Sargent Canyon Cogeneration Company - Executive Summary

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EXECUTIVE SUMMARY 
 
 
Accidental Release Prevention and Emergency Response Policies 
 
Sargent Canyon Cogeneration Company stores and utilizes anhydrous ammonia  
in a selective catalytic reduction (SCR) process and in a thermal energy storage  
(TES) system at their facility in the San Ardo oil fields near Paso Robles,  
California.  It is Sargent Canyon Cogeneration Company's policy to comply with  
all applicable governmental regulations.  Further, it is Sargent Canyon  
Cogeneration Company's objective to be a responsible citizen of the community  
in all of its business activities. 
 
Sargent Canyon Cogeneration Company emphasizes safe and environmentally  
sound operating practices and procedures through their employee training  
programs.  In addition to job specific training, operators and maintenance  
personnel receive training in fire prevention, fire control, accident prevention,  
safety, and first aid.  Additionally, an emergency action plan has been prepared  
for Sargent Canyon Cogenera 
tion Company and a chain of command to respond  
to emergencies has been established. 
 
Sargent Canyon Cogeneration Company has developed a detailed Compliance  
Audit Checklist which is used to evaluate compliance with the Process Safety  
Management (PSM) standard and 40 CFR Part 68 (RMP regulations).  At least  
every three years, Sargent Canyon Cogeneration Company audits these  
programs and any findings of noncompliance are documented and responded to  
and the deficiencies are corrected. 
 
Description of the Stationary Source and Regulated Substances  
 
Texaco San Ardo Energy Company, a wholly-owned subsidiary of Texaco  
Producing Inc., formed a general partnership with the Anacapa Energy  
Company, a wholly-owned subsidiary of Edison Mission Energy Company, for  
the development of the cogeneration plant.  The partnership, named Sargent  
Canyon Cogeneration Company, owns and operates the facility.  The plant  
began commercial operation in October, 1991.   
 
The Sargent Canyon Cogeneration  
Company facility is located in Section 13,  
T32S/R10E, MDB&M in the sparsely populated San Ardo oil fields. 
 
Cogeneration, in the case of the Sargent Canyon project, is the simultaneous  
production of thermal energy and electrical energy from the combustion of a  
single fuel source.  Combustion of the fuel takes place in a gas turbine that is  
physically coupled to an electric generator.  Waste heat from the gas turbine's  
exhaust flows into a heat recovery steam generator (HRSG).  The HRSG  
extracts the heat from the exhaust gases and produces steam for thermally  
enhanced oil recovery.  Electricity is produced at the same time via the electric  
generator coupled to the combustion turbine.   
 
Anhydrous ammonia is used at the Sargent Canyon Cogeneration Company  
facility to create a reducing atmosphere in the SCR process.  This reducing  
atmosphere in the flue gas helps convert nitrogen oxides to nitrogen and water  
as it passes through the catalytic reactor.  The operation of the SCR  
system  
substantially lowers the emissions of nitrogen oxides from the gas turbine. 
 
Liquid ammonia is stored in a 15,000 gallon (water capacity) storage tank.  The  
maximum intended inventory of the anhydrous ammonia storage tank is based  
on the American National Standard Institute's K61.1 safety requirements and the  
Occupational Safety and Health Administration (OSHA) regulations published in  
Section 1910.111 of 29 CFR (and Section 509 of Title 8, CCR).  These standards  
and regulations limit the maximum ammonia storage capacity of the tank to  
approximately 69,960 pounds. 
 
Anhydrous ammonia is also utilized as a refrigerant in the TES system to cool the  
inlet air for the gas turbine during warm weather.  The TES system includes an  
ammonia  refrigeration system that generates ice during off-peak hours.  The ice  
is stockpiled in an ice storage tank.  During on-peak hours, chilled water is  
circulated from the ice storage tank to the inlet to the gas turbine.  At the inlet of  
th 
e gas turbine, the chilled water flows through a heat exchanger which cools the  
inlet air of the gas turbine.  Cooling the inlet combustion air of the gas turbine  
improves the turbine's power output during warm on-peak hours. 
 
The ammonia refrigeration system consists of a low pressure receiver, a high  
pressure pilot receiver, an evaporator, a compressor, two condensers, and an oil  
separator reservoir.  The largest vessel in the system is the low pressure receiver  
which contains approximately 3200 pounds of anhydrous ammonia. 
 
For purposes of the offsite consequence analyses, the RMP regulations define  
the toxic endpoint for anhydrous ammonia as 0.14 mg/l (200 ppm).  This  
concentration has been established by the American Industrial Hygiene  
Association as the Emergency Response Planning Guideline Level 2 (ERPG-2).   
 
ERPG-2 is the maximum airborne concentration below which it is believed that  
nearly all individuals could be exposed for up to one hour without experiencing or  

eveloping irreversible or other serious health effects or symptoms which could  
impair an individual's ability to take protective action. 
 
 
Worst-Case Release Scenario and Alternative Release Scenario 
 
Offsite consequence analyses are used as tools to assist in emergency response  
planning.  The RMP regulations require the owner or operator of a stationary  
source to analyze the offsite impacts due to an accidental release of a regulated  
substance.  The offsite consequence analysis for a Program 3 process must  
analyze the worst-case release scenario and an alternative release scenario.   
Since Sargent Canyon Cogeneration Company's SCR system and the TES  
system are considered Program 3 processes, both release scenarios were  
evaluated in the offsite consequence analysis. 
 
The offsite consequence analysis must include an estimate of the residential  
population within an area potentially affected by the accidental release scenarios.   
This area is defined as a circle with a radius equi 
valent to the distance the  
release would travel with concentrations at or above the endpoint.  This circle  
also defines the area in which potential environmental receptors must be  
identified. 
 
The worst case release is defined by the U.S. EPA as the total release of the  
contents of the single largest vessel or pipe within 10 minutes.  For liquefied  
gases stored under pressure, the entire contents of the vessel or pipe are  
assumed to be released as a vapor.  A total vapor release is highly unlikely.   
However, this standardized worst case scenario was developed for emergency  
response agencies to use for planning purposes. 
 
An alternative release scenario is a release that is more likely to occur than the  
worst-case release scenario.  For Sargent Canyon Cogeneration Company, the  
alternative release scenario was selected based on the results of the Hazard and  
Operability Studies for the ammonia-based SCR and TES systems.  The worst  
credible release event with the highest discha 
rge rate would potentially have the  
greatest offsite impact.  A failure of the ammonia delivery hose was identified in  
the Hazard and Operability Studies as the worst credible release event having  
the highest release rate, and therefore, was chosen as the alternative release  
scenario.     
 
Sargent Canyon Cogeneration Company has analyzed the offsite consequences  
of the worst-case and alternative release.  For the worst-case release scenario,  
the release of 69,960 lbs. of ammonia within 10 minutes, the plume would travel  
3.1 miles at concentrations at or above the endpoint.  Using 1990 Census data,  
the population potentially affected within the worst-case release scenario circle is  
120.  There were no sensitive or environmental receptors within the worst case  
release scenario circle. 
 
Sargent Canyon Cogeneration Company has installed passive and active  
mitigation systems to aid in the control of ammonia, if a release were to occur.  A  
concrete containment wall surrounds the  
ammonia storage and vaporizer  
system.  A release of liquid ammonia could be contained within this area.  The  
containment would limit the ammonia surface area in contact with the ambient  
air, thereby decreasing the rate of volatilization.   
 
The ammonia storage system is also equipped with a water deluge system that  
will spray water onto and around the storage tank.  In the event of a fire, this  
deluge system can be used to cool the tank and help mitigate a temperature  
induced overpressure release 
 
Although mitigation systems are installed, a specific mitigation factor cannot be  
assigned to the systems.  Therefore, no mitigation factors were included in the  
modeling.  As such, the modeling results should be substantially overstated. 
 
In the alternative release scenario, a failure of the delivery hose was modeled as  
a release of liquefied ammonia stored under pressure.  For a release of 554  
lb/min of anhydrous ammonia, the plume would travel 0.2 mile at concentrations  
at or ab 
ove the endpoint.  No residences are located within the 0.2 mile area  
around the Sargent Canyon Cogeneration Company facility.  As such, there  
would be no population impacts from the alternative release scenario.  There  
were also no sensitive or environmental receptors within the alternative release  
scenario circle.  
 
The modeling performed as part of this offsite consequence analysis does not  
take into account the use of the remote operated shutoff valves that were  
installed at the ammonia tank.  These isolation valves take approximately 10 to  
15 seconds to fully close and could greatly reduce the impact of a hose failure  
release.  
 
General Accidental Release Prevention Program and Chemical-Specific  
Prevention Steps 
 
A PSM program, which meets the requirements of the general accidental release  
prevention program, has been developed at Sargent Canyon Cogeneration  
Company to address the anhydrous ammonia system.  The PSM program  
includes the following chemical-specific preve 
ntion steps: 
 
    Written process safety information, including information pertaining to the  
hazards of ammonia, the technology of the process, and the equipment in  
the process has been compiled. 
 
    An initial Process Hazard Analysis (PHA) was performed and has been  
updated and revalidated at least every five years. 
 
    Written operating procedures have been developed and implemented, and  
are reviewed at least annually. 
 
    Safe work practices, such as lockout/tagout, confined space entry,  
opening process equipment or piping, and control over entrance into the  
facility have been developed and implemented. 
 
    Each employee involved in operating the ammonia system has received  
initial training and refresher training at least every three years. 
 
    Written mechanical integrity procedures have been established and  
implemented. 
 
    A Management of Change (MOC) program has been developed and  
implemented to address all proposed changes to the ammonia system. 
 
    Pre-startup safety reviews  
are performed when a modification is made to  
the ammonia system that is significant enough to require a change in the  
process safety information. 
 
    Audits are conducted at least every three years to evaluate compliance  
with the RMP regulations. 
 
    Incident investigation procedures have been established. 
 
    A written plan of action regarding the implementation of employee  
participation has been developed and implemented. 
 
    Hot work permits are issued for all hot work operations conducted on or  
near the ammonia system. 
 
    A Contractor Safety Policy has been developed and implemented. 
 
To ensure that the general accidental release prevention program and the  
chemical-specific prevention steps are implemented, Sargent Canyon  
Cogeneration Company has assigned overall responsibility for the RMP elements  
to the Executive Director.  The Executive Director has the overall responsibility  
for the development, implementation, and integration of the RMP elements. 
 
 
 
Five-Year Accident His 
tory 
 
Sargent Canyon Cogeneration Company has not had any accidental releases  
from the ammonia-based SCR and TES systems that have resulted in deaths,  
injuries, or significant property damage on site, or known offsite deaths, injuries,  
evacuations, sheltering in place, property damage, or environmental damage in  
the last five years. 
 
Emergency Response Program 
 
Sargent Canyon Cogeneration Company has established an emergency action  
plan and a chain of command to respond to emergencies and to notify  
emergency responders when there is a need for a response.  However, an  
emergency response program does not need to be developed for the facility  
since Sargent Canyon Cogeneration Company employees will not respond to  
accidental releases of ammonia, the facility is included in the community  
emergency response plan, and appropriate mechanisms are in place to notify  
emergency responders. 
 
Planned Changes To Improve Safety 
 
The PHAs were most recently revalidated in March, 1996.  Seve 
ral changes to  
inspection and offloading procedures were recommended based on the PHA  
revalidation.  These changes were implemented by November, 1996. 
 
Through the accidental release prevention program, Sargent Canyon  
Cogeneration Company regularly evaluates the need for any changes to improve  
safety.  Currently Sargent Canyon Cogeneration Company does not have any  
additional changes planned to improve safety.
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