control of Major Accident Hazards (COMAH) Regulations.

THE ANNUAL TANK Storage Association (TSA) event, the Tank Storage Conference and Exhibition, will be held at the Ricoh Arena, Coventry on 26 September. As ever, the conference programme will feature presentations from regulators and industry experts on topics that are key to safe and effective bulk liquids storage operations. Representatives from all sides of the tank storage sector will be exhibiting their cutting-edge creations and industry-leading

Paul Denmead, TSA president, will open proceedings with an introduction to welcome everyone to the show and set the stage for the conference, which will be chaired by HCB’s editor-in-chief, Peter Mackay.

The first speaker will be Giacomo Boati, executive director for oil markets midstream, downstream at IHS Markit, who will discuss how the imminent arrival of the ‘IMO 2020’ regulations, and their requirement for vessels to reduce sulphur oxide emissions, will impact the European bulk liquids storage sector. It will inevitably result in terminals having

If IMO 2020 is much in the minds of terminal operators right now, they are also keeping a watching eye on what the promised decarbonisation of the energy industry will mean for them. Dr Brian Worrall, head of group sustainability at DCC, will give his views on the implications for the hydrocarbon supply chain and how terminal operators may have more options open to them than they might imagine.

Rounding off the conference proceedings will be Allan P Greensmith of APG Consulting and Training, who promises to send delegates home in a thoughtful mood after an eyeopening and informative incident case study titled “Never Again”. As explained in recent HCB TV videos by Peter Mackay (which can be found on the HCB TV YouTube channel and »

HCB MONTHLY | SEPTEMBER 2019 14 STORAGE TERMINALS

by signing up to our weekly newsletter), the lasting legacy of industrial incidents is one that should not be swept away but analysed intently and the lessons passed on to those in the industry who are too young to have been around at the time.

EXPERT EXHIBITORS

In between the talks at the conference, there will be plenty of time to see everything on show in the exhibition hall. Among those presenting its solutions and services will be Flotech, a familiar face at the TSA event, which will provide visitors with the chance to discover equipment covering industrial safety gates to tank venting, and superhydrophobic coatings to design services. “We have been working with TSA for many years and have a great relationship with the event and organisers,” says Tom Sadler, managing director at Flotech. “TSA provides an excellent setting to down tools and catch up with our valued customers and suppliers.”

Jesse Shaw, operations and marketing manager at Flotech, adds: “TSA is a key annual event for us that gives an excellent opportunity to network with new and existing customer and suppliers. Alongside the great speaker sessions, invaluable time is spent with fellow event professionals in an excellent setting.”

There are also some exciting new developments for visitors to experience during the show. Over at Viking Inspection, attendees will be treated to the launch of SLOFEC™ (see page 18), the latest in inspection services covering tank floor, shell, weld seam and pipeline inspection. “We have exhibited at the TSA for the last three years and I find it our most important annual event for connecting with existing and new customers,” says Davina Symonds, sales and marketing manager at Viking Inspection. “This year, we will have a new stand dedicated to the launch of SLOFEC, for which we have the sole UK licence, and I am looking forward to discussing its unique benefits for storage tanks and pipework.”

Other exhibitors include Hawkes Fire and Protego, ensuring industry has access to the latest developments in fire safety and flame arresters. Keeping the workplace brighter are Wolf Safety and Atexor, providing hazardous area lighting solutions with equipment available for zones 0, 1 and 2 covering a huge range of certifications. Anton Paar will be exhibiting its latest instruments, process measuring systems and custom-tailored automation and robotics solutions alongside Aquilar, a specialist in leak detection for commercial and petrochemical industries.

There are of course many more exhibitors (more than 60) that are eager to speak to attendees to show how their expertise and innovative products can provide great benefits to different businesses; full details of the exhibition can be found on the event website. Registration is still open for those wishing to attend and a few stands are available for those wanting to showcase their products and services. For those looking to secure a stand, please contact Joseph Quinn at Cresco Marketing on +44 1702 471 846 or email joe@crescomarketing.com. For anyone requiring accommodation, the DoubleTree by Hilton Coventry has a limited number of discounted rooms organised by the TSA –please call +44 2476 60300 and quote ATANA for more information on the special rate. HCB www.tankstorage.org.uk/conference-exhibition

HCB MONTHLY | SEPTEMBER 2019 16 STORAGE TERMINALS
REGULAR EXHIBITORS AGREE THAT THE TSA CONFERENCE AND EXHIBITION OFFERS A UNIQUE OPPORTUNITY TO MEET THEIR MARKET AND THE CHANCE TO EXPLAIN THEIR APPROACH TO PRODUCT AND SERVICE DEVELOPMENT 

STEADY EDDY

INSPECTION • ATTAINING THE UK LICENCE FOR SLOFEC MEANS VIKING INSPECTION IS A STEP AHEAD OF THE COMPETITION

WHEN IT COMES TO PROVIDING TANK ASSESSMENT SOLUTIONS

INSPECTING EQUIPMENT AND pinpointing problems has become even easier for UK-based tank storage operators as Viking Inspection has acquired the sole licence to supply the full range of SLOFEC® inspection services. An agreement has been reached with KontrollTechnik Germany (KT), developers of the technology, for Viking to receive support and expert guidance while supplying and developing the UK market.

There are two types of SLOFEC floor scanner, the main differences being the weight and dimensions of each unit and their testable wall thickness. The technology is an NDT inspection method for topside and underside corrosion in a variety of walled plates and pipes.

LESS HASSLE

Based on the eddy current principle with superimposed DC field magnetisation, the SLOFEC inspection system handles and tests objects with up to 25 mm wall thickness and coatings up to 10 mm thick, depending on the scanner type. This means that grit blasting is not always necessary for tank operators and, often, a high-pressure water jet is all that is needed, translating into savings in time and cost. Through superimposed DC-magnetisation, the depth of penetration is increased so that corrosion, even at the subsurface, can be detected from the surface side.

After use, the results consist of a coloured tank floor map, single plate reports and,

if required, a feature list, repair plate map and repair plate list. The tank floor map and single plate results will highlight wall thickness reductions, shown in a 2D-scan image, where the defect depth corresponds to a defined colour.

Furthermore, a remote scanner has been specifically designed to handle the scanning of storage tanks that include installations such as heating coils and tank roofs without the need for access-authorisation. One of the primary advantages for tank operators is that there is no need to disassemble installations or heating coils before the tank inspection.

“We’re currently having most interest from those using lined tanks. We’re able to go in and scan the tank floor with the SLOFEC as it will scan through the lining, which saves

costs and time for operators that would have to remove the lining to use other equipment,” says Davina Symonds, sales and marketing manager at Viking Inspection.

“We are excited to offer the whole bandwidth of SLOFEC scanners including tank floor, shell and weld seam inspection as well as pipelines,” says Viking Inspection’s managing director, Steve Delves. “We will be the only UK inspection company to have the full support from KT and the latest version six with many additional features such as automatic defect signal finder, input of defect depth calibration curves, recognition of defect size for enhanced depth evaluation, enhanced defect sizing and editing of the tank floor map.”

Currently providing EEMUA and API standard inspections of tanks, vessels and pipelines, Viking’s addition of SLOFEC to its portfolio means customers can select from an even greater range of solution services. Furthermore, the SLOFEC pipe scanner unit will be available for use in pipeline inspection in the coming months and eddyMax, the sister product of SLOFEC, will soon be providing new solutions for heat exchanges and crack detection. Viking Inspection will be displaying its capabilities at Stand 14 during the Tank Storage Association (TSA) event at the Ricoh Arena, Coventry, on 26 September. HCB www.vikinginspection.co.uk

HCB MONTHLY | SEPTEMBER 2019 18
VIKING’S LATEST SERVICE ADDITIONS WILL BE ON DISPLAY AT THE TSA EXHIBITION IN COVENTRY THIS MONTH 

SINGAPORE SWING

PREVIEW • INNOVATION, REGULATION AND SAFETY WILL ONCE

AGAIN BE THE KEY THEMES BEING DISCUSSED AT THIS YEARS’ TANK STORAGE ASIA EVENT IN SINGAPORE LATER THIS MONTH

TANK STORAGE ASIA returns to Singapore’s Marina Sands Expo and Convention Centre on 25 and 26 September. The two-day meeting is Asia’s leading event for the bulk liquids storage industry and, as ever, a host of influential and expert leaders will be attending to address the crowds. This year, Tank Storage Asia is boasting an “unparalleled line up of suppliers,” as well as some brandnew features and an inspiring conference programme.

Boasting more than 80 exhibitors and over 20 conference speakers, including experts and analysts from top terminals and oil majors, Tank Storage Asia is an “unrivalled opportunity for visitors to access in-depth

sessions, presentations and debates on the most pressing industry-related challenges and solutions of the moment,” the organisers say. Industry authorities including CEOs, terminal managers and major industry representatives will discuss the key trends shaping the industry.

This year, a hugely diverse array of exhibitors will be filling the stands and providing guidance on the latest products. Businesses specialising in everything from pipe-crawling robots to marine loading arms and roofing to biofuel will be eagerly awaiting to speak to attendees and explore new partnerships.

Alongside the exhibitors is a dedicated conference hall where industry-leading voices will be speaking on a range of topics throughout the event. There is also ample networking space for those looking to have a longer conversation with peers and arrange

meetings to develop growing friendships. Prior to the event, an online, one-to-one networking platform will be launched to allow visitors to arrange meetings and manage their schedule throughout the show.

The TSA Connect Lounge on the exhibition floor will provide a comfortable space for these meetings to take place.

Mark Rimmer, tank storage portfolio director, says: “Tank Storage Asia is alert to the biggest issues currently affecting the Asian tank storage industry. The event will examine the trends that are most prevalent in great detail. This is what brings leading professionals to the event, year-on-year.”

TALKING POINTS

Digitisation and the need for industry to embrace the development of the connected world will loom large among the key topics, promising to be included in several presentations at Tank Storage Asia. Mark Stuart, speaker and trainer at Anagram Group will be kicking off proceedings after the opening remarks by the chair by discussing leadership in the digital age. The body of his presentation will explore why and how organisations need to evolve in a world of change and disruption and also examine what leading companies are doing to prepare for the future of work.

STORAGE TERMINALS 19 WWW.HCBLIVE.COM
»
TANK STORAGE ASIA IS THE BIGGEST GAME IN TOWN FOR THE REGIONAL STORAGE TERMINAL INDUSTRY 

This theme is continued later in the day by Edwin Ebrahimi, innovation engagement leader at Vopak, who will look at the development of Vopak’s smart terminals and recent digital transformation. Alongside a detailed report on recent developments in digital asset management, Ebrahimi will discuss the use of drones for tank and jetty inspections and also the implementation of smart sensors for condition monitoring.

Digital innovations will also be the key point of a joint presentation by Mark Lim, commercial manager at Stolthaven Terminals, and Chye Poh Chua, CEO of ShipsFocus. The duo’s session will dissect big data and artificial intelligence, detailing how technology can be used to reduce tanker waiting times and enhance terminal utilisation. Ultimately, the aim is to promote inclusive growth, encourage marine commerce to digitise and help small and medium-sized maritime enterprises to close the digital divide.

Ian Coker of Bureau Veritas will continue the conversation surrounding the development and use of robotic tools in his presentation on emerging inspection and integrity technologies for tank asset management.

As has been seen in the last couple of years, there have been countless developments and ingenious applications when it comes to new

robotics. The industry is now at the stage where manual inspections are almost not necessary and can even be conducted without a shutdown. This is of course monumental in terms of staff safety and optimising profits for a whole host of specialist businesses.

SPOTLIGHT 2020

Of course, some big changes are known to be happening in 2020 and people are preparing for the unknown in the future as the 2019 macroeconomic environment has been turbulent at best. One of the known changes to be fast approaching is ‘IMO 2020’, the new restrictions on the sulphur content of marine fuels. Sushant Gupta, director Asia-Pacific refining at Wood Mackenzie, will explain how the legislation represents a positive move to drive down emissions and improve sustainability. Questions on how the sector will adapt to changes in demand for highand low-sulphur fuel oil and what this means for storage opportunities in Asia will also be answered during the session.

Being able to navigate the commercial opportunities that will be presented once IMO 2020 has launched is part of the discussion Paul Hickin, associate director at Platts, will lead. It is inevitable that global supply and demand balances for oil will be affected by

IMO 2020 so Hickin will examine how market dynamics and structures are likely to react.

Additionally, there will be an in-depth look at OPEC’s determination to cut output beyond 2019.

Over the course of the two days there will be plenty more discussions. These expert-led talks will include topics such as the adoption of low carbon energy alternatives and the bolstering of green credentials, process safety improvements and compliance, setting up petroleum products storage terminals in India, and the role hydrogen will play in a decarbonised future.

“Tank Storage Asia is the only event in the world dedicated to the Asian storage market and, with crude oil trade routes opening in the east, there is no doubt about the profitability of the market – the industry is thriving in the region,” says Rimmer. “This reality is pushing developments in new technology, materials and automation equipment. The fact that the results of such pioneering product and service developments will be present on the show floor, and that the thought processes which led to these will be discussed, is something Tank Storage Asia is immensely proud of.”

For more information on the exhibition and attending the conference, please call +44 20 3196 4300. HCB www.tankstorageasia.com

HCB MONTHLY | SEPTEMBER 2019 20 STORAGE TERMINALS

BULLETIN

OILTANKING OUT OF ESTONIA

Oiltanking has agreed the sale of its Tallinn terminal in Muuga, Estonia (above) to Aqua Marina, holding company of leading Estonian fuel distributor Olerex Group.

“Oiltanking is constantly evaluating and optimising its terminal portfolio worldwide. Product flows in the Baltic Sea area have changed considerably in the recent years, meaning that the capabilities of Oiltanking Tallinn could be better utilised by a new strong import-focused owner,” says Karl Henrik Dahl, Oiltanking’s director, west of Suez.

The 78,550-m3 terminal provides road tanker and tank container loading infrastructure for the local and regional distribution of road fuels and chemicals. On completion of the sale, which is subject to competition approval, it will be renamed Olerex Terminal.

“Olerex distributes more than a quarter of the entire Estonian retail consumption of automotive fuels,” says Antti Moppel, Olerex chairman. “These volumes and the Oiltanking terminal with its sea and rail access are a perfect match, helping us to further optimise the fuels handling and distributing costs. Lower fuel handling costs help to keep our prices at forecourts reasonable.”

www.oiltanking.com olerex.ee

BUYER SOUGHT FOR INTER

Inter Pipeline has announced it is exploring the potential sale of its European bulk liquids storage business, Inter Terminals.

“Inter Terminals is a high-quality business with outstanding management and staff. It has made an important contribution to the success and growth of Inter Pipeline over the past 14 years,” says Christian Bayle, president/CEO of Inter Pipeline. “Our decision to explore alternatives is consistent with Inter Pipeline’s practice of making prudent long-term portfolio management decisions particularly in light of our organic growth initiatives.”

Should a buyer be found, proceeds from the sale could be used to pay down debt and to finance Inter Pipeline’s capital expenditure programme, including development of the Heartland petrochemical complex. Any sale is not expected to have an impact on Inter Terminals’ operations, which are continuing as normal. Inter Pipeline has not established a definitive timeline to complete this process and there is no assurance that a transaction will result from it, although the company has confirmed that it has received an unsolicited offer for Inter Terminals.

Inter Terminals delivered funds from operations of C$26.9m in the second quarter 2019, up from C$17.4m last year following the

integration of NuStar Energy’s European terminals in the UK and the Netherlands.

Inter Pipeline notes that the acquired terminals operated at a 96 per cent utilisation rate through the quarter, although overall utilisation was 83 per cent, slightly down on the year earlier level but a marked improvement on the first quarter. Indeed, with customer interest improving, particularly in Denmark, utilisation in July averaged 90 per cent across the network. interterminals.com

ASCC BUYS STOLT SITE

Stolt-Nielsen has sold its Altona terminal in Melbourne, Australia to Australasian Solvents & Chemicals Company (ASCC), which specialises in the blending, storage and warehousing of chemicals and non-chemical products.

“ASCC is very excited by this new addition to our group of companies,” says ASCC Group CEO Leanne Wilkins. “For ASCC to invest in Altona, we know that we are committing to the Australian manufacturing markets long term. Altona will continue its operations in supplying quality blending, storage and distribution facilities to existing and future customers and will retain all current employees on the site. ASCC looks forward to servicing our valued customers.” www.ascc.net.au

JPTT A HIT FOR SINGAPORE

Jurong Port Tank Terminals (JPTT), a 60/40 joint venture between Jurong Port and Oiltanking, has been formally opened, although it has been in partial service since April. JPTT also reports that PetroChina has leased the entire phase 1 capacity of 252,000 m 3 for clean products; it will be mainly used for gasoline and blending components. A second phase of construction will take capacity up to 550,000 m3; talks are currently underway with potential clients. The terminal can handle tankers of up to Suezmax size and is linked by direct pipelines to Jurong Island’s refining and petrochemical cluster.

HCB MONTHLY | SEPTEMBER 2019 22
NEWS
STORAGE TERMINALS

“This is a significant step for us as we move forward with our vision to become Singapore’s next generation multipurpose port,” says Ooi Boon Joe, CEO of Jurong Port and chairman of JPTT. “We see Jurong Port Tank Terminals as a key part in the renewal and upgrading of Singapore’s competitiveness in storage infrastructure. The joint venture with Oiltanking will meet the demand for top quality and integrated storage infrastructure emerging from petrochemical product flows into south-east Asia.”

Douglas van der Wiel, president of Oiltanking Asia Pacific, adds: “The need for supporting infrastructure to manage the increasing demand in Asia for petroleum products created the need for JPTT. The terminals will be able to handle the demand from the region and help strengthen the integrated terminal network concept and overall value offering to the market. This is the embodiment of Oiltanking’s vision for the Singapore Straits, reinforcing Singapore’s international maritime energy and chemicals hub status.” www.jp.com.sg

MORE CHANGE AT ODFJELL

Odfjell has finalised the sale of its 55 per cent indirect equity interest in Odfjell Terminals (Jiangyin) Co, a 100,000-m3 bulk liquids storage terminal and jetty serving the greater Shanghai area, to Yangzijiang Shipbuilding for some $46m. Odfjell expects to book a capital gain of around $21m net in its thirdquarter results.

“We are pleased to have concluded the sale of our Jiangyin terminal and its jetty at what we believe is a fair valuation that is a testimony to the strength and quality of the investments

made since 2007,” says Kristian Mørch, CEO of Odfjell SE. “This divestment is in line with our strategy to grow and focus on chemical terminals in locations where we can harvest synergies with Odfjell Tankers. We appreciate the cooperation we have had with our partner Jiangsu Garson Gas Co Ltd in China, and wish them and their new partner Yangzijiang Shipbuilding a successful future in further developing the full potential of the terminal and its jetty.”

The sale is associated with Lindsay Goldberg’s ongoing disposal of its 49 per cent shareholding in Odfjell Terminals BV. Following the completion of the sale of its shareholdings in the US and European

terminals, Lindsay Goldberg is currently selling its stake in Odfjell Terminals Asia Holding.

The resulting restructuring in Odfjell Terminals has prompted a change at the top, with Adrian Lenning having been appointed as the new global head. Lenning, a Norwegian citizen, arrives from Invepar Group in Brazil, where he was general executive, mergers and acquisitions. He will be based in Bergen.

“We are very pleased to welcome Adrian to Odfjell and look forward to having him lead the future development of our tank terminal division,” says Mørch. “Odfjell SE remains committed to the core terminals we operate. The outlook for terminals at important crossroads of chemicals remains positive, and we continue our work to strengthen Odfjell’s core terminal activities and optimise the synergy potential between terminals and tankers.”

Odfjell Terminals recorded second-quarter revenues of $17.9m, slightly ahead of the prior period but down on the same quarter 2018 as a result of disposals. EBITDA came in at $6.2m, down from $6.7m in the first quarter due to an impairment related to a proposed ethylene project at the Houston site (below), which is not going ahead. www.odfjell.com

STORAGE TERMINALS 23 WWW.HCBLIVE.COM

HEAD IN THE CLOUDS

SAFETY • QATAR AIRWAYS CARGO SAYS SOME SHIPPERS

FAIL TO RECOGNISE THE RISKS

THEY ARE PUTTING INTO THE AIR CARGO SUPPLY CHAIN, ESPECIALLY WHEN THEY ARE MOVING LITHIUM BATTERIES

AS ONE OF the world’s leading air cargo operators, Qatar Airways Cargo (QAC) has to handle a lot of dangerous goods of all types. That adds noise into the cargo acceptance and booking system and sets in place hurdles that airlines have to navigate in order to maintain safety and quality.

“Risks are mitigated when transporting dangerous goods when all rules and regulations are adhered to,” says Guillaume Halleux, chief officer cargo at QAC. “Enforcing a strict set of regulation-compliant operations across all aspects of the process is key to achieving success. Risk only arises due to non-adherence to regulations.”

“QAC has a dedicated team for dangerous goods based in Doha,” Halleux continues.

“They are a highly qualified team with several years of experience, who fully support Qatar Airways staff and our ground handling agents globally to ensure all dangerous goods are moved safely throughout the network in compliance with the International Air Transport Association’s (IATA) Dangerous Goods Regulations. The team also obtain the State’s approval for the carriage of dangerous goods on all Qatar Airways flights. ‘Safety First’ remains our motto and the team carry out all relevant risk assessments for high-risk dangerous goods shipments before they are accepted for carriage on Qatar Airways flights and freighters.”

TOP TRAINING

Receiving thorough training around specific forms of dangerous goods, and receiving that training regularly, is pivotal to ensuring safety. “All our dangerous goods training programmes are approved by the Qatar Civil Aviation Authority (QCAA] and all our operations staff throughout the network are

trained either in Category 6, 8 and/or 10 as applicable by the regulators and based on their job responsibilities, including recurrent training,” says Halleux.

“We also have a dangerous goods training module for our reservations staff which helps them to answer all relevant queries from customers and shippers,” he continues. “Additionally, we closely monitor the training of all our appointed ground handling agents so that our shipments are accepted and handled by well-trained personnel, ensuring full safety of our aircraft.”

This training is further strengthened by IT systems that ensure compliance and smooth operations. “Our dangerous goods operations are currently managed through Online Services, our in-house management information system, where the entire booking from pick-up to delivery is managed,” explains Halleux. “Acceptance checklists are manually completed for dangerous goods shipments using the IATA DG acceptance checklists. The system controls our embargoes and restrictions and is a state-of-the-art modern tool for our reservations teams.”

MYSTERY CONTENTS

Transport providers across all modes have to tackle the problem of undeclared dangerous goods, but the continued growth of air cargo volumes, increasing air passenger numbers and rapidly changing regulations add other

HCB MONTHLY | SEPTEMBER 2019 24

dimensions to moving dangerous goods by air. QAC has put in place a structured process to manage the issue of undeclared dangerous goods.

“We undertake a thorough investigation with the origin station and the customer and obtain corrective and preventive actions (CAPA),” explains Halleux (above). “Once a shipment is stopped pending an investigation, it is only reinstated after a satisfactory CAPA is received and implemented. The dangerous goods team continuously monitors any irregularities and updates our ground handling agents so that corrective actions are taken immediately. All undeclared dangerous goods incidents are reported to the origin civil aviation authorities and also to QCAA in Doha according to the ICAO and IATA regulations. Apart from the dangerous goods, the team also assists to classify non-hazardous chemicals that can pose a potential threat of fire due to high temperatures prevailing in the summer months. Qatar Airways has a separate process implemented for such chemical shipments.”

Being able to accommodate some flexibility is beneficial when airlines handle dangerous cargo, as implementing rigid systems will mean an inability to react to changing volumes of goods and changes in global routes. QAC has “achieved a steady growth around 22 per cent year-on-year for dangerous goods for the last three years,” says Halleux, with the largest volume of dangerous goods coming from Europe. This growth in cargo was

highlighted in July as QAC finalised an order for five new Boeing 777 freighters.

PACKAGED POWER

Found in a vast array of different items that have become everyday essentials, such as mobile phones, power banks and laptops, lithium batteries have caused problems in recent years for airlines. Damage to or short-circuiting in such batteries and battery-powered equipment can lead to the evolution of heat and fire, which can prove very difficult to extinguish.

“We do not have any restrictions on any of the classes of dangerous goods. However, certain items like lithium batteries have restrictions on Qatar Airways passenger flights considering the safety concerns. Despite these restrictions, exemptions are provided based on reasons such as movement for medical equipment, MRI machines, Formula 1 and Moto GP cars,” explains Halleux.

“Lithium batteries still pose the biggest challenge within dangerous goods,” according to Halleux. “This is mainly due to customers being unaware of the regulations and the inherent risk they pose. Another risk arises from undeclared dangerous goods, including lithium batteries, and also inferior untested batteries being shipped globally.” Currently, QAC’s highest volumes of lithium batteries are moved from north-east Asia.

Assessing the current business environment for air cargo and looking forward to 2020, Halleux believes that education within the industry for a stronger understanding of regulations is needed to ensure safety and growth. “Undeclared dangerous goods are the biggest concern at the moment as they endanger the safety of the aircraft,” states Halleux. “It could be that shippers are deliberately sending shipments undeclared to circumvent or avoid the specific documentary requirements or because they lack essential knowledge on the regulations. Shippers who are entering the market for the first time due to the growth of the e-commerce market also pose a significant risk due to their lack of knowledge on the regulations and identifying the items as dangerous goods. Our experience on lithium batteries shows that the shippers have many misunderstandings on the regulations, on classification and packing requirements.” HCB www.qrcargo.com

DG BY AIR 25 WWW.HCBLIVE.COM
TO
ENSURE SAFETY, IT
IS
VITAL
THAT
SHIPPERS KNOW
THE
HAZARDS OF THEIR PRODUCTS AND AIR CARRIERS
KNOW
THE ABILITY OF
THEIR
CUSTOMERS
TO COMPLY WITH THE RULES 

AIRBORNE SOLUTIONS

AIR CARGO • MARK ARNOLD AT LUFTHANSA CARGO SPEAKS TO HCB, PROVIDING AN INSIGHT INTO HOW AIRLINES ARE KEEPING

UP WITH GROWING VOLUMES OF DANGEROUS GOODS IN CARGO

personnel in contact with dangerous goods transported by air.” This training is further divided into more specific requirements depending on the areas of responsibility for individual employees.

Arnold continues: “The handling of dangerous goods in air traffic is strongly regulated due to the resulting danger for passengers, crews and staff. For this reason, all Lufthansa Cargo processes and systems are based upon the latest release of the IATA Dangerous Goods Regulations. These regulations cover the complete process chain of dangerous goods in air traffic down to the last detail. Furthermore, our dangerous goods experts are working with the official and latest version of the DGR book and/or software issued by IATA.”

The latest software presented by IATA is the integrated management solutions (IMX). As the air cargo industry is growing, more time is being spent on managing diverse components and vast quantities of data, so IMX has been developed to gather all quality management system and safety management system data in a user-friendly format. Furthermore, IMX provides seamless connections to the IATA Global Aviation Data Management database, STEADES, GDDB and ECCAIRS, plus many other beneficial functions such as automatic production of IOSA conformance reports.

THE POSSIBILITIES PRESENTED by air transport can vastly outweigh the benefits of alternative modes of transport, but when it comes to dangerous goods by air, precise expertise is needed. As a service provider, being able to safely and securely ensure the highest quality service for the passage of goods for clients is pivotal. But as the globe experiences a growth in air cargo, expanding numbers of international routes and constant regulatory changes, how can airlines keep ahead of the curve?

“Lufthansa Cargo has qualified personnel to accept, inspect and handle dangerous goods at most of its stations worldwide,” says Mark Arnold, dangerous goods handling specialist at Lufthansa Cargo. “In Germany, dangerous goods are only accepted in Frankfurt. Due to its outstanding position as

the Lufthansa Cargo Hub, Frankfurt is also the centre point for dangerous goods in transit from all over the world. As a result of this, a complete department of dangerous goods experts is available 24/7.”

Having access to correctly trained staff at all hours of the day is essential for the smooth running of a global operation that never closes its doors. Frankfurt airport’s CargoCity facility is able to handle all types of dangerous goods (apart from explosives) and provides storage solutions for more than 24 hours.

CONSTANTLY TRAINING

The training processes employed by Lufthansa are based on the latest International Air Transport Association (IATA) Dangerous Goods Regulations (DGR) requirements, explains Arnold. “This means biannual training for

DOES WHAT IT SAYS

A concern that often arises when handling dangerous goods is that of undeclared goods. Sometimes it can be as simple as human error and incorrect labelling, but other times it can be an act of negligence with shippers knowingly not declaring the true nature of the product in the packaging to avoid tariffs, restrictions and paperwork.

To combat this, Lufthansa enforces a policy that checks that everything is as it should be with the cargo. “During the documental and physical acceptance, an initial check of cargo and documents is carried out for possible indications of undeclared dangerous goods,” says Arnold. “In such situations, Lufthansa contacts the shipper and the goods are stored in a secured area until further action is taken by the customer.”

HCB MONTHLY | SEPTEMBER 2019 26

When looking at the industry as a whole and forecasting future developments, Lufthansa feels it is in a strong position to face any potential issues, but none appear to be brewing at the moment.

“Fortunately, there are no far-reaching problems regarding dangerous goods in aviation,” says Arnold. “The currently increasing tensions and the resulting trade barriers caused by international politics could lead to a degeneration of the market and thus to problems in the entire industry. However, I do not see the safety and the handling of dangerous goods affected.”

Even though the procedures surrounding dangerous goods are unlikely to be affected by current issues, being able to provide a higher quality service is always something to strive for. “In order to counteract these negative developments, Lufthansa Cargo is engaged in the implementation and introduction of the digital dangerous goods declaration in close cooperation with its customers. This is leading to leaner and more efficient processes and may help to overcome the growing barriers,” says Arnold.

GOING PAPER-FREE

The Electronic Dangerous Goods Shipper’s Declaration (e-DGD) has been developed from the realisation that there was a growing need by various stakeholders in the air cargo supply chain for a digital and paperless process to manage the IATA Dangerous Goods Shipper’s Declaration (DGD). The major benefit of the e-DGD is that data is available on platforms and is accessible to those who require it. The data sharing platform principle allows for a close collaboration between all stakeholders.

The use of solutions such as IMX and e-DGD is allowing Lufthansa to readily manage the growth that the industry is experiencing. This universal growth has led to a staggering diversity in types of goods needing transport across all routes, so being prepared for all forms of cargo request is pivotal. “Due to increasing globalisation, the volume of goods transported by air is increasing continuously, as is the volume of dangerous goods,” says Arnold (right).

In addition to the need to be prepared for all routes, there are still times when rapid regulatory changes come into force that lead to high-profile topics of discussion even

outside of the industry. Arnold highlights one of the most recent occurrences: “Over the last couple of years, lithium batteries became the most outstanding topic in the airline industry. In respect to the rapidly growing amount and increasing awareness of the dangers posed by lithium batteries, customers and airlines were confronted with constantly changing regulations. This led to widespread uncertainty about lithium batteries that continues to this day.”

Elsewhere, Lufthansa has joined the ranks of other airlines by approving the use of the new CSafe RAP temperature-controlled container (HCB August 2019, page 30).

Thorsten Braun, senior director of industry development and product management says of the approval: “To me it represents a typical win-win situation. With the addition of the CSafe RAP we are further expanding our portfolio of active cool containers, which is second to none, while intensifying our existing relationship with CSafe. In combination with our extensive global network, we are offering one of the leading cool containers to our customers!” HCB lufthansa-cargo.com

AS WITH OTHER MAJOR AIRLINES, LUFTHANSA CARGO IS EXPERIENCING CONSISTENT GROWTH IN THE VOLUME OF ALL TYPES OF CARGO, AND THAT INCLUDES DANGEROUS GOODS, AND IS EMPLOYING NEW TECHNOLOGIES TO HELP IT COPE

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THE BELGIAN HUB

CARGO HANDLING • AS GLOBAL AIR FREIGHT VOLUMES CONTINUE TO INCREASE, AIR CARGO SPECIALISTS ARE EXPANDING THEIR CAPABILITIES. COASTAIR IS USING ITS LIÈGE HUB FOR THE PURPOSE

PROVIDING ANSWERS FOR the transport of dangerous goods and being able to then offer solutions and services to fulfil client needs is key to Coastair’s approach to air freight. The Belgium-based business operates out of Liège airport and specialises in worldwide airlift solutions on scheduled service and full charter flights.

“Our staff eat, drink and sleep cargo; they have the cargo virus in their blood,” states Coastair. All of the departments within

Coastair have staff that are trained to handle and advise on dangerous goods “from sales to acceptance to warehouse staff,” says Ronny Samaey, managing director of Coastair. “At this stage, we use IATA trainers to provide courses to our staff, which can be done locally at Liège airport.”

Skyhouse, Coastair’s 2,500-m2 second-line secured warehouse at Liège airport, opened recently. “Skyhouse is located at the airport logistic centre, avoiding trucking congestion at the airport handlers,” says Samaey. “We do not have offloading delays and we have very experienced warehouse staff to build and optimise pallets. We have a truck-loading system for 10+20ft build-up pallets, our own weighing system and more.”

AMPLE STORAGE

Samaey describes Coastair’s approach to training as “old school” whereby each staff member is required to undertake frequent

training sessions using the IATA programmes. As for dangerous goods shipments, Samaey feels there is no substitute for the personal approach and being prepared: “We believe the physical checks are the best way to really confirm the shipments are ok.”

Samaey continues: “Sometimes we have the same products going to the same destination, but I would say it really differs from week to week based on the demands at the final destination. All dangerous goods can be screened in-house (EDS/EDD/ETD/ VCK) and the type of dangerous goods will dictate what screening method is to be used. We do not accept explosives of any kind and – for the time being – no radioactive shipments are going through the warehouse.”

Occasionally dangerous goods are either not declared or something has been incorrectly documented. When this occurs, Samaey explains: “We immediately contact our client or shipper and the full shipment is placed on hold until everything is corrected with the required certificates and labels. This client will then be held accountable for their dangerous transport.”

As has been seen throughout 2019, global air freight is increasing in volume. To handle the increase in demand from shippers, Coastair has been expanding and partnering with complementary services to provide the best options for clients. For example, a new partnership has been instigated with routes into China to expand the possibilities for those seeking Coastair’s expertise.

“Coastair now has four different operational services: Imperial Cargo Airlines, our African flights to Lagos, Accra and Johannesburg; Aviaflex, the cargo supervisors at different airports; Skyhouse, our new secured warehouse; and, of course, Coastair as a cargo/charter brokerage covering worldwide shipments from A-Z. All these companies are able to be compatible with each other which allows for the smooth delivery of services for one another. Being active in different cargo areas helps us to create more time and possibilities for our clients so they can focus on their core business,” says Samaey. HCB coastair.be

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BOXING CLEVER

PACKAGING • MAINTAINING CONDITIONS IN THE PHARMA SUPPLY CHAIN – ESPECIALLY FOR CLINICAL TRIALS – BEGINS WITH GETTING THE PACKAGING RIGHT, AS BIOCAIR EXPLAINS

DESPITE EXTENSIVE PLANNING, issues can arise when managing the transport of delicate and dangerous pharmaceutical goods. Ultimately, if the quality of these goods is compromised, the results can be disastrous, particularly for cargo requiring specialised temperature-specific packaging. Even something as small as receiving incorrect measurements from clients can drastically affect the shipping process and reduce packaging effectiveness.

Biocair, a specialist in managing cold chain logistics and handling sensitive goods, is using its knowledge to improve logistics processes. Two examples of the extreme variations in pharmaceutical goods transported by Biocair include 480,000 cell samples and an API that had to remain specifically between -40°C and -70°C – outside the operating boundaries for conventional solutions.

Ensuring packaging for dangerous goods is correct in a developed region or a facility owned and operated by the logistics company is easy, but things become trickier further afield. “Receiving the wrong cargo dimensions seems minute, but it can cause big issues such as inefficient temperature-controlled packaging and having to split cargo, leading to underutilised space and increased costs,” says Don Riach, UK operations director at Biocair.

PREPARATION IS KEY Riach explains some locations simply “do not have the facilities for cold storage, the capacity to store a large range of packaging solutions or even have access to a local dry ice manufacturer”. In these circumstances, Riach says solutions can include double-walling the shipment or even sending a separate

container of replacement dry ice alongside. Biocair uses detailed packaging procedures, such as how to condition PCM’s, maintain equipment monitoring and alarm processes to ensure the units used are performing as desired, and to maintain excellent GDP.

To combat potential problems, precise documentation is needed to plan the optimum solution for the task, particularly when working internationally. Brian Padgett, US compliance manager at Biocair, explains how safeguarding a smooth process covering customs clearance for clinical trials to transport begins with “ensuring all required documentation and licensing is included”. Preparing documentation in a manner that accurately describes the material being shipped, such as HTS codes, FDA codes and clinical trial authorisation documents,

provides the foundation for planning the best course of action.

Furthermore, tracking cargo is essential in monitoring goods during transport. Biocair’s MyCair track and trace system improves customer visibility of shipments by speaking to different airlines through their own tracking websites and then providing customers with notifications at key shipment stages.

The close tracking of all shipments serves to offset delays during transport. Should a delay strike, or the temperature is compromised, problems can be swiftly rectified. Being able to act quickly to preserve the quality and efficacy of pharmaceuticals ensures that the odds of losing a shipment are drastically reduced. Monitors are installed to check temperatures and GPS tracking is a recent addition to the services provided.

“If a client asks for the delivery to arrive 24 to 48 hours later, we will find a way to make that happen, even if the cargo is highly specialised,” says Riach. “We aren’t able to guess every customer’s needs, so we have to remain flexible and work diligently to provide the exact service needed.” Highlighting the need for accuracy when it comes to packaging, Riach points out that “losing or damaging even a single shipment through poor management can cost hundreds of thousands of pounds and can set clinical trials back months”. HCB www.biocair.com

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REACHING FURTHER

ACQUISITIONS • BRENNTAG HAS BEEN BUSY LATELY, ADDING TO ITS EXISTING NETWORK IN SOUTHERN AND EAST AFRICA AND ASIA, ALTHOUGH GLOBAL MACROECONOMIC FACTORS ARE TOUGH

Anthony Gerace, Brenntag’s managing director mergers and acquisitions, adds:

“We expect to realise cost synergies and convert cross-selling opportunities by combining Crest and Brenntag South Africa since both companies have complementary product lines. In addition, Brenntag will benefit from Crest’s mixing and blending capabilities, a service that is increasingly requested by customers.”

SOUTH AND EAST

BRENNTAG HAS BEEN busy the past few weeks completing international acquisitions and recalculating 2019 forecasts as its second quarter results were published. Headquartered in Essen, Germany, Brenntag has been working hard to expand its global network and provide global customers and suppliers with distribution solutions for industrial and specialty chemicals. The most recent acquisitions will serve to bolster its portfolio of more than 10,000 products, worldwide supplier base, specific application technologies, extensive technical support and value-added services.

Brenntag’s most recent purchases have focused on markets in the Middle East, Africa and Asia. In Africa, Brenntag has acquired the remaining 50 per cent of Crest

Chemicals from AECI Group. South Africabased Crest, which has been a 50:50 joint venture between Brenntag and AECI since 2001, distributes and resells chemicals to a broad range of companies within the industrial, paint and coatings sectors. Crest also offers technical solutions and formulation expertise to clients.

“The full ownership of Crest allows Brenntag to develop the business in the desired direction and to fully leverage its growth potential,” says Karsten Beckmann, member of the board of management and CEO of Brenntag Europe, Middle East and Africa (EMEA). “Combining Crest with Brenntag South Africa will support us in providing a rather complete product and industry sector offering.”

Elsewhere in South Africa, Brenntag has acquired the operating business of Chemgrit Cosmetics, headquartered in Johannesburg. Chemgrit, an independent specialty chemical distributor with a focus on personal care and cleaning markets, operates three warehouses in Johannesburg, Durban and Cape Town, along with an in-house laboratory. These assets provide Chemgrit with the ability to offer customers value-added services including mixing, refilling, redistribution and delivery, formulating and testing of materials and products and other technical support.

Beckmann says: “With the acquisition of Chemgrit Cosmetics we expand the industry segment and scope for Brenntag South Africa in specialties. The company’s cosmetics focus perfectly complements our existing national food and pharma business and supports our

HCB MONTHLY | SEPTEMBER 2019 30

ambition to achieve a strong position and comprehensive offering in South Africa.”

“Based on a dedicated structure and team, Chemgrit Cosmetics has a strong foothold in Personal Care which is one of the fastest growing market segments in South Africa and sub-Saharan Africa,” adds Gerace. “Brenntag can use its existing structure in East and West Africa as well as Maghreb to roll out the cosmetics business line in the region.”

Further across Africa and extending into the Middle East, Brenntag has completed its acquisition of Desbro Group in Kenya and the UAE. Desbro, headquartered in Nairobi, provides a portfolio of commodities and specialty chemicals to industries in East Africa and the Middle East covering plastics, coatings and construction, textiles, water treatment and, increasingly, life sciences.

“With Desbro, we have acquired a leading and well-respected market player,” says Beckmann. “The company provides us the needed market expertise, organisation and infrastructure to build on our strategy to claim outstanding Africa coverage.” Brenntag expects to add Desbro Group facilities in Tanzania and Uganda within weeks.

Moving East into Asia, Brenntag has also agreed to acquire specialty and industrial chemical distributor Neuto Chemical Corp. Headquartered in Taipei, Taiwan, Neuto distributes to industries such as electronics, coatings, textile and metal working.

Henri Nejade, member of the management board and CEO of Brenntag Asia Pacific, says: “The acquisition strengthens our position in Taiwan. With the electronics, coatings and textile industry being served, Neuto is a complementary fit to our Brenntag Taiwan business focusing on health and nutrition.” Completion of the transaction is due in early 2020.

In the 2018 financial year, Crest reported sales of approximately €95m, Chemgrit generated sales of approximately €5m, while Neuto reported €26.2m in the same period. Desbro’s figures have not been released. In 2018, Brenntag generated sales of €12.6bn.

TWEAKING THE NUMBERS

Behind the scenes of the recent acquisitions, Brenntag has had a positive beginning to the

year financially, but it has lacked the scale of growth predicted. Focusing on the second quarter results, it notes that “after a good business development in the first two months of the quarter, there was a noticeable slowdown in demand in June and a corresponding impact on earnings”. This fall in demand is, Brenntag says, due to a weakening in the macroeconomic environment, particularly in its two main regions – EMEA and North America. This was further complicated by the difficult business environment that has been causing issues for many companies globally. Overall, operating gross profit reached €722.9m, an increase of 4.1 per cent on a constant currency basis (+6.8 per cent as reported) compared to second quarter 2018. Operating EBITDA was up by 12.2 per cent year on year at constant currency rates (+15.1 per cent as reported) at €266.3m.

EMEA and North America markets still produced positive returns despite the challenging environment when compared to 2018. EMEA generated €292.8m operating gross profit (up 0.2 per cent on a constant currency basis) while North America reported €313.0m, an improvement on 2018. North America operating EBITDA reached €127.8m, an increase of 11.6 per cent on a

constant currency basis. Latin America and Asia-Pacific both continued improving upon previous results, posting operating gross profit rises of 7.9 per cent (€44.8m) and 15.0 per cent (€67.6m), respectively.

Steven Holland, Brenntag’s CEO, says: “The second quarter confirmed that there has been no significant improvement of the underlying business environment, and overall business sentiment remains weak. Despite this, however, we achieved operating EBITDA on a par with the previous year on a like-for-like basis.”

Due to the recent slowdown and global trading difficulties, Brenntag has adjusted its operating EBITDA forecast for 2019. Previously predicted growth from 3 per cent to 7 per cent has been revised to 0 per cent to 4 per cent. Brenntag still expects the second half of the year to yield higher growth rates than the first half.

“We have revised our forecast for operating EBITDA to reflect the currently difficult trends and macroeconomic outlook,” says Holland. “Although we are now more cautious as regards the further course of the year, our resilience, broad diversification and successful acquisitions will help us to continue to grow.” HCB www.brenntag.com

CHEMICAL DISTRIBUTION WWW.HCBLIVE.COM

LOOKING GOOD

RESULTS • IMCD’S FIRST HALF REAPED THE BENEFIT OF ACQUISITIONS MADE DURING 2018 AND, DESPITE SOME ECONOMIC CLOUDS, IT BELIEVES ITS STRONG FUNDAMENTALS BODE WELL FOR THE YEAR AS A WHOLE

The increase in revenues was largely due to the impact of contributions from businesses acquired by IMCD during 2018. These also provided 17 per cent of the overall increase in gross profit over the period.

The figures for 2019 are not directly comparable with those for 2018 as IMCD has, like most other major organisations, applied the new lease accounting standard IFRS 16, which had a positive impact on the reported EBITA.

First-half results from the Europe, Middle East and Africa (EMEA) division showed 10 per cent growth in both revenue and gross profit; adjusted for currency movements those increases were 11 per cent in both cases. There was a slight drop in operating EBITA margin, primarily as a result of the lower margins achieved by the Germany-based Velox, which was acquired in September 2018.

EBITA. Once again, these figures reflect recent acquisitions, notably those of Aroma Chemical Agencies and Alchemie Agencies in India in November 2018. On the other hand, the division lost the non-core flavourings and fragrances business in Australia, which posted revenues of €3.6m in 2018.

Looking forward to the rest of the year, IMCD notes that it operates in what are “often fragmented market segments” across multiple geographic regions and provides a “very diverse product range”. While that spread of activity protects it to a great extent to the impact of specific market or political changes, it is like other companies active in this sector subject to the vagaries of broader macro-economic factors.

IMCD’S HALF-YEAR results for 2019 show steady growth and development, but progress was slowed by concerns over the wider global economic environment. The results demonstrate first-half gains in both EBITA and gross profit, but stronger results were hindered by wider implications that have affected businesses globally.

Commenting on results and summarising the period, Piet van der Slikke, IMCD’s CEO (right), says: “The results of the first six months were satisfactory with good growth of EBITA and cash earnings per share. Notwithstanding these good results, IMCD also experienced a much more challenging macro-economic environment in the second quarter which impacted growth, in particular in EMEA but the Americas saw slower growth as well. Current market conditions are volatile and uncertain. Despite this we expect operating EBITA growth for 2019.”

A CLOSER LOOK

First-half revenue rose from €1.15bn to €1.40bn, an increase of 21 per cent compared to the first half of 2018. EBITA was up 17 per cent year-on-year at €123.1m, while net profit excluding amortisation and non-recurring items rose 14 per cent to €84.8m.

The Americas division posted a 44 per cent increase in revenue and a 49 per cent increase in operating EBITA, which largely reflect the positive impact of the acquisition of ET Horn in July 2018. The smaller Asia-Pacific division recorded a 17 per cent increase in revenues and an 11 per cent increase in operating

On the whole, though, the company remains upbeat, noting that it “sees interesting opportunities to increase its global footprint and expand its product portfolio both organically and by acquisitions”. As such, and with the first half behind it and strong fundamentals in the market, IMCD expects to see overall growth in operating EBITA for the full year. HCB www.imcdgroup.com

HCB MONTHLY | SEPTEMBER 2019 32

FORTUNE TELLERS

CONFIDENCE • CBA’S LATEST MEMBER SURVEY REVEALS DEEPENING CONCERNS

AMONG THE UK’S CHEMICAL DISTRIBUTION SECTOR, AMID CONTINUING UNCERTAINTY

OVER BREXIT

WHEN THE CHEMICAL Business Association (CBA) conducted its last survey of the UK chemical distribution sector in April of this year (HCB May, page 80), it provided evidence of uncertainty, stockpiling and predictions of a drastic downturn in sales volumes and margins ahead of the UK’s exit from the EU under terms yet to be decided. CBA’s subsequent survey, conducted between 4 and 12 July and involving responses from 51 member companies, shows that those earlier forecasts are coming true, with further negativity predicted throughout 2019.

The positive results shown in April’s survey were largely attributed to businesses accumulating stock in preparation for the uncertainties of Brexit. Extending that deadline to the end of October has not helped; meanwhile, the stockpiling seen at the beginning of 2019 had to stop at some time and it appears to have stopped now.

Orderbooks and current sales have both fallen by 60 per cent in the quarter since the last survey. CBA members were asked if their order books are better, worse or the same than during the previous three months and July’s results have shown a negative balance of -26 per cent compared to the positive balance of +34 per cent back in April.

Looking at sales volumes, another drastic swing of 61 per cent has taken place. Current sales volumes show a negative balance of -17 per cent, a colossal shift from the positive balance of +44 per cent in April. Members were asked to look forward three months at their projected sales volumes; the survey results reveal a deepening negative trend of -14 per cent from -7 per cent three months ago.

Furthermore, sales margins have followed in the same fashion, swinging by 40 per cent. Current sales margins have now swung into negative territory (-18 per cent) from the growth of +22 per cent reported in April.

CBA’s chief executive, Peter Newport, says: “Our last survey three months ago showed large scale evidence of stock building as companies ensured they could maintain supplies to customers after the anticipated Brexit date of 31 March 2019. A combination of cash flow constraints and the limited

availability of storage capacity has now brought this stock building process to an end.

The three-month outlook for order books, sales and margins is uniformly negative as Brexit uncertainty continues.”

SILVER LININGS?

Slightly reassuringly, the steep decline in sales margins is forecast to slow over the next three months, but the negative trend is set to continue. CBA members have reported a negative balance of -21 per cent when considering next quarters’ sales margins.

The companies in the survey were also asked if their employment levels are expected to be higher, lower or remain the same over the next three months. The current survey shows a continuation of April’s positive employment outlook, at +2 per cent, but a significant fall from the positive +18 per cent balance previously reported. However, it should be noted that this is the lowest level recorded since the CBA surveys began in 2013.

CBA’s next survey is due to take place in early October, immediately prior to the rescheduled Brexit. It is to be hoped that industry faces greater clarity about future trading capabilities by then. HCB www.chemical.org.uk

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STORM CLOUDS ARE GATHERING OVER THE UK’S CHEMICAL DISTRIBUTION SECTOR, CBA MEMBERS REPORT 

UNCOMMON CARRIER

HYDROGEN • AS THE WORLD MOVES TOWARDS AN ENERGY TRANSITION, THOUGHTS ARE TURNING TO HOW TO DELIVER CARBON-NEUTRAL FUELS. A NEW IDEA IS GAINING ATTENTION

HYDROGEN HAS BEEN widely tipped as the fuel of the decarbonised future. It is easily available and technologies already exist to use it to fuel engines. While there are safety issues, a major sticking point has been the design of a hydrogen supply chain: how is hydrogen to be stored and moved safely and cost-effectively?

That hydrogen-fuelled future may be closer than many think. Hydrogen does not need to be moved in the form of hydrogen: it can use a carrier, and be separated at the point of use. Attention is turning to the potential use of a liquid organic carrier, which would allow use of the existing chemical supply chain to move hydrogen simply and quickly.

Over the past few years, Hydrogenious LOHC Technologies has been developing a system using a liquid organic hydrogen carrier (LOHC), in this case dibenzyl toluene. The company was formed in 2013 in a spin-off of research undertaken at Friedrich-Alexander University in Erlangen-Nürnberg, Germany and received early support from UK-based venture capital fund AP Ventures.

More recently, Hydrogenious LOHC Technologies has built partnerships with Clariant, Eastman Chemicals and engine manufacturer MAN, and then in July announced a €17m investment by Vopak, Mitsubishi Corp and Covestro. “We warmly welcome our new investors and are very

excited to work with them as strategic partners who share our vision of a LOHCbased worldwide hydrogen infrastructure,” says Daniel Teichmann, CEO of Hydrogenious LOHC Technologies. “With these investments, our company will be strengthening our international industrial base, using the funding to bring additional projects to market.”

MAKE A NETWORK

According to Vopak, which led the latest round of investment, the strategy behind the move envisages development of LOHC technology as an essential component of the international hydrogen infrastructure. The operational expertise of Vopak and the other new investors will enable international distribution of renewable energies via hydrogen. Stored in the carrier oil, hydrogen can be transported as easily and efficiently as conventional liquid fuels.

In particular, the approach can store hydrogen produced in areas where there is a surplus of renewable energy and efficiently transport it using existing fuel infrastructure to locations where there is a demand for renewable energy. Asian countries have recognised hydrogen as a valuable energy carrier and the LOHC technology is expected to provide an economical viable solution that is ideal for storing large volumes of hydrogen in densely populated urban areas as well as distributing it over long distances.

“The combination of Vopak’s global terminal and knowledge network with this LOHC technology is a breakthrough in the storage and logistics of renewable energies,” says Marcel van de Kar, director of new energies at Vopak. “This strategic partnership will facilitate development of transregional and global transport of hydrogen and contribute to the development of hydrogen-based economies.”

“Affordable and clean energy is a key issue for the chemical industry and we believe hydrogen has the potential to become an important energy vector in the future,” adds Dietrich Firnhaber, head of strategy and portfolio development at Covestro. “We do believe that the LOHC technology is a promising solution for its transportation and storage.”

HCB MONTHLY | SEPTEMBER 2019 34 TANKS & LOGISTICS
HCB www.apventuresllp.com www.hydrogenious.net

“The other key portion of this is that flanges on bulk transportation are not necessarily the strongest flanges,” adds Jeff Wilson, applications and product development engineer at VSP Technologies, pointing to DIN connections often being thinner than ANSI ones.

TESTED TO THE LIMITS

“The PITA gasket does very well in lowstressed seal situations,” says Wilson. “For most gaskets it’s replacing, it can be as much as half the required gasket stress to seal, which can lead to higher operational tightness, which translates directly to lower emissions out of the gasket and out of the tank itself.”

SEALED FOR QUALITY

GASKETS • INVESTING IN INNOVATIVE GASKET TECHNOLOGY CAN PROVIDE ENHANCED SAFETY FOR TANK CONTAINER OPERATORS AND SUBSTANTIAL LONG-TERM SAVINGS, VSP TECHNOLOGIES SAYS

GASKETS ARE ESSENTIAL in providing safety and reducing a loss in profits; their correct operation is of the utmost importance for chemical businesses. Investment in topof-the-range gaskets is essential to offset the costs of daily wear and tear and manage the extreme variations of use they are required to handle.

VSP Technologies has developed a broad range of gasket and flange solutions, most notably the PITA®, PITA® OPRA™ [one-piece reduced area] and PITA® DNA™ [DIN and ANSI] families. Having originally focused on North American markets, VSP has launched a global partnership with Klinger to expand internationally. VSP is looking to increase its standing in bulk transport, which has been a growth sector, and is working on providing solutions from the growing number of requests from industrial installations.

“PITA was developed for the chemical industry and industrial plants to address

thermal cycling – the expansion and contraction through normal equipment usage,” explains Geoff Malgee, marketing coordinator at VSP Technologies. “The advantage of the PITA products is that they have a corrugated stainless steel insert that acts like a spring, fully incapsulated in an expanded PTFE [Teflon] face. As there is expansion, the steel insert acts like a spring, expanding out with the flange then, when contracting, the soft ePTFE facing will allow for the compression, completing the cycling.

“The product moved into the bulk transportation industry through rail, addressing the constant vibrations that tank cars undergo when travelling,” continues Malgee. “The same properties that address thermal cycling, we found, addressed these tank car problems far better than anything else on the market. We have found huge success with the PITA gasket in rail, which has naturally evolved into the bulk tank container industry.”

The PITA DNA range of gaskets is designed to fit both ANSI and DIN flanges by utilising the benefits of VSP’s PITA and OPRA technologies. “The products are good for all chemical services, regardless of pH. The only exceptions would be molten alkali metals, elemental fluorine and aggressive trifluoride compounds. Other than those, they’re good for use across the board,” says Malgee.

Wilson adds: “These tanks can see variations from below freezing one day to +100°F (+37.7°C) the next, so there is a lot of thermal expansion in the connection alone. Having a gasket that will maintain that seal for the lifetime of that connection until it is opened up again is essential.”

VSP has developed an ISO catalogue to assist customers selecting items for use in equipment such as tank containers, and the RideTight® programme, an all-encompassing gasket management programme providing everything from training for maintenance personnel to laying out purchasing options. The programme was designed in response to the lack of understanding of best practices.

Between 2002 and 2018, users of VSP saved a combined $137,529,451.48 through the implementation of VSP’s better work practices and installation procedures, engineering support, quality equipment, onsite training and multi-unit manufacturing capacity, the company states. HCB vsptechnologies.com

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SUTTONS WORKS AT HOME

Suttons International has opened up its tank repair and refurbishment shop (above) to its customers, after refurbishing more than 120 of its own tank containers since moving the service in-house nearly a year ago. Suttons says it made the move “in response to demand for its services around the world and to revamp its existing international tank container fleet”.

John Sutton, CEO of the Suttons Group, says: “The new custom-built workshop helps us to keep the fleet up to the high standards our customers expect and is a continuation of our long-term investment plan. Before any refurbishments take place a thorough inspection of the tank is carried out to establish current condition. If a repair is needed an estimate is raised of the likely time and cost to bring it up to standard.”

Suttons’ in-house team can handle around 12 tanks per month and, John Sutton says, “it’s paying dividends in terms of smartening up the fleet at a competitive price”. Suttons has always offered a cleaning service to its customers but,

Sutton adds, “offering full tank refurbishment increases the condition of the fleet and shows our commitment to the global market”.

Meanwhile, Suttons International has provided Border Force, a UK law enforcement agency under the Home Office, with a tank container designed specifically to help train officers in the detection of illicit goods.

“Suttons is proud to assist the Home Office in keeping the UK’s borders safe and secure and has supplied Border Force with a training tank that can be used to demonstrate where contraband items might be hidden to aid detection when freight enters the UK from overseas,” says Barry McNally, managing director of Suttons International. “As experts in isotank training, we were quickly able to fit out a suitable tank, based on our existing training design, to show how the tank could be modified to hide contraband.” Border Force will also use the tank container for demonstration purposes at courses and conferences around the world, with the potential to train other border agencies.

»

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Suttons International operates more than 9,000 tank containers, primarily in the liquid chemical and gas sectors, with operations in the US, Belgium, Germany, Singapore, China, Japan, Malaysia and Saudi Arabia, as well as its headquarters in Widnes in north-west England. www.suttonsgroup.com

FPS BECOMES UKIFDA

The Federation of Petroleum Suppliers (FPS) has changed its name to the UK and Ireland Fuel Distributors Association (UKIFDA). The main driving force for the brand name change is to be more inclusive of all members and reflect their operations (HCB June 2019, page 10).

The name change is reflected a new website (www.ukifda.org) and Twitter account (@UKIFDA). Email addresses now end in @ukifda.org but all other details, including phone numbers, are unchanged.

VAN DEN BOSCH GETS SOUTH AFRICAN LINK

Van den Bosch DMCC, the Dubai-based subsidiary of the Dutch logistics company, has struck a strategic partnership deal with Stacks Logistics, a South African freight forwarder, which became the local agent for Van den Bosch as of 1 September.

“With this partnership we aim to further develop our liquid bulk transport activities from and to South Africa,” Bart van de Vorst, general manager of Van den Bosch DMCC, explains. “The focus is specifically on the transport of

liquid food products in ISO tank containers. The South African market offers huge opportunities in regards to the transport of liquids in bulk as an alternative to the traditional drums and IBCs. With the start of this promising partnership, we want to further strengthen our position as a tank operator on the South African market.”

Stacks will be the first point of contact for the South African business relations of Van den Bosch and will also be responsible for the further development of the liquid bulk activities from and to the South African market.

Managing director Olivier Vanreusel is delighted with the partnership: “We are excited to develop the liquid bulk activities together with Van den Bosch and aim to become a key player within the food and beverage logistics industry in South Africa.”

An additional advantage is that Stacks offers in-house customs. “We operate as a freight forwarder with our own customs department. This will enable Van den Bosch to offer their South African customers a full in-house door to door solution.”

Over the past few years, Van den Bosch has developed a strong position as a tank operator on the African market. Branches have been established in Dubai, Ghana, Ivory Coast and South Africa and this year investments were made in 400 new tank containers. “The start of this partnership marks a next step on the African market”, Van de Vorst continues.

“Just like Van den Bosch, Stacks has a strong »

TANKS & LOGISTICS 39

focus on Africa. The slogan ‘connecting Africa’ fits in seamlessly with our vision and ambitions.” Vanreusel agrees: “We share similar values, vision and focus. We aim to keep developing partnerships with Van den Bosch in other African countries as well and conquer these markets together.”

Van den Bosch has been represented in South Africa by Aspen International since 2016. While that relationship has now come to an end, Aspen’s owner, Gary van Niekerk, will continue to act as a strategic advisor to both Van den Bosch and Stacks.

In other news, Van den Bosch has rolled out a track and trace facility, FreightInsight, that provides its customers with real-time information on the actual status of their shipments. The online portal also gives access to additional information, such as the expected time of arrival, previous loads and loading reports. “With FreightInsight we meet the growing need for traceability, transparency and connectivity in the supply chain,” says Pirke van

den Elsen, business development manager.

Van den Bosch recently introduced an innovative package of additional logistic services under the ‘Transforming Logistics Together’ campaign and FreightInsight forms part of that initiative. www.vandenbosch.com

GIEZENDANNER ADDING CAPACITY

Giezendanner has broken ground on a new phase of construction at its logistics centre in Rothrist, Switzerland (above). By the end of this

year, the state-of-the-art facility will have a new tank farm with two filling lines for acids and alkalis, doubling storage capacity, along with new warehousing for flammable substances.

Giezendanner Transport is based in Rothrist, in the Swiss canton of Aargau, and has a subsidiary, RTW, in Waltenschwil that specialises in recycling transport. Giezendanner also operates a German transport business based in Köln. www.giezendanner-rothrist.c

40 TANKS & LOGISTICS

TRAINING COURSES

ATLAS COMPLIANCE

89 Devonshire Drive

Timberlea, Nova Scotia B3T 2J6, Canada

T (+1 902) 468 3371

www.atlascompliance.ca

Dangerous Goods by Air – Initial

• October 2-4 – Halifax

• November 20-22 – Halifax

Dangerous Goods by Air –Refresher

• October 25 – Halifax

• November 15 – Halifax

Dangerous Goods by Road – Initial

• September 30-Oct 1 – Halifax

• November 18-19 – Halifax

Dangerous Goods by Road –Refresher

• November 14 – Halifax

BRITISH INTERNATIONAL FREIGHT ASSOCIATION (BIFA)

Redfern House, Browells Lane

Feltham, Middlesex TW13 7EP, UK

T (+44 20) 8844 3625

www.bifa.org

Dangerous Goods by Air

• September 23-25 – Leeds/ Bradford

• September 30-Oct 2 – Coventry

• October 7-9 – Bristol

• October 7-9 – Feltham

• October 14-16 – Newcastle

• November 4-6 – Feltham

• November 11-13 – Altrincham

Dangerous Goods by Air –Revalidation

• September 26-27 – Leeds/ Bradford

• October 3-4 – Coventry

• October 10-11 – Bristol

• October 10-11 – Feltham

• October 15-16 – Newcastle

• November 7-8 – Feltham

• November 14-15 – Altrincham

Radioactive Materials by Air

• November 21-22 – Feltham

Radioactive Materials by Air –Revalidation

• November 22 – Feltham

Dangerous Goods by Road

• October 14-16 – Feltham

• October 28-30 – Coventry

• November 4-6 – Altrincham

Dangerous Goods by Road –Revalidation

• October 15-16 – Feltham

• October 29-30 – Coventry

• November 5-6 – Altrincham

Dangerous Goods by Sea

• October 17-18 – Feltham

• October 17-18 – Glasgow

• October 31-Nov 1 – Coventry

• November 6-7 – Altrincham

Dangerous Goods Safety Advisor

• November 11-15 – Heathrow

• November 11-15 – Manchester

Carriage of Lithium Batteries –

All Modes

• November 18-19 – Feltham

Carriage of Lithium Batteries by Air

• November 18 – Feltham

Carriage of Lithium Batteries by Road

• November 19 – Feltham

Carriage of Lithium Batteries by Sea

• November 19 – Feltham

CAMEON

PO Box 17345 Edinburgh EH12 1DJ, UK T (+44 131) 334 1929 www.cameon.com

Dangerous Goods by Air

• October 7-9 – Manchester

• January 13-15 – Manchester

Dangerous Goods by Road –Upgrade

• October 10 – Manchester

• January 16 – Manchester

Dangerous Goods by Sea –Upgrade

• October 11 – Manchester

• January 17 – Manchester

Dangerous Goods Safety Adviser

• November 11-15 – Manchester

CARGO TRAINING

INTERNATIONAL

PO Box 176

Shepperton TW17 8WP, UK T (+44 1932) 769682

P O Box 580026

Houston, TX 77258-0026, USA T (+1 281) 333 4672

www.cargotraining.com

Dangerous Goods by Air – ICAO (full course)

• September 23-25 – Boston

• September 30-Oct 2 –Birmingham, UK

• September 30-Oct 2 – Chicago

• October 7-9 – Bristol

• October 7-9 – Heathrow

• October 7-9 – Houston

• October 7-9 – New Orleans

• October 14-16 – Dallas

• October 14-16 – Newcastle

• October 21-23 – Charleston

• November 4-6 – Heathrow

• November 11-13 – Houston

• November 11-13 – Manchester Dangerous Goods by Air –Revalidation

• September 24-25 – Boston

• September 26-27 – Leeds/ Bradford

October 1-2 – Chicago

October 3-4 – Birmingham, UK

October 8-9 – Houston

October 8-9 – New Orleans

October 10-11 – Bristol

October 10-11 – Heathrow

October 15-16 – Dallas

October 15-16 – Newcastle

October 22-23 – Charleston

November 7-9 – Heathrow

November 12-13 – Houston

November 14-15 – Manchester

Goods by Road – ADR (full course)

October 14-16 – Heathrow

October 28-30 – Birmingham, UK

November 4-6 – Manchester

Goods by Road –Revalidation

October 15-16 – Heathrow

October 29-30 – Birmingham, UK

November 5-6 – Manchester Dangerous Goods by Sea (IMDG)

September 26-27 – Boston

October 3-4 – Chicago

October 10-11 – Houston

October 17-18 – Dallas

October 17-18 – Glasgow

October 17-18 – Heathrow

October 24-25 – Charleston

October 31-Nov 1 –Birmingham, UK

November 7-8 – Manchester

November 14-15 – Houston

IMDG – Sea – Revalidation

• September 27 – Boston

October 4 – Chicago

October 11 – Houston

October 18 – Dallas

October 25 – Charleston

November 15 – Houston

49 CFR - Full Course

October 17-18 – Dallas

November 14-15 – Houston

49 CFR – Recurrent

October 18 – Dallas

November 15 – Houston

Lithium Batteries Multimodal

November 18-19 – Heathrow

Lithium Batteries by Air

November 18 – Heathrow

Lithium Batteries by Road

November 19 – Heathrow

Lithium Batteries by Road and Sea

November 19 – Heathrow Radioactive Materials by Air (full course)

November 21-22 – Heathrow

Dangerous Goods Safety Adviser

November 11-15 – Heathrow

November 11-15 – Manchester

Goods Safety Adviser (Refresher)

November 13-15 – Heathrow

November 13-15 – Manchester

CHEMICAL HAZARDS

SOCIETY

15 –

16 – London

Basic

4

HCB MONTHLY | SEPTEMBER 2019 42
Dangerous
Dangerous
DOT
DOT
Dangerous
COMMUNICATION
PO Box 899 Oxford OX1 9QG, UK T (+44 333) 210 2427 www.chcs.org.uk EU CLP Classification for Supply –Substances • October
London EU CLP Classification for Supply –Mixtures • October
EU CLP Labelling for Supply • October 17 – London Introduction to
SDS Writing • October 8 – London Advanced preparation of SDSs • November 12 – London The Extended SDS –Understanding Exposure Scenarios • December
– London

Introduction to European Chemical Regulation

• October 2 – Manchester

Overview of the Biocidal Products Regulation

• October 15 – London

Chemical Safety Assessment –

The Science and Theory for Risk Characterisation

• December 3 – London

DG AIR FREIGHT

PO Box 140

Botany, NSW 1455, Australia

T (+61 8) 8234 1622

http://dgair.com.au

DG by Air – Initial

• October 14-16 – Brisbane

• October 21-23 – Sydney

• October 28-30 – Adelaide

• November 11-13 – Melbourne

• November 18-20 – Sydney

• December 9-11 – Brisbane

DG by Sea – Initial

• September 19-20 – Sydney

• October 17-18 – Brisbane

• October 24-25 – Sydney

• October 31-Nov 1 – Adelaide

• November 14-15 – Melbourne

• November 21-22 – Sydney

• December 12-13 – Brisbane

DG SOLUTIONS

130 Old Street

London EC1V 9BD

T (+44) 1273 569048

www.dangerous-goods.co.uk

Dangerous Goods by Air –Qualifier

• October 7-9 – Heathrow

• November 4-6 – Gatwick

• December 2-4 – Heathrow

Dangerous Goods in Packages by Road/Sea – Qualifier

• October 10-11 – Heathrow

• November 7-8 – Gatwick

• December 5-6 – Heathrow

DGM TRAINING INSTITUTE

1813 Greens Road

Houston, TX 77032, USA

T (+1 281) 821 0500

www.dgm-usa.com

IATA/ICAO Dangerous Goods by Air – Initial

• September 23-25 – Dallas

• October 28-30 – Atlanta

• November 11-13 – Dallas

IATA/ICAO Dangerous Goods by Air – Recurrent

• September 19-20 – Atlanta

• October 31-Nov 1 – Atlanta

• October 31-Nov 1 – Houston

IMDG Code - Initial

• September 26-27 – Dallas

• October 21-22 – Atlanta

• October 21-22 – Houston

• November 14-15 – Dallas

IMDG Code – Recurrent

• October 23 – Atlanta

• October 23 – Houston

49 CFR Dangerous Goods by Road

– Initial

• October 14-15 – Atlanta

• October 14-15 – Houston

• November 18-19 – Atlanta

November 18-19 – Houston

49 CFR Dangerous Goods by Road – Recurrent

• October 16 – Atlanta

• October 16 – Houston

November 20 – Atlanta

November 20 – Houston

General Awareness

October 17 – Atlanta

October 17 – Houston

November 21 – Atlanta

November 21 – Houston Transport of Radioactive Materials by Air

• November 11-12 – Atlanta

Shipping Lithium Batteries

• October 18 – Atlanta

• October 18 – Houston

• November 22 – Atlanta

• November 22 – Houston

GLOBAL TRANSPORT TRAINING

54 Norristown Road

Blue Bell, PA 19422, USA T (+1 215) 283 0983 www.gttstraining.com

Multi-Modal - IATA/IMDG/DOT 49 CFR – Initial

• September 23-27 – Boston

• September 30-Oct 4 – New York

• October 7-11 – Denver

• October 7-11 – Phoenix

• October 14-18 – Miami

• October 21-25 – Dallas

• October 28-Nov 1 – Cincinnati

• October 28-Nov 1 – Philadelphia

• November 4-8 – Chicago

• November 4-8 – San Francisco

• November 11-15 – Houston

• November 11-15 – Fairfax

• November 18-22 – Atlanta

• November 18-22 – Portland, OR

• December 2-6 – Los Angeles

• December 2-6 – Newark

HAZMAT TRAINING

SCHOOL SINGAPORE

146A Changi Road

Singapore 419726

T (+65) 6542 5539

www.haz-mat-training.com

IATA Dangerous Goods Regulations (Initial)

• November 11-15 – Singapore IATA Dangerous Goods Regulations (Recurrent)

• October 24-25 – Singapore

• November 14-15 – Singapore IATA Dangerous Goods Regulations (Awareness)

• November 11 – Singapore IMDG Code Dangerous Goods By Sea

• October 22-23 – Singapore

• December 2-3 – Singapore

Chemical Safety Awareness

• October 8 – Singapore

• November 8 – Singapore

• December 9 – Singapore SCDF Hazmat Transport Driver Permit

• October 7 – Singapore

• November 7 – Singapore

• December 6 – Singapore

INTERNATIONAL AIR TRANSPORT ASSOCIATION

800 Place Victoria, PO Box 113

Montreal H4Z 1M1 Quebec, Canada.

T (+1 514) 874 0202 www.iata.org/training

Dangerous Goods Regulations (DGR) – Initial, Category 6

• October 14-18 – Amsterdam

• November 18-22 – Singapore

• November 18-22 – Miami

• December 9-13 – Geneva Dangerous Goods Regulations (DGR) – Recurrent, Category 6

• September 24-26 – Lagos

• September 25-27 – Singapore

• November 13-15 – Miami

• November 20-22 – Geneva

• December 4-6 – Singapore

Dangerous Goods Regulations (DGR) – Shippers and Packers –Cat 1 and 2

• September 25-27 – Montreal Dangerous Goods Regulations (DGR) – Instructor Refresher

• November 27-29 – Geneva

Professional Skills for DGR Instructors – Categories 1,2,3,6

• September 16-20 – Amsterdam

• November 25-29 – Singapore

• December 2-6 – Geneva Instructional Techniques for DGR (for categories 4, 5, 7, 8, 9, 10, 11, 12)

• December 2-6 – Beijing

DGR for Auditors and Inspectors

• October 21-25 – Miami

Infectious Substances Transport

• October 23-25 – Montreal

Transport of Dangerous Goods by Sea (IMDG)

• September 25-27 – Singapore

Dangerous Goods Management and Regulatory Updates

• November 4-5 – Singapore

• December 2-3 – Geneva

NOVADATA TAB LTD

3 Blackwell Drive

Springwood Industrial Estate Braintree, Essex CM7 2QJ, UK

T (+44 1376) 552999

www.novadata.co.uk

ADR Core, Packages

• October 14-17 – Braintree

• November 11-14 – Braintree

ADR Core, Packages & Tanks

• October 14-18 – Braintree

• November 11-15 – Braintree

ADR Tanks Add-On Course

• September 19-20 – Braintree

• October 17-18 – Braintree

• November 14-15 – Braintree

PETER EAST ASSOCIATES

504 Centennial Park Centennial Avenue Elstree, Herts WD6 3FG, UK

T (+44 20) 8953 6721

www.petereast.com

Carriage of Dangerous Goods by Air – Certification

• September 23-25 – Southampton

• October 7-9 – Heathrow

• October 7-9 – Newcastle

• October 8-10 – Belfast

• October 14-16 – Manchester

• October 29-31 – Dublin

• November 4-6 – Heathrow

• November 11-13 – East Midlands

• November 18-20 – Luton

• November 25-27 – Southampton

Carriage of Dangerous Goods by Air – Revalidation

• September 26-27 – Southampton

• October 10 – Heathrow

• October 17-18 – Manchester

• November 7 – Heathrow

• November 14-15 – East Midlands

• November 21-22 – Luton

• November 28-29 – Southampton

Carriage of Diagnostic & Infectious Substances by Air

• November 12 – Elstree

COURSES & CONFERENCES 43 WWW.HCBLIVE.COM

FORMULA FOR SUCCESS

PETROLEUM • CHANNOIL’S MALTA-BASED TRAINING IS A MAGNET FOR INDUSTRY PROFESSIONALS AROUND THE WORLD LOOKING TO HONE THEIR SKILLS IN OIL TERMINAL AND TRADING OPERATIONS

Kuwait Petroleum, BNOC and BG Group. A principal lecturer for Mennta Energy Solutions (formerly the Oxford Princeton Programme) and the Cass Business School (City University London), Johnstone’s expertise covers all areas of oil supply and trading.

“We’ve been doing two courses a year,” says Johnstone. “Previous courses have covered

LNG pricing and trading; bunker operations and trading; international oil trading and shipping contracts.”

TRAINING IS ONE of the greatest investments a business can make, and that goes for staff at any level of seniority. Providing instruction and further education improves employee skills, shows commitment from the business to staff and encourages longevity in roles. Training is even more essential when dealing with specialised industries and niche sectors within that industry.

The Malta Petroleum Training Academy, a subsidiary of Channoil Consulting, has been operating successfully since 2016 and has even received input from the Maltese Prime Minister wanting to utilise Malta’s location as a hub for oil trading services. Due to its geographical location, ships bunker at the island nation when passing through either the Bosporus or the Suez Canal and the

entities in Malta that deal with bunkering ships – in harbour and offshore – can benefit from improvements in business skills and techniques via Channoil’s training courses.

The Petroleum Training Academy has two sets of two-day international oil training courses arranged in Malta in October. The first is on oil terminal operations, running on 21 and 22 October, and the second is on oil trading operations, on 23 and 24 October.

EXPERT KNOWLEDGE

Richard Johnstone, senior associate at Channoil Consulting, is the course leader, masterminding training at the Malta Petroleum Training Academy. He is an Oxford University graduate with more than 30 years’ experience in major industry organisations, including BP,

The oil terminal operations course for October 2019 covers four main areas:

• Health and Safety Executive (HSE): hazardous substances, identifying and managing risks, HSE management systems, policies and procedures

• Storage facilities: maintenance, inspection, other ‘housekeeping’ requirements

• Measurement of quantity and quality, loss and contamination avoidance

• Terminal and marine operations: user contract terms and conditions

The oil trading operations course covers the following:

• Stages in a cargo trade: negotiation and implementation

• Oil sales and purchase contracts: price clauses, operational clauses, other clauses and contract risks

HCB MONTHLY | SEPTEMBER 2019 44

• Shipping: tankers, chartering, freight calculation, operations, laytime and demurrage

• Product quality, blending, quantity and quality measurement, cargo insurance and claims

“The course is accredited by CPD and those completing the course receive certification,” adds Johnstone. “It is essential for oil industry professionals and related sectors.”

The courses cover a wide range of presentations that are further supplemented by interactive discussions and practical exercises for delegates to work on in small syndicate groups. The examples used in the courses have been designed to simulate realistic scenarios from daily life in the industry to provide an immersive and relatable comparison for professionals. Offering both courses back-to-back as a package is a new addition for this year. Bespoke courses can be requested and arranged by Channoil for any international location.

Channoil’s consultants are experienced as trainers and in developing and delivering courses, notably a module as part of the MSc in energy, trade and finance at Cass Business School. Johnstone was asked to design a three-month module within the MSc called ‘oil and energy trading’, which typically has a class of 60 international students, including mature students that are often sent by their companies or countries to benefit from the course.

Once the course has been completed, attendees are asked to fill out a brief feedback form to provide Channoil with information about how and where the courses can improve for the future. “We only ask people to fill out four boxes, not 44 boxes as we’ve all experienced at one time or another,” laughs Johnstone.

WHO AND WHY?

Channoil believes that these courses would be ideal for a range of staff members, specifically oil and trading company mid-tier office, supply and trading operations staff, including new entrants to the oil trading function; terminal operators; terminal accounting and stock management personnel; professional personnel inside and outside oil and trading

companies who interface with these functions, including legal, banking, insurance and finance; government and public sector staff who deal with companies operating in this field; and litigators and auditors for continuing professional development.

“PROVIDING FURTHER EDUCATION IMPROVES EMPLOYEE SKILLS, SHOWS COMMITMENT AND ENCOURAGES LONGEVITY IN ROLES”

both the public and private sectors. This also includes people that are incredibly senior in the business. We’ve had managing directors and even a permanent secretary to one of the Maltese ministers. People from abroad tend to be more middle-management or those with five years’ experience needing to broaden their knowledge.”

For those wanting to take advantage of Channoil’s expert guidance and attend either or both of the courses in Malta, registrations must be received by 3 October 2019. The fee for each of the two-day courses is €1,700 per delegate and the cost for the two courses together is €3,000 per delegate. There is a 10 per cent discount for registration of two or more delegates from the same organisation. To register, please send the name, company and position, contact e-mail, telephone number and address to Kirsten Dibley (k.dibley@channoil.com). HCB www.channoil.com

Johnstone explains: “We typically have eight to 15 attendees, half of which are from Malta and the other half from mainland Europe, the UK and the Middle East, representing

COURSES & CONFERENCES 45 WWW.HCBLIVE.COM
MALTA’S LOCATION AT THE CROSSROADS OF THE MEDITERRANEAN SEA ENSURES THAT THE PETROLEUM TRAINING ACADEMY ATTRACTS STUDENTS FROM FAR AND WIDE, ALL WITH THE SAME AIM OF IMPROVING THEIR INDUSTRY KNOWLEDGE

CONFERENCE DIARY

SEPTEMBER

ECTA Responsible Care Workshop

SEPTEMBER 12, BRUSSELS

Update on Responsible Care implementation in European chemical transport www.ecta.com/event-3253523

Hazardous Cargoes Forum

SEPTEMBER 17-18, SINGAPORE Conference focusing on cargo liquefaction and containership fires https://maritime.knect365.com/hazardouscargoes-forum/

Gastech 2019

SEPTEMBER 17-19, HOUSTON International conference and trade show for the LNG and LPG industries www.gastechevent.com

NEVA 2019

SEPTEMBER 17-20, ST PETERSBURG 15th biennial maritime exhibitionand conference http://dolphin-uk.cergis.com/home/neva/

HCC China 2019

SEPTEMBER 19-20, HANGZHOU China’s only dedicated trade show for hazardous chemical risk management http://hcchina.org/en/index.aspx

SCHC Fall Meeting

SEPTEMBER 21-25, ARLINGTON, VA Biannual meeting of the Society of Chemical Hazard Communication www.schc.org/meetings

CVSA Annual Conference

SEPTEMBER 22-26, BILOXI Annual meeting of the Commercial Vehicle Safety Alliance http://cvsa.org/eventpage/events/cvsa-annualconference-and-exhibition/

Hazards Asia Pacific

SEPTEMBER 24-25, KUALA LUMPUR

Annual process safety conference www.icheme.org/career/events/hazardsasia-pacific/

FachPack 2019

SEPTEMBER 24-26, NUREMBERG Exhibition on the packaging process chain www.fachpack.de/en

World LP Gas Forum

SEPTEMBER 24-26, AMSTERDAM

32nd annual meeting of the World LP Gas Association www.worldlpgforum-aegpl2019.com/

IMHX 2019

SEPTEMBER 24-27, BIRMINGHAM

International material handling and logistics exhibition www.imhx.net

Tank Storage Asia

SEPTEMBER 25-26, SINGAPORE

The main annual exhibition and conference for the Asian tank terminal industry www.easyfairs.com/tank-storage-asia2019/tank-storage-asia-2019/

TSA Conference & Exhibition

SEPTEMBER 26, COVENTRY

19th annual meeting of the UK Tank Storage Association www.tankstorage.org.uk/ conference-exhibition/

Tank Truck Week

SEPTEMBER 30-OCT 2, NASHVILLE

NTTC’s Annual Tank Truck Show & Maintenance Seminar http://tanktruck.org/events/ events-detail-view/tank-truck-week-2019--september-30---october-2--music-city-center--nashville--tn

OCTOBER

FIATA World Congress

OCTOBER 1-5, CAPE TOWN

Annual conference of the International Federation of Freight Forwarders Associations http://fiata2019.org/

IPANA Annual Conference

OCTOBER 1-3, NAPLES, FL

Annual meeting of the Industrial Packaging Alliance of North America www.industrialpackaging.org/#events

Bulk Liquid Storage 2019

OCTOBER 2-3, ANTWERP

Seventh annual conference on the European market for bulk liquids storage www.wplgroup.com/aci/event/european-bulkliquid-storage/

RIPA Annual Conference

OCTOBER 2-4, NAPLES, FL

78th annual meeting of the Reusable Industrial Packaging Association www.reusablepackaging.org/event/fallconference-2/

INMEX-SMM India

OCTOBER 3-5, MUMBAI

Biennial maritime exhibition for the south Asian shipping industry www.inmex-smm-india.com

EPCA Annual Meeting

OCTOBER 6-9, BERLIN

53rd annual meeting of the European Petrochemical Association www.epca.eu

Advanced Responsible Care

OCTOBER 8, CREWE Workshop for Responsible Care coordinators, organised by CBA https://www.chemical.org.uk/training-andworkshops/advanced-responsible-care/

ICOPCE 2019

OCTOBER 21-24, SINGAPORE International chemical and oil pollution conference and exhibition www.icopce.com

Oil & Non Oil 2019

OCTOBER 23-24, ROME Trade show on fuel and non-oil storage and distribution in Italy and Europe www.oilnonoil.it

DGAC

OCTOBER 28-30, BALTIMORE

Annual conference of the Dangerous Goods Advisory Council www.dgac.org/dgac-meetings-0

CHEMTREC International Hazmat Summit

OCTOBER 29-30, HOUSTON

Inaugural biennial forum for parties involved in the safe transport, handling and use of hazardous materials www.chemtrec.com/news-events/chemtrecinternational-hazmat-summit

Lithium Battery Workshop

OCTOBER 29-30, AMSTERDAM

Ninth IATA workshop on lithium battery regulations www.iata.org/events/cargo-events/pages/lbworkshop.aspx

HCB MONTHLY | SEPTEMBER 2019 46 COURSES & CONFERENCES

MATERIAL GATHERING

PREVIEW • THE HAZARDOUS MATERIALS EXPO IS EXPECTED TO ATTRACT MORE THAN 6,000 INDUSTRY EXPERTS SEEKING TO NETWORK AND DISCOVER INDUSTRY SOLUTIONS THIS MONTH

THE HAZARDOUS MATERIALS Expo is one of seven complementary concurrent shows filled with exhibitors and speakers that make up the Contamination Expo. The show is expected to break records when it opens its doors on 11 and 12 September at the NEC in Birmingham, UK, providing one of the finest networking opportunities for industry specialists in the UK.

This year’s event will be twice the size of the wildly successful 2018 show. “The floor space has been increased by 40 per cent,” says Jordan McGann, marketing manager at Contamination Expo Series. “And because 2018 was such a successful year, that just increases the demand from the number of people wanting to visit.”

The event is designed to showcase the latest innovations that further the detection, management, testing and removal of hazardous materials and is a key event for more than 6,000 decision makers from industry-leading businesses and councils to meet more than 200 specialist exhibitors. Attending the Hazardous Materials Expo also provides the opportunity to explore the simultaneously happening sister events, providing a unique opportunity to meet leaders in different sectors.

A MODERN CLASSIC

The show first opened its doors in 2016 and it has been growing rapidly since.

Meticulously assembled to assist both the public and private sectors in sourcing products, services and solutions, exhibitors have already been booking their spaces for the 2020 show. “We’ve already got businesses booked on for next year and expect more to book again during the duration of the show,” says McGann.

Many of the speakers at this years’ event were visitors to the event in previous years and wanted to get involved as they saw the great benefits brought by the Hazardous Materials Expo. A few of the keynote speakers have even taken an active role in consulting planners on the show and a panel of industry leaders has been gathered to judge on awards distributed at the event. The Contamination Expo Series has taken a central role in bringing complementary industry leaders together to advise and educate interested parties on unpredictable incidents, government policies and much more.

“As event director, I look forward to nearly all aspects of the show, but one thing this year more than any other is that of the innovative products on offer,” says Daniel Rogers, event director at Contamination Expo Series. “The show ‘Innovation Awards’ this year are something I am very excited to see and be part of. Seeing the judges’ (industry heads and leaders) reactions and watching the passion delivered from the exhibitors is always fantastic to witness.”

Looking beyond the 2019 calendar, Rogers explains: “The show has big plans, more features and already a list of new exhibitors looking to bring their products and services to the floor for 2020. I’m very much looking forward to being part of this continued growth of the show and sectors covered.”

Spaces are still available at the 2019 show for attendees and exhibitors. For those looking to demonstrate the benefits of their business solutions, please contact Daniel Rogers on +44 117 929 6097 or email daniel. rogers@prysmgroup.co.uk. To order tickets and attend the event, please visit the website to register. A copy of the digital show guide will be emailed to those registered containing full details of the seminar timetable and show features. HCB www.contaminationexpo.com

HCB MONTHLY | SEPTEMBER 2019 48 COURSES & CONFERENCES

INCIDENT LOG

ROAD/RAIL/AIR INCIDENTS

Date Location Vehicle Type Substance Details Source

13/5/19 Sukabumi, buses fireworks

Two minibuses exploded as people were unloading “several hundred” firecrackers; four of them were injured, Jakarta W Java, Indonesia along with one passer-by; explosion said to have been heard 5 km away; police investigating incident Post

13/5/19 Sravasthipura, freight train fuel

Fuel train heading from Kolonnawa to Anuradhapura derailed near station, reportedly due to brake failure; Daily Sri Lanka line was closed for removal of the wreck; no leaks or injuries reported News

15/5/19 Warje, road tanker diesel, Tanker with 26,000 litres fuel ran off Katraj-Dehru road, overturned on service road; fuel leaked from tanker, Times of Maharashtra, India gasoline attracting locals and passers-by to collect free fuel; police took control of situation; remaining cargo transferred India

15/5/19 nr Carlin, road tanker sulphuric Tank truck heading for Gold Strike Mine ran off SR 766 when driver failed to negotiate curve, falling down Reno Gaz Nevada, US acid embankment; some 3,000 gal (11.4 m³) acid spilled to Humboldt River; high water expected to dilute spill Journal

25/5/19 Ota, road tanker gasoline Road tanker collided with truck on Lagos-Ibadan Expressway spilling entire cargo and blocking highway; This Day Ogun, Nigeria both drivers hurt but no other injuries; fire service attended promptly and managed to avert major fire

26/5/19 Los Angeles county, road tanker gasoline Rear tank of double-tank truck rolled over when driver swerved to avoid collision on SR14; tank, bearing Sta Clarita California, US Shell logo, spilled 4,800 gal (18.2 m³) gasoline, some reaching storm drain; roads closed for cleanup Signal

27/5/19 Nagaur, road tanker chemical Road tanker carrying unidentified but clearly flammable chemical collided with truck on NH-65; tanker Times of Rajasthan, India exploded, both vehicles consumed by ensuing fire; two people died, one badly hurt India

28/5/19 Visakhapatnam, road tanker

One person killed, another severely injured by explosion during welding work on road tanker, which had Times of AP, India not been fully vented; explosion could be heard 500 metres away India

28/5/19 Wasatch county, road tanker butane Tank truck heading from Heber City failed to make turn, ran off road and into Deer Creek reservoir; driver KPCW Utah, US not badly hurt; diesel leaked from fuel tank but butane tank was intact; pup tank vented but no threats

29/5/19 Ambala, road tanker ethanol Truck collided with Gopal Oil road tanker on Grand Truck Road after tyre blowout; both drivers fled as Times of Haryana, India fire erupted and proved very difficult to control; road closed in case tanker exploded India

29/5/19 nr Marion, road tanker ethanol Tank truck with 8,000 gal (30 m³) ethanol rolled over, caught fire on I-55, cause unclear; driver injured in Arkansas Arkansas, US rollover; major fire broke out, prompting closure of highway for nine hours Online

31/5/19 Rukpokwu, road tanker diesel Road tanker overturned while trying to make U-turn, spilled 50,000 litres diesel; some locals ran to collect Sun Rivers, Nigeria fuel but fire broke out; blaze spread to nearby shops; police noted bad state of road, poor condition of vehicle News

31/5/19 Pedrógão Pequeno, truck acetone Truck came off road at Ponte do Cabril bridge, cause unknown, spilling 24,000 litres acetone; environmental Portugal Sertã, Portugal groups raised alarm due to proximity to River Zêzere and potential for water supplies to be contaminated News

3/6/19 nr Livengood, road tanker heating oil Big State Logistics tank truck crashed on Dalton Highway; road conditions, speed blamed for accident; Anchorage Alaska, US driver, not wearing seatbelt, was killed; some 2,000 gal (7,570 litres) heating oil spilled Daily Ns

7/6/19 Julana, road tanker diesel Fire broke out in diesel tanker on Jind-Rohtak road near Pauli village, reportedly after driver lost control; Times of Haryana, India police warned locals to avoid the incident; road closed while fire crews attended India

7/6/19 Naivasha, road tankers fuel Two petroleum tankers collided head-on along Nairobi-Nakuru Highway, after one attempted to pass other Kahawa Nakuru, Kenya vehicles; spilling fuel caught fire; nearby area evacuated as fire spread; one driver hurt in crash Tungu

9/6/19 Zbarzhivka, van insecticide About 1 tonne of Nurel D insecticide spilled from van during road accident, entering Ros River; towns Unian Vinnytsia, Ukraine downstream closed water intakes; locals warned against swimming or fishing in river

11/6/19 Lira, road tanker fuel Road tanker overturned, spilling fuel to ditches alongside road; locals tried to collect fuel, then fire broke out, NTV Northern, Uganda spreading towards hospital, nearby shops; significant property damage

18/6/19 Kalyanpur, road tanker fuel Fire broke out during delivery of unspecified fuel at filling station in Dhaka neighbourhood; tanker carried New Age Bangladesh 9,000 litres but not clear how much was burned; cause under investigation; no injuries reported

19/6/19 nr Al Rais, Madinah, road tanker fuel Road tanker caught fire after being struck by truck on Jeddah-Yanbu expressway; tanker driver killed; Saudi Saudi Arabia tanker was completely destroyed in fire Gazette

19/6/19 nr Wells, freight train vegoils, 22 cars of UP train derailed in Elko county; concern was initially high as train was carrying bombs, grenades, Business Nevada, US armaments ammonium nitrate, but these were in unaffected wagons; some spill of vegetable oil, aluminium oxide Insider

20/6/19 San Diego, road tanker ethanol Tank truck with 6,000 gal (22.7 m³) ethanol overturned in Mission Valley as driver made turn; small spill KGTV California, US but fire crews concerned at possible explosion; remaining load had to be transferred carefully

21/6/19 Pazhayakaayal, road tanker hydrochloric Acid tanker heading from Arumuganeri to Chennai overturned on curve on Thoothukudi-Tiruchendur road, The Tamil Nadu, India acid spilling acid to road; nearby residents suffered inhalation injuries; spill diluted with large volume of water Hindu

WWW.HCBLIVE.COM SAFETY 49

ROAD/RAIL/AIR INCIDENTS (CONTINUED)

Date Location Vehicle Type Substance Details Source

21/6/19 Albany, road tanker potassium Tank truck with potassium hydroxide solution overturned at intersection while making turn; one other vehicle WFXL New York, US hydroxide damaged; pictures showed no evidence of major leak; no injuries reported

23/6/19 Limpopo, road tanker fuel Road tanker with unspecified fuel caught fire, closing N1 highway; authorities said vehicle suffered tyre Review South Africa blowout; driver managed to control tanker but fire spread to cargo; driver escaped unhurt

25/6/19 nr Hrastovlje, freight train kerosene Six wagons of train derailed in tunnel, including two tank cars with jet fuel, which leaked; broken switch STA Slovenia found to be the cause; tanks had to be emptied before they could be removed from tunnel; track damaged

25/6/19 Vandalia, truck batteries Firefighters called to truck on fire found pallets of batteries that had shorted and caught fire; several roads WKEF Ohio, US closed near Dayton International Airport; no injuries reported

26/6/19 Pauwandungwa, road tanker diesel Driver lost control of tanker on curve; vehicle ran off road and fell 50 metres; driver and assistant injured; Himalayan Bhojpur, Nepal some diesel cargo spilled Times

MARINE/INLAND WATERWAY INCIDENTS

Date Location Vessel Substance Details Source

12/5/19 off Fujairah, various various Four vessels, including tankers Al-Marzoqah, Amjad and Andrea Victory, were damaged in apparent attack; AFP UAE no pollution reported; incident marked start of heightened tension in Strait of Hormuz

24/5/19 Laem Chabang, KMTC chemicals Explosion, fire in containers aboard feeder vessel in port; toxic fumes sickened more than 200 locals; vessel American Thailand Hongkong had not declared dangerous goods prior to arrival but investigation found calcium hypochlorite, paraffin wax Shipper

25/5/19 Weihai, Jin Hai Xiang carbon 10 killed, 19 injured by massive leak of CO2 during maintenance work on fire suppression system on bulker FleetMon Shandong, China dioxide in Longyan port; casualties included both crew and shipyard workers

5/6/19 Kaohsiung, Dae Won nitric acid Yellow smoke billowed from oil/chemical tanker (51,200 dwt) in port; thought that nitric acid cargo had FleetMon Taiwan escaped through corroded bulkhead, mixed with seawater ballast; vessel allowed to leave after discharging

13/6/19 Gulf of Oman Front Altair, crude oil, Two tankers suffered apparent attack; both caught fire, reported dead in water; all crew rescued; as with FleetMon Kok. Courageous methanol earlier attack (see above), no responsibility was claimed

16/6/19 St James Parish Dank Silver Oil/chemical tanker (45,925 dwt, 2016), cargo unknown, collided with Sunshine Bridge in Mississippi River; FleetMon Louisiana, US bridge closed but not damaged; tanker continued downstream to Gramercy for inspection; cause unknown

MISCELLANEOUS INCIDENTS

Date Location Plant type

Substance Details Source

13/5/19 Jecheon, factory sodium One worker killed, three injured by explosion of sodium on production line at factory that makes mobile phone Yonhap South Korea parts; fire service contained subsequent fire; significant damage to building

13/5/19 Tipp City, water fluoroacetic Drum of fluoroacetic (possibly hydrochloric) acid spilled at rear of city’s water treatment plant, cause not WHIO Ohio, US treatment plant acid specified; no injuries reported and no interruption of water supplies; dams prevented spill from reaching drains

14/5/19 Saudi Arabia pipeline crude oil Drone attack damaged two pumping stations on main oil line to Yanbu; authorities blamed Houthi

17/5/19

17/5/19

21/5/19

23/5/19

24/5/19

than

exceeded

50 HCB MONTHLY | SEPTEMBER 2019
rebels Al Jazeera For the attack; oil flow was stopped while fire was dealt with; no interruption to oil exports
Seosan, oil refinery oil Two leaks of oil vapour from storage tank at Hanwha Total Petrochemical plant sickened more
300 Korea South Korea workers, nearby residents; thought that oil residue overheated; plant closed; concern over late announcement Times
Kearny, chemical chlorine Fire broke out at Alden Leeds chlorine plant, prompting widespread shelter-in-place order; nearby roads nj.com New Jersey, US plant closed, stranding several motorists; fire burned for more than a day
Mossmorran, petrochemical ethane Leak of ethane from damaged pipework lasted for several weeks before it came to light during regular HSE The Fife, UK plant inspection; line isolated, bypassed; widespread concern expressed by locals, environmental groups Ferret
Gangneung, factory hydrogen Two people killed, six others injured by explosion of hydrogen tank at fuel cell plant in Gangwon Technopark; Yonhap South Korea casualties were businessmen, researchers on field trip; cause of explosion not known
Haverhill, chemical effluent Valve failure on tank with effluent material caused spill to public drain at Cornelius Group site; spill
Cornelius Suffolk, UK distributor capacity of underground containment; site evacuated as a precaution; no injuries reported Group

MISCELLANEOUS INCIDENTS (CONTINUED)

Date Location Plant type Substance Details Source

28/5/19 Palghar, chemical chemicals

Three killed, 13 more injured by powerful explosion in Ramadeo Chemicals plant, thought to have been in NDTV Maharashtra, India plant boiler room; drummed chemicals helped fire spread to neighbouring factories

28/5/19 Bikaner, oil refinery crude oil Fire broke out in refinery, possibly in boiler, spreading throughout plant; fire crews worked all night to bring News Rajasthan, India blaze under control; no injuries reported but widespread public concern Nation

30/5/19 nr Sattur, fireworks chemicals

Two workers killed in explosion at private fireworks factory, reportedly during mixing of chemicals; nearly NIE Tamil Nadu, India factory 50 sheds at factory were destroyed in blast; fire crews brought blaze under control in two hours

31/5/19 Limbe, oil refinery Explosion, serious fire in Cameroon’s only refinery; operator Sonara closed plant due to damage; not clear Xinhua Cameroon if blast was a result of operational issue or sabotage by separatist fighters

31/5/19 Piney, chemical sodium Explosion blew roof off 6,000-gal (22.7-m³) storage tank with 20% sodium hydroxide solution at Org Chem SentinelArkansas, US plant hydroxide site; not clear what might have caused the blast, which started a fire; no one hurt at the plant Record

1/6/19 Ajmer, warehouse oil Fire broke out near oil godown, with oil stocks fanning flames and making firefighting very difficult; building News Rajasthan, India was completely gutted; reason for the fire not known at this time; no injuries reported Nation

1/6/19 Dzerzhinsk, explosives explosives

Nearly 40 people injured, four seriously, by major explosion at Kristall explosives plant; operator said it was TRT NN, Russia plant “technical explosion” followed by fire; second incident at site in three months; safety violations had been noted World

2/6/19 Santa Clara, chemical hydrogen Explosion, fire at Air Products plant after leak during loading of tank truck; workers attempted to close valve KGO-TV California, US plant but were unable to; nearby businesses evacuated, shelter-in-place ordered; no injuries reported

5/6/19 Roswell, airport fireworks Explosion in building storing fireworks ahead of July Fourth celebrations injured several firefighters, at the Reuters New Mexico, US site at airport to prepare for fireworks display; cause under investigation; airport operations not affected

8/6/19 Guanta, Anzoategui, oil refinery oil Three people killed in car passing El Chaure refinery by two explosions; thought that nearby short-circuit TeLo Venezuela ignited pool of oil that had collected after heavy rain; nearby residents evacuated; cause under investigation Cuento

9/6/19 Perry township, chemical nitric acid Nearby residents were evacuated after leak of “thousands of gallons” of nitric acid from damaged storage tank ABC Pennsylvania, US plant at Bulk Chemicals Inc plant; major fire broke out next day, causing second evacuation

10/6/19 Sandvika, filling hydrogen Uno-X hydrogen refuelling station suffered explosion, said to be so intense it set off airbags in nearby cars; NZ Norway station blast thought to have been in hydrogen tank; nearby roads closed; operator closed all stations in Norway Autocar

13/6/19 Essington, testing oxygen Fire crews were called to Intertek USA facility after reports of explosion, fire; officials said oxygen tank ABC Pennsylvania, US facility exploded outside the building, causing fire that spread; no injuries reported; cause unknown

15/6/19 nr Burgas, pipeline petroleum Small spill of petroleum product reported near oil refinery, some reaching sea; early reports suggest spill was Novinite Romania caused by attempted fuel theft

17/6/19 Taber, oil well crude oil Fire crews were called to tank battery after reports that it had been hit by lightning, found the tanks fully Lethbridge Alberta, Canada ablaze; fire trucks from nearby towns assisted, along with water tankers News

19/6/19 Salt Lake City, chemical sulphur More than 50 people needed medical attention after leak of some 400 lb (180 kg) sulphur dioxide at Thatcher KUTV Utah, US plant dioxide Chemical plant; leak reported to be during delivery from rail tank car; nearby buildings evacuated

21/6/19 Binjal, lighter flammables At least 30 people, many of them children, died after fire broke out in illegal lighter factory (some reports said Post Sumatra, Indonesia factory matchstick factory); front door had been locked; owner and manager arrested by police Online

21/6/19 South Philadelphia, oil refinery butane Explosion in butane tank at Philadelphia Energy Solutions refinery spread fire to much of the plant, the oldest Philly Pennsylvania, US refinery in the US; no injuries reported; refinery closed in the aftermath and likely to remain so Enquirer 22/6/19 Oyigbo, pipeline crude oil At least eight people killed by explosion during maintenance work on pipeline near Port Harcourt; police said Punch Rivers, Nigeria blast was the result of locals trying to collect oil that had spilled, possibly from earlier tap

24/6/19 Arys, Turkestan, ammunition ammunition

Tens of thousands of people evacuated following explosion at ammunition depot that created massive black Eurasianet Kazakhstan depot cloud; state of emergency declared; at least 30 people reported injured

25/6/19 San Roque, chemical chemicals Major fire broke out at chemical plant in Guadarranque industrial estate, spreading giant cloud of smoke over Reuters Cádiz, Spain plant town; estate evacuated; few other details available

25/6/19 Simi Valley, warehouse nitric acid Ventura County fire crews called to fire at industrial unit found 75-gal drums of nitric acid on fire; sprinklers LA California, US had been activated; fire crews concentrated on preventing fire spreading; roads closed, shelter-in-place ordered Times

26/6/19 Dothan, poultry peroxyacetic Two workers hospitalised after leak of acid at Wayne Farms poultry plant; acid was contained in bund; some WTVY Alabama, US processing plant acid 500 workers evacuated for an hour until all-clear issued

27/6/19 Cork, logistics nitric acid Spill of nitric acid during loading of truck at Johnston Logistics facility in Courtstown Industrial Estate; Irish Ireland facility emergency responders prompted evacuation of area to facilitate cleanup; no injuries reported Examiner

28/6/19 Bahia Blanca, chemical ethylene Explosion in ethylene cracker unit at Dow Chemical facility, possibly due to over-pressure in tank; operator Platts Argentina plant did not disclose much information; possible link to power outage across Argentina earlier in the month

WWW.HCBLIVE.COM SAFETY 51

THE MORE THE MERRIER

EMERGENCY RESPONSE • OURAY ENVIRONMENTAL SERVICES IS LEADING A CONSORTIUM AIMING TO BRING FULL CHEMICAL RESPONSE CAPABILITIES TO THE WIDER ASIA-PACIFIC REGION

RESPONSIBLY MANAGED CHEMICAL companies do their best to ensure that their products do not have an adverse impact on people and the environment during transport. The most responsible among them aim to ensure that the same standards of environmental care are applied in all territories in which they operate. It cannot be denied, though, that ensuring a consistent level of preparedness and response capability in certain parts of the world is not so straightforward.

This was the position facing Chemours in its operations in the Asia-Pacific (APAC) region. In an attempt to change the picture, Chemours turned to US-based chemical emergency response provider OURAY Environmental Services. OURAY itself, having conducted services in the region, was aware that capabilities are lacking and that more are needed but Aaron Montgomery, president/CEO of Ouray, is not one to shirk a challenge. He and Chemours realised that if Chemours was having problems, then other

OURAY clients – and, indeed, other chemicals companies – were likely to be also facing difficulties in sourcing chemical emergency response services in Asia, and the two parties decided to look at how such a service might be provided.

This has all taken place since October 2018 and by July this year OURAY was in a position to bring together a group of potential partners for a meeting in Singapore that sought to establish the extent of the need for a Level 3 response service in the broader APAC region. The consensus was that in many territories in the region there is a lack of chemical response equipment and expertise and that, even in those places where equipment and personnel are available, there is a lack of training and expertise.

As such, 14 chemical companies and three chemical logistics providers have already agreed to take part in a planned APAC Response Consortium to be operated by OURAY. Montgomery says he is aiming to have the service up and running across the region by the end of 2020 and is looking for more members for the consortium to help spread the costs.

GATHERING INTEREST

In the absence of regulation, companies may decide to what extent they want to follow the standards they apply in North America or Europe in the rest of the world. It might be expected that their commitment to Responsible Care would follow them into new territories but that is not always the case. However, with increasing regulation and enforcement activities in developing nations in Asia, the need for a competent Level 3 chemical emergency response, transloading and remediation service has become more urgent.

Montgomery says that many chemical producers and logistics companies that operate throughout the APAC region have searched for a Level 3 response provider that can assist in addressing ever-increasing regulatory and penalty burdens and come up short: either there is no company that can provide a turnkey solution or, in many countries, there is no solution at all.

This was certainly the situation facing Chemours last year. After speaking with China’s National Registration Centre for

HCB MONTHLY | SEPTEMBER 2019 52

Chemicals (NRCC), the company approached OURAY to work on establishing functional emergency response services throughout the APAC region. It was decided that there would be a need for a series of ‘response pods’ strategically positioned across the area; these 20-foot containers would be fitted with all the necessary equipment to enable a prompt and effective response to chemical emergencies.

It was also realised very early on that this would be a costly exercise and, therefore, it would make sense for OURAY to seek participation from its other existing clients that had operations in the APAC region, in order to be able to spread the cost.

It did not take OURAY long to realise that Chemours was far from alone in being frustrated at the lack of response capability in the region and, after numerous calls and messages, it was decided that a group of ‘founding members’ would gather in Singapore in mid-July to thrash

out the details of the service that was needed. Alongside Chemours there were representatives from DuPont, Eastman, Huntsman, Ineos, Lubrizol, Linde, Momentive and Dow; at least three more chemical manufacturers and three tank container operators have also expressed an interest.

DEVELOPING THE DETAILS

That Singapore meeting provided the opportunity to establish where the response capability already exists and the equipment that is needed in the response pods. It was agreed that Taiwan, Australia and New Zealand are already covered by national response organisations but that pretty much everywhere else in the APAC region is lacking in the provision of equipment and/or expertise.

It was also determined that it would make sense to have two types of response pod available, staged at points around the region to allow their easy movement to deal with emergencies and to avoid the need for cross-border transport that could delay response action.

‘Type 1’ pods will contain all equipment required for a full-scale response to a consortium member’s Level 3 emergency response requirements, such as that needed to transfer or transload gases or liquids from tank containers, road tankers, intermediate bulk containers (IBCs) and drums. This unit will be a self-contained response unit that will allow all pumps and associated equipment to be run on an internal hydraulic power pack.

It is currently envisaged that these pods will be located in India (Mumbai), Thailand (Bangkok), western Malaysia, Singapore, Indonesia (Jakarta), Philippines (Manila), China (Shanghai), South Korea (Seoul), Japan (Nagoya) and Vietnam (Ho Chi Minh City).

‘Type 2’ pods will be stocked as secondary stores to supplement the equipment available elsewhere in the country in a Type 1 pod; these pods will contain a large variety of supplies to conduct liquid transfers, as well as absorbents, neutralisers and personal protective equipment (PPE), which will also be in the Type 1 pods, along with area control and lighting equipment. These units are intended for large-scale Level 3 response to chemical releases, transloads, transfers or other

scenarios where gas and liquid transfer and handling equipment might be required.

At present, it is expected that these will be needed in China (Beijing and Shenzhen) and India (Chennai and Ahmedabad).

LET’S TALK MONEY

OURAY has worked out the cost of providing the necessary equipment, aided by the offer by DuPont and Chemours to make their existing stocks available to the consortium. It will also undertake the management of the network, re-supply pods as necessary and charge for projects on a ‘time and materials’ basis.

OURAY is leaving the window open for additional ‘founding members’ to come forward by the end of February 2020. After that, other interested parties may join the consortium but it is envisaged that they will pay more than the founding members, who have already invested the time and energy in developing the concept.

From the consortium’s inception, the idea has been about controlling liability and managing corporate risk while protecting the public and environment. In this regard, the consortium mirrors the way the oil and gas industry sought to form response consortia around the globe in the late 1980s to control their liability. However, the chemical industry places a wide range of commodities into the supply chain, which demands a correspondingly wide range of response expertise.

The next step is for OURAY to continue to promote the consortium through its own contacts, while the founding members are encouraged to engage with their contacts in the industry. As Montgomery says, “This will help collectively lessen the costs and also help to communicate that the industry as a whole must take collective action to mitigate current and future risks. We as an industry are collectively far stronger when unified as more consortium members are added.”

Those interested in finding out more about the consortium should approach Montgomery by email at amontgomery@ ourayservices.com or OURAY’s director of operations, Drew Higgins (dhiggins@ ourayservices.com). HCB

SAFETY 53 WWW.HCBLIVE.COM
OURAY CEO AARON MONTGOMERY (BELOW): INDUSTRY MUST TAKE COLLECTIVE ACTION TO MITIGATE CURRENT AND FUTURE RISKS AND IS FAR STRONGER WHEN ACTING AS A UNIFIED CONSORTIUM 

ALWAYS WATCHING

SECURITY • USING DIGITAL TECHNIQUES TO ENHANCE LOSS PREVENTION CREATES PROBLEMS WHEN THE RISK IS LOCATED IN A POTENTIALLY EXPLOSIVE ATMOSPHERE BUT SOLUTIONS ARE AVAILABLE

“The existing CCTV systems on the market had to be switched off during the fuelling process, which is potentially the most dangerous moment in the supply chain,” says Duncan Lambert, managing director of Rix Petroleum. “We wanted the best possible protection for our staff and customers, and we chose 21st Century because they understood our all-round requirement and the ADR restrictions.”

“Taking a global-scale and industry-proven product and making the necessary adaptations to ensure it achieved ATEX accreditation was not an easy process. There were a lot of obstacles and a huge learning curve, but to be able to work with Rix and their stalwart belief that a CCTV system that could still operate in potentially explosive atmospheres would deliver them real benefits gave us the confidence to invest substantial R&D time to make it happen,” Bridges adds.

THE LOSS OF goods is expensive, time consuming and frustrating, but thefts can also become dangerous when the target is a liquid fuel tanker. However, ensuring security in explosive atmospheres is a difficult problem to solve. Being able to provide safety, protect vulnerable tankers, deter criminals and document evidence of crimes is essential, even in difficult environments, which is why 21st Century Ltd has developed a unique CCTV solution in collaboration with Rix Petroleum.

The system developed by 21st Century is, the company says, the only one of its kind that is ATEX-certified, allowing continuous recording in potentially explosive atmospheres. The system greatly expands its range of uses when compared to other CCTV solutions as many environments simply are not suitable for noncompliant electrical devices.

ATEX VERSATILITY

A recurring problem with existing security solutions is that they cannot be installed in explosive atmospheres or that they have to be turned off during specific processes for reasons of safety, meaning their use as a security solution is rendered obsolete.

Owain Bridges, fleet sales manager at 21st Century, says: “We’ve been delivering innovative solutions for mobile CCTV for over 25 years with great success in the bus and rail industries, where we have excelled through development focused solely on our customers’ needs, demanding reliable equipment for safeguarding passenger lives. When approached by Rix, we saw it as an exciting challenge to use this experience to provide a solution that no one else had been able to – to safeguard the entire fuelling operation.

The 21st Century solution includes eight analogue high definition cameras, a driver’s monitor and integration with OEM displays where possible. Footage can be securely downloaded remotely to a cloud-based portal and the status of the entire system is monitored automatically in real time for continuous operation. The CCTV unit will remain safe even with continuous use in potentially explosive atmospheres, including in fuelling stations. It has also been designed as a training tool and to provide evidence in the case of any insurance claims.

Looking to expand upon the benefits provided by the new CCTV system, 21st Century is now working with Rix Petroleum to develop an approved body cam to provide further protection and create a total CCTV solution for clients. HCB www.21stplc.com

HCB MONTHLY | SEPTEMBER 2019 54
ATEX-CERTIFIED CCTV ALLOWS THE UNIT TO CONTINUE TO MONITOR SECURITY AT THE VERY POINT WHERE THE VEHICLE IS AT ITS MOST VULNERABLE 

NEWS BULLETIN

SAFETY

FINES FOR LAX SHIPPERS

A number of container lines have recently announced measures to discourage the misdeclaration of dangerous goods, including fines of up to $35,000 for each mis-declared cargo discovered. The move has been welcomed by the TT Club, in light of growing concerns about lax cargo packing practices and erroneous, sometimes fraudulent, declaration of cargoes.

“Clearly, the shipper has primary responsibility to declare fully and honestly so that carriers are able to take appropriate actions to achieve safe transport,” says Peregrine Storrs-Fox, risk management director at the TT Club. “Since this is not always the case, carriers have to put in place increasingly sophisticated and costly control mechanisms to ‘know their customers’, screen booking information and physically inspect shipments. Equally, carriers have the opportunity to review any barriers to accurate shipment declaration, including minimising any unnecessary restrictions and surcharges. Penalising shippers where deficiencies are found should be applauded. Furthermore, government enforcement agencies are encouraged to take appropriate action under national or international regulations to deter poor practices further.”

Under the banners ‘Cargo Integrity’ and #Fit4Freight, TT Club has been collaborating with stakeholders through the freight supply chain to highlight ongoing risks, including severe ship fires, arising from poorly packed and declared cargo. TT Club’s Cargo Integrity campaign seeks not only to promote awareness of good practice, such as set out in the CTU Code, but also to reveal the plethora of influences from both direct and indirect stakeholders within the supply chain that result in behaviours leading to dangerous incidents on land or at sea.

“A key element of the campaign is to identify levers – both sticks and carrots – that are available to improve a safety culture in container transport, including considering unintended consequences inherent in trading arrangements or fiscal/security interventions and the possibilities presented by technological innovation,” Storrs-Fox adds.

HELP FOR MARINE RISKS

The Chemical Distribution Institute (CDI) has published a new book, Packaged Chemicals by Sea: Risk Mitigation. The book provides an insight into the marine logistics distribution chain and the responsibilities of chemical manufacturers and their logistics partners in

ensuring safety during marine transport. It draws on the knowledge of all stakeholders and participants in CDI’s International Marine Packed Cargo Audit Scheme (IMPCAS).

The book is written as a practical sequential prompt, an aide-mémoire for managers, employees and contractors, and as a consolidated informative guide for those persons new to the logistics industry. CDI recognises that the loss of experience and corporate memory in the logistics industry has to be stemmed if the “all-too frequent number of incidents involving dangerous goods” is to be reduced.

The book is available from Witherby Seamanship; online orders can be made at www.witherbyseamanship.com/cdi-packagedchemicals-by-sea-risk-mitigation.html.

UPDATES ON STEEL DRUMS

The Industrial Steel Drum Institute (ISDI) has been involved in two recent initiatives to improve standards in the manufacture and use of steel drums. In collaboration with the American National Standards Institute (ANSI), an update to their 2004 standard for steel drums and pails, ANSI MH2 has been issued.

“This standard is primarily a dimensional standard for the manufacture of freestanding steel drums and pails having capacities from 5 to 58 gallons. The dimensions for sizes and types most commonly used in domestic and export shipments are included in this standard as well as key construction elements,” explains Kyle Stavig, ISDI chairman.

ISDI and Transcaer have meanwhile released a new ‘Seconds Count’ video, a 90-second animation aimed at educating first responders on the basics of UN markings on tighthead steel drums.

“In business or emergency situations, UN markings provide the critical information needed to ensure drums are safely and securely managed,” says Stavig. “We hope this information will help first responders better understand the nature of the materials they are working with and how to handle them during an event.” The video, the 30th in the series, can be viewed on YouTube.

SAFETY 55 WWW.HCBLIVE.COM

FOR DANGEROUS GOODS professionals in the UK and Ireland, subject just like their counterparts elsewhere in the world to regular changes in the dangerous goods regulations, the best way to get quickly up to date with those changes – and to have the opportunity to quiz the regulators on why they are making them – is the annual Dangerous Goods Update seminar, organised by the Vehicle Certification Agency (VCA) on behalf of

the UK Department for Transport (DfT).

This year’s seminar was held once again at the Daventry Court Hotel on 4 and 5 June, kindly sponsored by Air Sea Containers, Labeline, Eckert & Ziegler and HCB. As has become the norm, it attracted a large and mixed crowd comprising both hoary old veterans of the game alongside the shinyeyed newcomers to the world of dangerous goods. And, with them in mind, it kicked off as usual with a ‘primer’ session by Keith White of VCA, who ran through the basics and tried to unravel the tangle of acronyms and abbreviations that the more experienced delegates were already inured to.

Following an introduction by the event’s chair, John Mairs, recently retired from his position as deputy head of DfT’s Dangerous Goods Division under Jeff Hart, Jeff’s successor, Roh Hathlia, picked up on that mix of attendees, saying it was good that around 30 per cent of the audience were there for the first time, as many dangerous goods safety advisers (DGSAs) are now “getting on a bit”.

UK GETS TO WORK

One of the things that both Keith and Roh were very keen to impress on the audience is the potential for industry to influence regulatory change. Roh gave the example of a paper presented to the UN Sub-committee of Experts on the Transport of Dangerous Goods (TDG) at its November 2017 session by Chris Wright of Faradion, who introduced the concept of sodium ion batteries, a technology his company was developing. His presentation compared the risks of sodium ion and lithium ion batteries, leaving the Sub-committee better placed to move forward with developing regulations for the new batteries.

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ON TIME, IN FULL CONFERENCE REPORT • VCA’S 34TH ANNUAL UPDATE SEMINAR DID NOT DISAPPOINT, WITH EXPERT SPEAKERS PROVIDING DETAIL ON THE REGULATORY CHANGES HAPPENING THIS YEAR THE REGULATORS ARE KEEN TO HEAR FROM INDUSTRY EARLY IN THE PRODUCT DEVELOPMENT PROCESS 

This was taken up at the next session of the Sub-committee in July 2018, where the UK submitted a formal paper proposing the introduction of a special provision to exempt sodium ion cells and batteries from the provisions. There was general support at that session, although some delegates asked for more information. As it stands, the UK was preparing a follow-up paper for the July 2019 session (a report on which will be in a forthcoming issue of HCB).

This provided a useful lesson for industry: organisations developing new technologies should bring them as soon as possible to the regulatory bodies, so that they can prepare to have the regulations in place promptly. At present, the process has now taken three years and its outcome is not yet certain.

Roh continued with some reports of other work that the UK had a hand in during the preparation of the 21st revised edition of the UN Model Regulations. This edition was adopted by the parent Committee in December 2018 and will form the basis of the modal regulations that take effect in 2021.

For instance, on the basis of work chaired by Canada, the UK submitted a series of papers on the transport of Category A infectious waste, following difficulties experienced during the earlier Ebola virus outbreak. This was supported by many delegations and the World Health Organisation and, after some amendments at the July 2018 session, the amendments were adopted. This has introduced a new UN 3549 for solid waste generated from the medical care of humans or animals and new packing instructions P622 and LP622.

The UK was also successful with a proposal to authorise LP101 as a packaging option for 35 additional explosives entries, and with an amendment to allow portable tanks that have missed the timeframe of their scheduled 5- or 2.5-year periodic inspection and test to be filled and offered for transport once a new inspection and test has been performed.

CHANGES IN DETAIL

Roh also listed some of the other important changes in the 21st edition of the UN Model Regulations, most of which, he said, should be useful for industry:

• There are three new entries – UN 0511 to 0513 – for electronic detonators programmable for blasting, which did not fit under existing entries

• A new Packing Group I entry is added for UN 1390 alkali metal amides, after testing work in Germany

• Clear text has been added in 5.5.4.1 to exempt data loggers and other telematics devices that contain lithium batteries from the transport provisions

• Generic names may be used in lieu of technical names for substances carried under UN 3077 and 3082

• Packing instructions P400 and P404, which apply to pyrophoric substances, no longer require threaded closures as these may cause a friction-induced reaction

• Special provision 327 now applies to waste gas cartridges as well as waste aerosols

• A smaller lithium battery mark (50 mm x 50 mm) will be permitted on small packages.

All these changes are still to filter down to the operational level, but Sophie Willis, policy advisor at DfT, provided an update on the work of the European regulators and what industry was to be faced with once the 2019 editions of ADR, RID and ADN came into full effect on 1 July 2019.

On important change that gives dutyholders a little longer to comply is the requirement to appoint a DGSA, which has been extended to cover those companies that consign shipments but are not physically involved in loading, packing, filling or unloading – this basically covers freight forwarders and other parties that play a significant role in the supply chain. These companies will have to appoint a DGSA by 31 December 2022; the other exemptions still apply, so if the organisation concerned only ships dangerous goods in limited quantities, or only occasionally, there is no need for a DGSA. DfT has guidance available on its website.

Some other significant amendments in ADR 2019 are now in force. There are 15 new entries in the Dangerous Goods List:

• UN 3535 toxic solid, flammable, inorganic, nos; Division 6.1; PG I and II

• UN 3536 lithium batteries installed in cargo transport unit, Class 9

• UN 3537-3548 articles containing dangerous goods of various classes/division. »

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This last change was prompted by work led by the UK to avoid the need to assign specific UN numbers to new articles arriving on the market, and allows shippers to assign them to the most appropriate of these entries or to another entry relating to the specific dangerous goods they contain. The exemption provided in 1.1.3.1(b) has been deleted.

An important change in ADR 2019 arrived after lengthy work to align more closely the UN Model Regulations with the Globally Harmonised System of Classification and Labelling of Chemicals (GHS) in relation to corrosive substances and, in particular, to mixtures. This now allows shippers to classify mixtures using calculation, based on the individual substances in the mixture, rather than having to obtain test data for each mixture. Sophie advised delegates that they may wish to consider whether previously determined classifications are still accurate.

The new Class 9A label and lithium battery mark, which were introduced in ADR 2017 but given a two-year transition period, became mandatory for use on 1 January 2019.

The UN TDG Sub-committee had been alerted to the fact that the Model Regulations had been in the habit of using the words

‘hazard’ and ‘risk’ interchangeably, when in fact they refer to different things; there have been a lot of changes to try and rationalise their use, while Romania and the International Union of Railways (UIC) are leading work to draft definitions of ‘risk’ and ‘hazard/danger’ in the context of RID/ADR/ADN.

Clarification has been provided in 3.1.2.2 that, when a UN entry offers alternative proper shipping names (e.g. UN 1057 LIGHTERS or LIGHTER REFILLS), only the most appropriate name should be shown in the transport document and package marks.

AIR AND SEA

Sophie wrapped up her presentation by reminding the audience that there are very many other amendments included in ADR 2019, many of them small or specific.

The UN ECE website now has a ‘track changes’ version of ADR 2019 available, which makes it easier to spot where those changes have been made.

Keith White returned to the stage to give a brief run-through of the changes that have arrived this year for the air and sea modes. He reminded the audience that the International Civil Aviation Organisation’s

(ICAO) Technical Instructions and the International Air Transport Association’s (IATA) Dangerous Goods Regulations (DGR) – the former being the legal document, while the latter is generally used in the field – enter into force promptly on 1 January, so those involved in the consignment of dangerous goods by air should already be in compliance.

Many of the changes that have appeared this year are similar to those in ADR 2019, deriving as they do from the 20th revised edition of the UN Model Regulations. However, there are some differences. For instance, the 12 new UN numbers for articles containing dangerous goods are all forbidden for carriage by air, except that some of them are allowed on cargo aircraft under special provision A2.

Similarly, the new UN 3536 lithium batteries installed in a cargo unit are also forbidden for carriage by air. There is a broader change to the Emergency Drill Code for lithium batteries, changing from “No general inherent risk” to “Fire, Heat, Smoke, Toxic and Flammable Vapour”.

ICAO introduced an ID number for disilanes, as it wanted to get the substances into the Dangerous Goods List and, Keith said, the UN Sub-committee is “lagging behind”.

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Also specific to air, the format of the Dangerous Goods Note has been modified; there is, however, a transition period to the end of 2014 allowing the use of the previous version. There are also some changes to the segregation provision.

The 2018 edition of the International Maritime Dangerous Goods (IMDG) Code also took effect on 1 January 2019 but for sea transport there is a general transitional period until 1 January 2020; the printed version of the Code also provides indications of where the text has changed compared to the earlier edition.

Keith explained some of the major changes, which again mirror many of those in ADR 2019. However, the IMDG Code includes a new definition for what is being termed an IMO Type 9 road gas elements vehicle – essentially the same as what ADR refers to as a multipleelement gas container (MEGC).

The Code has adopted all the new UN numbers for dangerous goods in articles, in alignment with the UN Model Regulations. Packing Instructions P006 and LP03 as well as stowage categories have been assigned to UN 3537, 3538, 3540, 3541, 3546, 3547 and 3548; this specifies the use of packagings tested for Packing Group II.

The IMDG Code has introduced two new special packing provisions in packing instruction P520 for energetic samples, which have been brought into the code. There are also new P911 and LP906 for damaged and defective

lithium batteries, and LP905 for prototype and small production runs of lithium batteries.

There have been other changes in the stowage and segregation provisions, which are unique to the sea mode. In 7.1.4.4.5 there are new stowage provisions for jet perforating guns, and the addition of provisions for stabilised dangerous goods (covering polymerising substances) has added stowage provisions in 7.1.4.7. Finally, the Code has added new segregation group codes to assist in stowage planning.

RADIOACTIVE CHANGES

A surprising number of delegates at the VCA seminar were involved in the movement of Class 7 materials, so it was just as well that Anna Mayor, principal inspector at the Office of Nuclear Regulation (ONR), had been asked to come and explain what are some significant changes to the way that the UK regulates the transport of such material.

The amendments, introduced in the 2019 version of the Carriage of Dangerous Goods etc Regulations (CDG), were necessary in order to implement the ‘new’ Basic Safety Standards Directive (BSSD), published in 2013. Regulation 24 and Schedule 2 of CDG 2009 implemented the earlier BSSD in terms of transport emergency preparedness and response, and the notification of loss or theft of Class 7 goods during transport. Most other parts of BSSD were implemented via the »

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Ionising Radiations Regulations (IRR) and the revised IRR17 has already implemented most of the BSSD changes relevant to transport.

Amendments to CDG 2019 were made in Parliament on 12 March 2019 and came into force on 21 April; they will come into effect on 21 April 2020. There is no change to the requirements for emergency planning and the responsibilities of drivers, carriers and consignors to respond to an emergency and to notify the emergency services and ONR.

However, the amendments now more closely align the text of CDG 2019 with the Radiation (Emergency Preparedness and Public Information) Regulations 2019 (REPPIR 19), which applies to fixed facilities. It includes new terms and definitions and more detailed requirements; these will be challenging to meet, Anna said, especially for smaller carriers and particularly in the area of risk evaluation and emergency planning.

At the time of the VCA seminar, ONR was in the process of preparing guidance on the new requirements now that the regulations have been finalised. Consultation on that guidance took place in June and July 2019 and ONR was expecting to publish the final text in the third

quarter, with a review planned once the new rules have been in place for a year.

ONR expects that dutyholders will test their emergency plans every year, although the regulations give a maximum of three years. On the upside, ONR will take over responsibility for providing information to the public from carriers; this will be in the form of generic information available on the ONR website (www.onr.org.uk).

Anna ran through the revisions in some detail, highlighting the explicit link between CDG and IRR and the differences between REPPIR and CDG. She said that this is still a work in progress and ONR does not yet have an idea of what ‘good’ compliance looks like. However, for those involved in the Class 7 supply chain, there is clearly work to be done.

COMING AT YOU

While the papers discussed thus far had all covered regulatory changes that have, at some level, already happened, there was an enlightening presentation from Joe Martin, policy advisor at DfT’s Dangerous Goods Division, looking ahead to the 55th session of the UN TDG Sub-committee, which was due to start on 1 July.

Joe explained the process by which the UK government comes to its views on the papers presented at the UN meetings, and the ways in which industry can play a part.

He also noted that the 55th session was due to discuss 37 formal papers, of which 22 represented new business, and that slightly more than half of the total had been submitted by industry representatives. This was not only an unusually large number of papers for what was to be the first of four meetings in the 2019/2020 regulatory biennium, but also a comparatively large proportion of proposals coming from industry.

Joe looked at one of these in more detail: a joint proposal from the European Aerosol Federation (FEA) and the Household and Commercial Products Association (HCPA) to increase the maximum pressure to which an aerosol dispenser can be filled. This follows technical developments by industry. The proposers have offered two options to amend special provision SP63: a ‘streamlined’ provision and a second, more comprehensive version.

It was clear that the ‘streamlined’ version is perhaps a little too streamlined, merely specifying that the internal pressure of aerosol dispensers at 50˚C shall not exceed 1.5 MPa (15 bar); the more detailed version provides for different internal pressures for flammable liquefied gases (1.2 MPa), non-flammable liquefied gases (1.32 MPa), and nonflammable compressed or dissolved gases (1.5 MPa). Joe asked the audience whether they thought this information might be easier to digest if presented in tabular format, rather

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than as another block of text – perhaps that fact that, as he admitted, the Dangerous Goods Division currently has a very young age profile means that a less traditional way of presentation would be more acceptable.

Joe looked at another two papers for the July 2019 TDG Sub-committee’s attention. The first, submitted by Germany, aims to amend the wording of 6.5.1.1.2, which outlines the circumstances under which alternative service equipment, arrangements and methods of inspection and testing of intermediate bulk containers (IBCs) may be employed. The proposal aims to align the paragraph with related paragraphs, and to provide provisions that are sufficiently flexible to allow for technical progress while maintaining the required level of safety.

During its consideration of the proposal, DfT has had to gauge whether the proposal as it stands would deliver the required outcome, whether there are alternative or better ways of achieving that outcome, whether there would be any unintended consequences, and what effects there might be for industry and for safety.

This is another example of where input from industry would be useful; Joe reminded

the audience of the briefing meetings that DfT holds prior to the UN sessions and the opportunity that they provide for those concerned to make their voices heard. He recommended that industry keeps an eye on the papers being put before the TDG Subcommittee and informs DfT of are any issues that need to be highlighted.

The final paper that Joe looked at has been submitted by the Russian Federation and aims to include a new 6.9.4 with requirements for the design, construction, inspection and testing of valves and relief devices manufactured from fibre-reinforced plastics (FRP) and designed for use with portable tanks (i.e. tank containers).

His initial thought was that the proposal seems premature; has any data been provided that shows such equipment offers and equivalent level of safety, and is Russia the only state with experience of this equipment? He appealed for anyone in the audience with relevant information to get in touch. HCB

The second part of this report on the VCA Dangerous Goods Update seminar in next month’s HCB will look at the other presentations, which largely dealt with enforcement activity.

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TRUST AND VERIFY

CONFERENCE REPORT • WHILE THE REGULATED COMMUNITY IS EXPECTED TO COMPLY WITH THE RULES, THERE ARE PLENTY OF WAYS IN WHICH REGULATORS CAN ENFORCE THEM

THE COUNCIL ON Safe Transportation of Hazardous Articles (COSTHA) held its 2019 Annual Forum this past 7 to 11 April at the Hyatt Regency in Long Beach, California. As ever, the event provided a handy way for hazmat professionals from around the world to come up to date with the latest regulatory amendments, while spending time with the regulators themselves and a host of equipment and service providers offering tools to help them do their jobs more effectively.

And, as the first part of this report on the event (HCB August 2019, page 58) revealed, there was plenty to catch up on, not least

in Canada. Delegates also heard from representatives from the US, Mexico, China and Europe.

But the regulations governing the transport (or transportation) of dangerous goods (or hazardous materials) aim for global harmonisation, so Shane Kelley and Lindsey Constantino from the Pipeline and Hazardous Materials Safety Administration (PHMSA) brought delegates quickly up to speed with recent developments at the international regulatory fora.

BACK FROM GENEVA

They began with the recent and upcoming work of the UN Sub-committee of Experts on the Transport of Dangerous Goods (TDG), which had discussed two papers from the US, one on the default fireworks

classification table and one on removing the Packing Group I assignment for alkali metal amides. They also reminded the audience of decisions made relating to the dimensions of the lithium battery mark, the minimum wall thickness for metal intermediate bulk containers (IBCs) and the classification of self-inflating recovery devices.

With the new biennium’s work due to begin shortly after the COSTHA meeting, in July 2019, to work on the 22nd revised edition of the UN Model Regulations, Kelley said that the work plan is aiming to look at performance-based and risk-based hazards and mitigation. Two major pieces of work will be the continuation of the work towards a hazard-based classification system for lithium batteries – yes, more changes are in the offing, but it is hoped that this will provide a consistent system that will not require changes in the future – and provisions for fibre-reinforced plastics (FRP) portable tanks.

Kelley and Constantino also reported on the meeting of the International Civil Aviation Organisation’s (ICAO) Dangerous Goods Panel (DGP), which had taken place the week prior to the COSTHA forum; this was the second of three planned meetings for the 2018-2019 biennium.

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ICAO’S DANGEROUS GOODS PANEL HAD MET JUST BEFORE THE COSTHA ANNUAL FORUM AND AGREED SOME CHANGES 

DGP is progressing with the move towards competency-based training, a move that had been interrupted after technical difficulties in arranging the necessary changes under the Chicago Convention.

GONE TO SEA

Hillary Sadoff of the US Coast Guard (USCG) brought attendees an update on the work of the International Maritime Organisation’s (IMO) Sub-committee on Carriage of Cargoes and Containers (CCC) and the Editorial & Technical (E&T) Group for the International Maritime Dangerous Goods (IMDG) Code, which had been drafting the changes that will appear in Amendment 39-18 of the Code.

Apart from those changes to maintain harmonisation with the UN Model Regulations, a significant number of proposals had been put forward with specific applicability to maritime transport. Many of these came from Germany, which holds the chair of CCC, and included a proposal to delete the word ‘flammable’ from the proper shipping name of UN 2754 toluidine, and to apply ‘separated from’ in the segregation of ammonium nitrate and ammonium chlorates and perchlorates.

France had also been busy, proposing to amend 5.4.3.1 of the IMDG Code to require the addition of all special provisions, stowage and handling codes and segregation codes to the dangerous goods manifest. It also proposed changes in 4.1.1, 4.1.2 and 4.2.4 to prohibit the filling or discharging of packagings, large packagings, intermediate bulk containers (IBCs) and multipleelement gas containers (MEGCs) while they are onboard a vessel. A third proposal from France suggested replacing the term ‘dangerous goods declaration’ with ‘dangerous goods transport document’. Two interesting proposals were forthcoming from industry. The International Paint and Printing Ink Council (IPPIC) proposed an amendment to 5.4.1.4.3.6:

Flashpoint: If the dangerous goods to be transported have a flashpoint of 60°C or below (in °C closed-cup (c.c.)), the minimum flashpoint shall be indicated. Because of the presence of impurities, the flashpoint may be lower or higher than the reference temperature indicated in the

Dangerous Goods List for the substance. For class 5.2 organic peroxides which are also flammable, class 2 aerosols and class 4.1 flammable solids, the flashpoint need not be declared.

The International Chamber of Shipping (ICS), referencing the new provisions for the transport of polymerising substances, proposed that such shipments should show the self-accelerating polymerising temperature (SAPT) on the dangerous goods declaration; carry an indication that any chemical inhibitors employed are sufficient to prevent polymerisation for the duration of the transport and any transhipment; and carry an indication that no temperature control is necessary or, if it is, that the kind of cooling requirements/container type used is in accordance with 7.3.7.3.2.

WHAT’S IN THE BOX?

There were some interesting discussions on incidents and container inspections. The IMO secretariat noted that a new online page to allow states to submit container inspection reports is now available. Sadly, though, despite a regulatory requirement to do so, only a few states are submitting such reports and, of the seven that do so, only the US has a significant container inspection programme in place. In the most recent set of results, of the 79,780

cargo transport units (CTUs) inspected, 6,684 were found to have deficiencies.

ICHCA International noted that, despite efforts, the proportion of CTUs with deficiencies remains stubbornly high, and offered a list of the cargoes most likely to leak to incidents. It also felt that there is both ignorance of and intent to avoid compliance with the regulatory provisions. It proposed setting up an intersessional correspondence group to review the topic in more detail.

Germany provided information on two recent containership fires, involving MSC Katrina (in November 2015) and Ludwigshafen Express (in February 2016), both of which started in containers carrying charcoal. In both cases, the charcoal involved had successfully passed the N.4 test. ICHCA International said there has been an increase in the number of incidents involving charcoal, which is a ‘natural’ product and can therefore be expected to vary in its properties between batches. It proposed that the E&T Group should consider the technical aspects of this cargo and perhaps the deletion of special provisions 223 and 925.

On the final day of the forum there was a workshop on preparing for regulatory inspections. During that session, USCG provided more detail on its container inspection programme, which aims to look »

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into around 6,150 containers each year, of which some 75 per cent are hazmat boxes. In those cases, inspectors are checking that the goods are in compliance with the relevant provisions of the Hazardous Materials Regulations (HMR) as well as the IMDG Code.

After selecting a container, inspectors look at the external structure, open and ventilate the container and inspect the stowage, before it is closed and re-sealed. Leaving aside noncompliance with the dangerous goods rules, the list of common discrepancies discovered by USCG inspectors is unfortunately familiar and consistent: weaknesses in blocking and bracing and structural deficiencies are all too common. Containers with hazardous materials are too often bearing improper markings and placards; the subsidiary hazard is often not shown; and boxes frequently lack a marine pollutant mark.

THE INSPECTOR CALLS

A somewhat different slant on the subject was provided by James Simmons, hazmat program manager, western region for the Federal Motor Carrier Safety Administration (FMCSA). He reminded the audience what it is they are doing when they sign the dangerous goods consignment note: that they confirm that the contents of the consignment are “fully and accurately described … by the proper shipping name, and are classified, packaged, marked and labelled/placarded, and are in all respects

in proper condition for transport according to applicable international and national government regulations”.

Simmons explained what carriers can expect when they get a visit from an FMCSA inspector – a visit that may well come as a result of an incident or complaint – and offered some advice on what carriers should do to avoid the worry in the future:

• Perform internal reviews of all records: are they complete and up to date?

• Periodically review the status and performance of hazmat drivers, and

• Ensure that all hazmat employees are fully trained.

Simmons also advised shippers to perform due diligence on the carriers they select to minimise the risk of hazmat incidents and mis-communication. Most importantly, all those involved in the supply chain should feel free to ask questions of those who regulate hazmat transport – an opportunity that the COSTHA Annual Forum provides.

In a similar vein, Robert Burns, an investigator with the southern region of PHMSA, offered some thoughts on why regulated entities are subject to inspections. There may have been complaints against the organisation, or there may be an incident history that prompts further investigation. Often, though, inspectors choose to visit locations that handle high-risk substances, particularly those that are toxic by inhalation.

Burns explained to the audience what they should expect to happen when a PHMSA inspector turns up at their door. The inspector will gather evidence through interviews and a review of documentation, and may take photographs. The types of items to be inspected will vary according to the facility’s operations, but may involve testing equipment, manufacturing equipment, the packaging and marking/labelling of hazmat, training records and the site’s security plan.

Companies can help by ensuring that they have all documentation easily available and in good order; at least two years’ worth of documents will be needed.

On leaving, the inspector will provide a ‘field report’ – this should not be confused with a ‘final report’. It will summarise the inspection and note any probably violations. It will be reviewed by the inspector and a company official, and informal guidance may well be offered. The inspector may request corrective action and refer the company to the penalty guidelines. Burns also gave an outline of the various enforcement actions available.

Entities that consider themselves quality operators should also be aware of the opportunity to file complaints about other operators. This is an anonymous, online process that receives high priority at PHMSA, as it is seen as a way of identifying the ‘bad guys’ who are avoiding compliance with the HMR.

PLEASE MR POSTMAN

The increase in the e-commerce sector has prompted more interest in hazardous materials in the post and this was reflected in the appearance at the COSTHA forum of Mary Collins from the US Postal Service (USPS) and Kevin Gunther and Vincent Desiderio of the US Postal Inspection Service (USPIS). USPS has its own version of HMR, known as ‘Publication 52’: the Hazardous, Restricted and Perishable Mail Manual.

There have been recent changes to the Manual for mailpieces containing liquids.

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A final rule was issued on 18 March 2019 and took effect on 28 March. This specifies, inter alia, that all non-metal containers, metal containers with friction tops (i.e paint cans) and metal cans using pull-tabs, with a capacity of more than 4 ounces, must be triple-packaged. A proposal to extend this to smaller packagings was not adopted. There is also a requirement for the use of orientation arrows, recommendations on the use of locking rings, and language to specify the use of “strong and securely sealed” outer packaging. There was, though, some relaxation from the need to provide test results with each mailing for those shippers using the ISTA test procedure 3A.

Other recent revisions to Publication 52 cover cigarette lighters, UN 3506 mercury contained in manufactured devices, a new definition of ‘rigid’, and new examples of non-mailable Class 3 liquids. USPS has also aligned with US DOT definitions of toxicity

and with the Universal Postal Union (UPU) references to radioactivity levels. ORM-D packages are now no longer permitted in priority mail.

USPIS presented a catalogue of pictures showing what can happen when the wrong things are mailed in the wrong way, not least lithium batteries catching fire in the post.

However, the practice of smuggling cobras in potato ship cans, which led to one man’s arrest, probably does not fall under the hazardous materials regulations.

The 2020 COSTHA Annual Forum will take place in Greenville, South Carolina from 26 to 29 April.

Full information can be found at www.costha.com.

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FIRST CLASS MEETING

EXPLOSIVES • IN THE HIGHLY SPECIALISED WORLD OF CLASS 1 SUBSTANCES, IT TAKES EXPERTS TO DETERMINE WHERE CHANGES ARE NEEDED. THAT IS WHERE THE IGUS/CIE MEETING COMES TO THE FORE

THE CREAM OF the world’s explosives technical and regulatory experts held their annual meeting in Swakopmund, on the coast of Namibia, in March 2019, hosted by Namibian Police Force. The Explosives, Propellants and Pyrotechnics (EPP) working group of the International Group of Experts on the Explosion Risks of Unstable Substances (IGUS) and the International Conference of Chief Inspectors of Explosives (CIE) met for one week to exchange information on the behaviour of unstable substances, with respect to production, handling, storage and transport.

The meeting was attended by 65 delegates from Australia, Canada, Chile, China, France, Germany, Japan, Namibia, Netherlands, South Africa, Spain, Sweden, Switzerland and the US, with a rough split between industry and government representation. Industry delegates were a mixture of testing

laboratories, manufacturers, industry associations and transporters. The government delegates represented testing laboratories and inspectors.

This article is based on a report on the meeting kindly provided by Ken Price of Riskom International, Australia; it concentrates on those issues relevant to the transport and storage of explosives.

DEVELOPING PROPOSALS

The IGUS and CIE forums are regularly used by delegates to develop their ideas and proposals for changes to the UN Model Regulations and the 2019 meeting was no exception. Ben Barrett (representing the Sporting Arms and Ammunition Institute - SAAMI), Bob Ford (Safety Management Services) and Noel Hsu (Orica) led several discussions on proposals for change.

One proposal was to modify the documentation requirements in the UN Model Regulations to no longer require that the net explosive mass be shown for Division 1.4 explosive. The proponents were of the opinion that information is never used and serves no useful purpose as they believed that Division 1.4 explosives will not mass explode.

Another proposal was to add the term “significant” before “fire or explosion” in the 12-metre drop test assessment found in the UN Manual of Tests and Criteria. This would match the terminology used in the introduction to that test method and harmonise the intent of the test with the assessment of results. The paper also proposed to define the term “explosion”. Several delegates expressed some reservations about the proposal as drafted, but there was some support for the principle.

A third paper proposed a review of Compatibility Groups. During the discussion it was pointed out that although most compatibility groups are assigned on the basis of the type of explosive represented, compatibility groups N and S are both based on tests rather than intrinsic properties. This further illustrates that fact that explosives assigned to Division 1.4 Compatibility Group S are treated as though they were a separate division.

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TECHNICAL ADVANCES IN BLASTING ARE REQUIRING A RESPONSE FROM THE DANGEROUS GOODS REGULATORS 

The proposal is to expand paragraph 2.1.4.3.2 of the Model Regulations to reflect wording already in the Manual of Tests and Criteria, clarifying that tests 5, 6 and 7 are used to assign classification, with test series 6 specifically used to allocate substances and articles to divisions 1.1, 1.2, 1.3, 1.4 and 1.4 Compatibility Group S (underscored text is proposed to be added to the Manual Regulations).

Still on UN issues, it was proposed to revise the assessment criteria for test 6(d) found in the UN Manual of Tests and Criteria to more accurately reflect the original intent of the test: the detection of hazardous effects outside the package due to normal functioning of an article inside.

Finally, in light of the introduction of the Minimum Burning Pressure (MBP) Test into the Manual of Tests and Criteria (test 8.e), there was an opinion that substances subjected to the 8.e test should not be required to undergo the Vented Pipe Test (VPT) since the MBP is an inherent property of the substance and not subject to effects of scale, which the VPT was attempting to ascertain. Several participants at the meeting concluded that it was time Test Series 8 was reviewed

to assess the value and effectiveness of the tests, particularly the 8 (d) test.

ONGOING MATTERS

Given that the UN has recently introduced a specific proper shipping name and UN number for electronic detonators, there was a very timely presentation from Mr Xin Jin, head of MIIT’s Safety Production Department in China, on the usage and legal requirements for electronic detonators in China. China is planning to remove all non-electronic detonators from the market within three years. Their production of e-detonators has gone from 1.8 million in 2016 to 16 million in 2018 and continues to rise.

Delegates discussed their plans to apply the new proper shipping name and UN number; most said they will have to make adjustments to their processes once the changes filter down into the modal regulations.

That may not be the end of the change: Orica enlightened the group about the potential for wireless initiation systems, including completely robotic blasting.

Peter Howe of Platinum Explosives spoke on some developments available

for avoiding fires in explosives vehicles, including tyre pressure monitors, wheel and tyre temperature monitors and large volume water-based extinguishers (the only effective way to extinguish tyre fires). He showed one of

the fire protection systems industry is using in Australia that has saved at least two heavy vehicles on Australian roads.

On the topic of ammonium nitrate, Yara’s François Ledoux gave a presentation on the use of aluminium tanks for the transport of the substance, based on a research paper put together by the Norwegian Defence Research Establishment (FFI). This concluded that the use of aluminium tanks does not aggravate the already present risk of explosion in ammonium nitrate in the event of a fire.

The meeting accepted that this was the case but felt that the use of aluminium tanks should always be part of a risk assessment – it may not be the best solution in all cases. HCB

The next IGUS/CIE meeting will be held in Madrid, Spain from 19 to 24 April 2020. Those interested in the work of the group are invited to contact Ken Price by email at ken@riskom.com.au.

REGULATIONS 67 WWW.HCBLIVE.COM

NOT OTHERWISE SPECIFIED

GOLDEN SHOWERS

Here on the Back Page we love a good headline as much as anyone, so when we saw this in the Sydney Morning Herald at the back end of July we had to stop and read on: “Man who urinated in backyard exposed family to radiation”.

It turns out that the man in question had discharged himself from hospital after a dose of radiotherapy. Perhaps he had been watching his pet cat and wanted to mark his territory when he got home, perhaps he just couldn’t wait to get indoors; in any case, he took a leak in the back yard, as a result of which the area was contaminated and turf and soil had to be removed. What would have happened if he had made it to the toilet, we wonder?

The story only came to light as a result of a campaign against nuclear power in Queensland, although how the risks posed by a nuclear power station can be compared to the risks of radiotherapy is not explained by campaigners.

TAKING THE PISS

In a related vein, the Hampton Medical Center in Virginia, US was evacuated one day a few months ago due to what was thought to be “a potential hazmat situation”. Staff reported an overwhelming, pungent smell on one of the upper floors, which houses the facility’s mental health unit. Staff and patients were evacuated, and two staff members that came into contact with a suspicious substance were placed under medical observation.

The local hazmat team isolated the source of the smell, which turned out to be a urine sample. A sample of the sample was sent for analysis, although reports do not reveal what was in it to make it smell so bad. Asparagus, perhaps?

BATH TIME FUN

A house in the Baltimore suburb of Lansdowne was badly damaged and a man was hospitalised with burns in July. Usually with such stories, one might suspect a gas leak, over-exuberant fumigation or playing with fireworks but, for once, the cause was rather more mundane, if unusual.

It emerged that the injured man was a contractor, brought into the home to refinish a bath tub. The chemicals he was using to do the job ignited, causing a flash explosion. Investigators said there were several possible sources of ignition.

We do not know what was in the substance being used, and safety data sheets we have found are not that forthcoming, though one DIY blogger notes that “bathtub refinishing products release dangerous fumes, meaning proper ventilation and an organic vapour respirator are necessary”, as are safety glasses and chemically resistant gloves.

You have been warned.

DON’T MESS WITH SUSHI

Finally, some proof from Wisconsin that nothing good will come from messing with perfectly good recipes. Several recent fires in restaurants have been attributed to tempura flakes, deep-fried pieces of batter that the locals roll sushi in to give it an extra crunch.

Security cameras at a restaurant in Madison caught the little blighters spontaneously igniting some six hours after they had been prepared and left to cool. A fire investigator told the local public radio that the flakes are fried in batches and each one is put into a mesh strainer to cool, but adding more batches prevents them from doing so, and they eventually reach self-ignition temperature. So stop doing it.

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HCB MONTHLY | AUGUST 2019 68 BACK PAGE
INDEX
07 Channoil 47 CIMC Enric IFC Contamination Expo 02 Elaflex 37, 39 FachPack 38 Flaxfield 35 Fort Vale 21, 41 Freight Merchandising Services 65 HMT 12/13 IATA OBC Labeline 57, 59, 61 Newson Gale 47 Noord Natie Odfjell 17 OPW Engineered Systems 15 Scully Signal 35 Singamas 40 Tank Storage Asia IBC

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Articles inside

More about enforcement at COSTHA

10min
pages 64-67

IGUS/CIE group mull Class 1 changes

5min
pages 68-69

News bulletin – safety

3min
page 57

VCA Seminar covers the lot

15min
pages 58-63

CCTV as a loss prevention tool

2min
page 56

APRC builds Asian response capacity

6min
pages 54-55

Incident Log The more the merrier

13min
pages 51-53

Channoil brings training to Malta

4min
pages 46-47

Conference Diary

2min
pages 48-49

Looking ahead to Contamination Expo

2min
page 50

News bulletin – tanks and logistics

5min
pages 39-43

Training courses Formula for success

9min
pages 44-45

CBA askes its members’ opinions

2min
page 35

VSP gaskets for tank containers

3min
page 38

Delivering hydrogen in liquids

2min
pages 36-37

IMCD confident for 2019

2min
page 34

Brenntag carries on buying

5min
pages 32-33

Biocair’s pharma packagings

2min
page 31

Lufthansa takes care of cargo

5min
pages 28-29

Coastair builds out Liège base

2min
page 30

Qatar Airways gets it right

5min
pages 26-27

News bulletin – storage terminals

6min
pages 24-25

Looking ahead to Tank Storage Asia

5min
pages 21-23

Viking adds SLOFEC

2min
page 20

TSA returns to Coventry

6min
pages 16-19

Adnoc buys into VTTI

3min
pages 13-15

Learning by Training

2min
page 7

The View from the Porch Swing

5min
pages 8-9

VOLUME 40 • NUMBER

3min
page 11

Letter from the Editor

5min
pages 3-5

NNOAT continues to grow

2min
page 12

Vopak improves results

2min
page 10

30 Years Ago

2min
page 6
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