Document 6R4yV2Nzz3LRaLpvXQkBYnzGR

con^co Interoffice Communication To R. D. Gamblin - Houston Chemicals From J. A. DeBernardi Date May 5, 1982 subject . VCM Plant 1982 Objectives - 1st Quarter Status Attached you will find a brief review of the status of achievement related to the subject goals at the end of the first quarter of 1982. br attachment CCR 000067264 CCR 0 0 0 0 6 7 2 6 5 ! PART A QUANTITATIVE GOALS NAME J. A. DeBernardi \ SAFETY & HEALTH Results 1981 Objective 1982 First Quarter Results 1. Have no lost-time injuries in 1982. 0 0 No lost time Injuries during first quarter. 2. Limit medical cases to three in 1982 assuming one plant turnaround during the year. 5 3 No medical cases during first quarter. 3. Limit total injuries during the plant turnaround period to five assuming one plant turnaround in 1982. During normal operation limit total injuries to 8. Normal Operations: Permanent Temp./Casual Turnaround: Permanent Temp./Casual 4. Correct deficiencies noted in plant hygiene audit conducted in Dec., 1981. 5. Complete hazardous bleeder valve identification and blinding/plugging program. 8 1 1 6 7 1 1 4 13 May, 1982 1st Qtr.( 1 0 No T/A 1 Breathing air quality testing, Scott Air Pak inspections are complete. Began welding fume exposure monitoring in 1st qtr. Revision of respiratory protection program will Issue by September 1, 1982. Program developed in first quarter and employee training was begun. 6. Provide training and instructor certification in CPR/First Aid for one lab oratory analyst. December, 1982 Ponca training course will be attended later in 1982. ENERGY 1. Operate at an energy usage rate during 1982 based on 580MM lbs. of VCM production and one plant turnaround not to exceed 4,162 BTU/lb. of VCM production. Basis: Energy consumption based on the adjusted CMA calculation basis. 4965 BTU/lb. of 4,162 BTU/lb. VCM production of VCM produc(3.09% reductioi tion (18.5% refrom 1972 base). duction from 1972 base). Energy usage was 4178 BTU/lb. VCM for first quarter. reduction from 1972 base year. Represents an 18.4% [ nni'it 0 M. LCUC i (idt ul PAfif ~A" QUANTITATIVE GOALS' ENERGY (CONTINUED) 2. Implement a steam trap Inspection and maintenance program. Resul ts 1981 ' Objective 1982 June, 1982 3. Develop and implement an energy con - August, 1982 servation design check list for process designs. 4. Develop two economically attractive projects One In 1982 Cap to reduce energy consumption for the 1983 ital Budget. Capital Budget. August, 1982 5. Define energy savings projects with poten 704MMM BTU/yr. tial energy savings totaling 200MMM BTU/yr. defi ne. Definition to include preliminary process Jesign and cost estimate, and economic calculation. December, 1982 PRODUCTION AND COSTS 1. Produce 580MM lbs. of VCM as budgeted pro 465.6MM lbs. VCM vide there are no external restrictions related to this rate (market conditions, raW|material supply, natural gas supply,etc. EDC ($549.9M) 2. Meet budgeted variable cost efficiency. VCM ($350.9M) (Price variances are excluded). Incin($554.7M) ($1,455.5M) 3. Meet budgeted maintenance costs (one turn around in 1982) 580MM/lbs. of VCM As budgeted As budgeted 4. Complete the 1982 plant turnaround on schedule and within budget. T/A time-21 days T/A time- 20 days T/A cost-$1.19MM T/A cost-$1.09MM 5. Execute a 5-year contract for sale of plant heavy-ends by-product to PPG. - f levelop one economically attractive cost savings project to be included in 1983 Capital Budget. One project in 1982 Capital Budget. March, 1982 August, 1982 First Quarter Results Program implemented in 1st quarter. AN plant stm. traps were inspected and tagged. Required repairs will complete in second quarter. ^'O ^ 00067, No progress during first quarter. O o o Work on 1983 Capital Budget began late In first quarter. Attractive projects will be included in plant budget due July. <j Definition of furnace transfer line exchanger project completed in first quarter. Additional project definitions will occur in 1983 Capital Budget development. Budget production for first quarter was 160MM lbs. of VCM. Actual pro duction was 150.3MM lbs. VCM. Shortfall attributed to weak market conditions. Efficiency variance for first quarter was favorable $1,488.3M. Budgeting error accounts for $1,326.9M of this favorable variance netting $161.4M as accurate favorable efficiency variance. Maintenance cost showed a favorable variance of $605.3M at end of first quarter. No plant turnaround in first quarter. Turnaround will occur in second quarter. Proposed contract from PPG expected to be received for Conoco review during second quarter. Work on 1983 Capital Budget began late in first quarter. Attractive projects will be included in plant proposed budget due July. ' t f PART A QUANTITATIVE S5AL? PRODUCTION ft COSTS (CONTINUED) Results 1981 NAME J. A. DeBernardl l Objective 1982 First Quarter Results CCR 0 0 0 0 6 7 2 6 7 7. Reduce 0739 warehouse account value by 10.3% of the end 1981 value excluding additions necessary for oxy revamp spare parts. - 10.3% reduction 0739 account value at end 1901 was $76.3M. Value of this account at end of first quarter was $75.6M representing a 0.92% reduction. On an unescalated value basis(1.e. end 1981 parts cost) this re duction would be 3.01%. fl. Reduce 0744 account value by 8,6% of the projected ending 1982 value given in Oct., 1981 subject letter assuming the oxy revamp project will be on line in second quarter 1983. 8.6% reduction Projected ending 1982, 0744 account value was $675M. At end of first quarter this account's value was $551M representing an 18.4% reduction. Kanegafuchi catalyst for R-301 not being in inventory at end of first quarter is the major contributor to this large percentage reduction. 9. Produce muriatic acid to satisfy Reagent Chemicals demand for 27% material. 2.5MM lbs., 27* muriatic acid(dry bas'is) 497M lbs. of 27% muriatic acid (dry basis) shipped to Reagent Chemical in first quarter. PERSONNEL 1. Maintain a non-union field and office work Non-represented Maintain non-union force at the VCM Plant. status maintained. workforce. No union activity during first quarter. 2. Maintain a minority hiring rate that assures 22.8% minority minority representation in the field work- representation. forie that is equal to or greater than availability statistics (1982 available statistics. 21.0%) Minority representation field workforce - 21.0%. Minority representation at end of quarter in field workforce is 22.9%. 3. Maintain a female hiring rate of 25% into field workforce. No permanent fe Female hiring rate males hired. of 25%. 4. Recruit two Process Engineers into the plant Five Process Recruit two Process orgonization in 1982. Engineers recruit Engineers. ed. 5. Recruit one Mechanical Engineer into the Recruit one Mechanical plant organization in 1982. Engineer. 6 Recruit one Safety Engineer into the jlant organization in 1982. - Recruit one Safety Eng. No permanent hires into field workforce during 1st qtr. One female on temporary payroll leading to permanent employment during 1st qtr. One process engineer was recruited for permanent employment during first quarter. No mechanical engineers accepted permanent employment during first quarter. One safety engineer accepted permanent employment during first quarter. 7. Provide supervisory training In non-union status maintenance to one supervisor. One supervisor to training course. One supervisor to training One supervisor attended non-union maintenance seminar in first course. quarter. PART A QUANTITATIVE GOATS ENVIRONMENTAL CONTROL Results 1981 NAME J. A. DeBernardl \ Objective 1982 First Ouarter Results CCR 0 0 0 0 6 7 2 6 8 1. Operate the plant's secondary system within Five violation effluent concentration parameters (ex- notices filed. eluding system by-passes caused by heavy pH - 5 rains.) TSS - 0 COD - 0 BODg - 0 No non-conpllance reports. No non-compliance reports filed during first quarter. . Correct deficiencies noted In plant environmental audit conducted in December, 1981. . Correct EPA noted variances In plant NPDES ffluent testing procedures. . Develop a slide/tape training presentation for plant employees related to plant environmental permits, procedures, etc. _ - May, 1982 September, 1982 Novenfcer, 1982 All items noted in plant environmental audit were corrected during first quarter. ( All recommended and required variances In NPDES effluent testing procedures noted in EPA's final report of the Jan., 1981 inspection have been corrected. No progress during first quarter. . Operate plant EPA-VCM emission control equipment with compliance factors as follows: a) Incineration System Oxy Vent Shiploading Carbon Beds Steam Stripper System Vent Blower System 99.82? 99.26? 100? 99.95? 100? 99.85? 99.50? 100? 100? 100? 1st Qtr. gg.94% 99.44? 100.00? 99.89? 100.00? - b) No plant shutdowns are caused by incinerator system failures. No plant shutdowns No plant shutdowns No plant shutdowns occurred due to incinerator failure during first quarter. CCR 0 0 0 0 6 7 2 6 9 | PfitfT ^ STrE'TCH'GoALS i Results 1981 -S--A-F--E--T-Y----&---H--E-A--L-T--H-- I 1. Limit total Injuries In 1982 assuming one plant turnaround to eleven. 16 total , i nj uries. * : 2. Prepare a slide/tape safety orientation ; program specifically for contract personnel j training. * ( ENERGY l! [ 1. Define energy savings projects with potent f Mai energy savings totaling 400MMM BTU/yr. i ifinition to include preliminary process if. design and cost estimate, and economic 1 calculation. 704MMM BTU/yr. defined. t PRODUCTION & COSTS f ----------------------------- ' 1. Reduce 0744 account value by 20% of the f projected ending 1982 value given in Oct., 1981,subject letter, assuming the oxy ret vamp project will be on-line in second , quarter 1983. NAME J. A. DeBernardi Objective 1982 11 total injuries. Oct., 1982 First Quarter Results One first-aid case reported during first quarter. No progress during first quarter. Dec., 1982 Definition of furnace transfer line exchanger project completed in first quarter. Additional project definitions will occur in 1983 Capital Budget development. 20% reduction End of first quarter reduction from base was 18.4%. Kanegafuchi catalyst for R-301 not being in inventory account at end of first quarter is the major contributor to this large percentage reduction. } ! I i NAME J. A. De8ernardi CCR 0 0 0 0 6 7 2 7 0 PARt c non"-Quantitative goals "1 --..... First Quarter Results 1. Complete the microfilming and storage of plant records re lated to OSHA, Federal and State environmental data. Equipment checked out and operative in first quarter. .Microfilming will begin during second quarter. 2. Finalize the reporting policy for Superfund reporting In regard to routine/non-routine occurrences and NESHAP incidents, with input from Houston Legal and Environmental Departments. Work was begun In first quarter with Houston Legal and Environmental to attempt to develop guidelines related to Superfund reporting requirements. Finalization of pol icy expected during 1982. 3. Complete the scope definition and gain approval for funding for Work between plant & R&D on this project began in first quarter. No decision reached on the coking/decoking research project at Purdue University. funding however. Likely that these studies will not be funded in 1982. 4. Complete the required definition work by the plant and/or R&D related to the furnace transfer line exchanger project. Definition work on project completed at plant. Discussions continue with R&D on project procedure. 5. Work with DuPont personnel on possible synergisms between the VCM Plant and DuPont operations (i.e. boiling liquid reactor, light-ends usage, etc.) .6 Provide required plant personnel to work on the modernization project, project team. Work done in first quarter on BLR for Corpus, and light-ends usage at Corpus Chlorocarbons Plant. Also moved EDC to DuPont at Chambers Works and will make shipments to Beaumont and Antioch Plants. Two plant employees assigned full time to modernization project during first quarter.