Document 71Eqdkb9rjrwk1eZyObZ6jRmE

UNION CARBIDE CORPORATION SPECIALTY CHEMICALS DIVISION Technical Center South Charleston, West Virginia UCC BUSINESS CONFIDENTIAL September 30, 1986 TO: J. F. Flynn A. Walker COPY TO: J. R. Barber 0. G. Beddow K. Carter M. G. Dwye r M. D. Falrall R. L. Foster D. A. Gosselln R. A. Hazlewood R. P. Lelchllter 0. Llebesklnd M. R. Mazuroskl J. E. McKeon, Jr D. G. Moshler L. W. Phalr W. V. Summers, Ji G. W. Wulfert SUBJECT: Outline of Project Insulation Upgrade - Phase I Slstersvllle Plant The subject Outline of Project describes the work planned to begin upgrading asbestos Insulation for compliance with Occupational Safety and Health Asbestos Standard 1910.1001. This Phase I project will upgrade about 60% of the plant asbestos Insulation and require a capital expense authorization of $1,500M and a 838 expense authorization of $600M. The project Is planned to be executed over the period 4Q86 thru 2Q89 to ensure effective execution and spread the dollars expenditures. In early 1989, funds for a Phase II Insulation Upgrade project will be requested to cover the remaining 40% of the plant Insulation upgrade. This Phase II project will require about $1,600M and $600M of Capital and 838 Expense funds, respectively, and Is planned to be Implemented In 1989-1991. The scope of the Phase I project was defined by the Slstersvllle Plant Maintenance Department. Detail equipment and pipeline listings for each sub-section of the prioritized Unit Areas were defined in the Outline of Project. (A copy of the listing Is avallabe on request). These listings were then used to prepare manpower and materials requirement and the cost estimate for the project. UCC 020035 PLAINTIFF'S EXHIBIT UC-4001 Outline of Project -2- September 30, 1986 Plant Engineering will provide project management and engineering consultation to Plant Maintenance, who has field management and execution responsibility for the project. The Outline of Project has been endorsed by: J. R. Barber W. 0. Bradbury, Jr. D. Llebesklnd L. W. Phalr R&D Engineering HS&EA Manufacturing This document Is Issued for your Capital Budget Proposal. nal endorsement and preparation of a WDBJr:pr UCC 020036 SISTERSVILLE PLANT ENGINEERING SPECIALTY CHEMICALS DIVISION OUTLINE OF PROJECT INSULATION UPGRADE - PHASE I SISTERSVILLE PLANT SISTERSVILLE. WV SEPTEMBER 29. 1986 UCC 020037 OUTLINE OF PROJECT INSULATION UPGRADE - PHASE I SISTERSVILLE PLANT TABLE OF CONTENTS I. INTRODUCTION 11. SUMMARY III. SPONSOR'S OBJECTIVES IV. FACILITIES V. ENVIRONMENTAL PROTECTION/OCCUPATIONAL HEALTH AND SAFETY CONSIDERATIONS VI. SUPPORTING FACILITIES VII. PROJECT PLAN VIII. SCHEDULE IX. COST ESTIMATE A. SUMMARY B. BASIS FOR ESTIMATE C. CASH FLOW 1 1 2 3 4 4 5 5 6 UCC 020038 -1- I. INTRODUCTION Much of the Insulation In the Slstersvllle Plant Is asbestos and Is In poor condition. The exposed asbestos presents a safety and health hazard associated with airborne particulate asbestos. II. SUMMARY The asbestos Insulation throughout the Slstersvllle Plant roust be upgraded to comply with the Occupational Safety and Health Administration (OSHA) standards. This project will upgrade approximately 60% of the asbestos Insulation In the Slstersvllle Plant. The plan Is to remove asbestos from Idle equipment, replace asbestos Insulation, where necessary, with an approved type, and cover asbestos Insulation with an approved covering. This cost of the proposed project Is: Capital ( 15%) $1,500,000 Non Capital 600,000 The Justification of this project Is Occupational Health. The present OSHA Asbestos Standard, 1910.1001, revised July 1, 1986 specifies 0.2 flbers/cc as the maximum allowable exposure over an eight-hour period. The figure refers to fibers greater than five micrometers in length and would amount to 1.6 million fibers In that time period. UCC 020039 -2III. SPONSOR'S OBJECTIVE The basic objective of this project Is to upgrade or eliminate 60% of the asbestos Insulation In the Slstersvllle Plant to comply with OSHA Standards. Completion This Insulation Upgrade Project will be complete by June 1989. Project will be executed on a continuous basis over the three-year period with curtailment during the bitter cold winter months. Safety/Health All Division Safety/Health Guidelines will be followed during asbestos removal, repair, and covering. Government Regulations Areas of the plant covered in this project will be In compliance with all applicable OSHA and U.S. Environmental Protection Agency (EPA) Regulations at project completion. UCC 020040 -3- IV. FACILITIES This Phase I project will replace asbestos Insulation and Jacketing In many areas of the Plant In accordance with the following area priority list: 1. Intermediates Area 2. Environmental Protection Area 3. Small Scale Production Area 4. Polymers II 5. 50% Silanes Reactor Tower (Detailed listings of the equipment and pipelines In each of the sub-sections of the above areas are available In the project file). Another project will be submitted In 1989 to upgrade asbestos Insulation In the rest of the plant as follows. 1. 50% Silanes Reactor Tower 2. Polymers I 3. Miscellaneous areas; Including Maintenance, Laboratory, Warehouse, etc. 4. Energy Systems area This order of priority was established by the plant to correct the most critical needs first. The division Into two projects Is desirable to control the cash flow and for effective project execution. This project will provide removal of asbestos from idle equipment, replacement where necessary, and recovering with an approved covering of an estimated 60 per cent of the asbestos insulation currently Installed In the Slstersvllle Plant. The remaining asbestos Insulation will be addressed by another project of approximately two thirds the cost of this one, to be executed In 1989, 1990, and 1991. In the execution of this project non-asbestos type Insulation will also be repaired or replaced to provide for an economical and complete project. Non-asbestos Insulation work will constitute 15 per cent, or less, of the total project cost. UCC 020041 -4V. ENVIRONMENTAL PROTECTION/OCCUPATIONAL HEALTH AND SAFETY CONSIDERATIONS This project will correct an Occupational Health concern by replacing or sealing exposed asbestos Insulation In the Plant. When the Insulation Is being replaced or removed. Safety and Health Guidelines will be followed which Includes: Installing rope barricades and clearing the area of plant personnel, posting of warning signs, proper bagging and disposal of Insulation, and monitoring of surrounding work areas. In addition, assuring that contractor personnel adhere to guidelines such as: wet clean-up, wearing of appropriate respirators, wearing and disposal of proper protective clothing, etc. This project will be In compliance with all applicable OSHA and EPA Regulations. EPA reporting regulations will be followed. VI. SUPPORTING FACILITIES A. Distribution The project will have no effect on Distribution facilities. B. Energy Systems The project will have no effect on Energy Systems requirements. However, Energy Conservation will be Improved with this Insulation upgrade. C. Safety and Environmental Considerations See Section V above. UCC 020042 VII. PROJECT PLAN -5- The project survey, or scope, was prepared by the Maintenance Department over the last year. The priority of work Is shown In the Facilities Section on page 3. Insulation specification consultation will be supplied by Engineering. Field construction will be done by the Plant Maintenance Department, an outside contractor, or the Central Engineering Construction Group, and will be supervised by the Maintenance Department. The Maintenance Department will establish a dedicated crew to carry out the scope of this project. Project Management, Including cost control and reporting, will be provided by Plant Engineering. The project organization follows: Steering Committee Assistant Plant Manager Maintenance Superintendent General Project Manager W. V. Summers G. W. Wulfert R. A. Hazlewood Project Team Maintenance Contractor Foreman Maintenance Coordinator/Supervisor Project Manager J. E. Boley W. C. Nycz C. A. Eddy VIII. SCHEDULE Key dates are: Outline of Project Approval CBP Approval Mechanical Completion August 1986 October 1986 June 1989 UCC 020043 -6- COST ESTIMATE A. Summary Construction Labor Materials Engineering* Contingency Capital $1,109,000 241,000 50,000 100,000 Total $1,500,000 Removals Expense $554,000 21,000 12,000 13,000 $600,000 * Insulation specification consultation. project management and field coordinator of contractor. B. Basis for Estimate The estimate for the work Is based on a detailed scope provided by an Insulation survey of each unit. The total man-hour estimate Is 43,800 hours of work for both capital and expense. C. Cash Flow 1986 1987 1988 1989 CAPITAL $150,000 500,000 500,000 350,000 EXPENSE $ 60,000 200,000 200,000 140,000 UCC 020044 SCO DIVISION WORKING BUDGET CAPITAL PROJECT ASSIGNMENT SISTERSVILLE PLANT DISTRIBUTION: To: PLE OR PROCESS ENGINEERING MANAGER DEPARTMENT HEAD R. A. Hazlewood G. W. Wulfert . LEAD PROCESS ENGINEER L., G.Moody DESIGN SUPERVISOR M. E. Kim MAINTENANCE TECHNOLOGY W. C. Nvcz/G. Wulfert CAPITAL WORKORDER BOOK C. K. Nicholson PROJECT TEAM (See Below) DESIGN TEAM (See Below) RECORDS CENTER DFE/BJS TITLE: Asbestos Insulation Replacement PROJECT SPONSOR: R. A.Hazlewood____________ DEPARTMENT SYSTEM: 327000 PROFIT CENTER/S 917~___________________________________________________________________ $243,000 WORK ORDER SUBMISSION TO DANBURY ____ 11/26 ENGINEERING JOB NO: EJ- EON FOR PREPARATION OF SCOPE 26205 EON FOR PREPARATION OF WORK ORDER 26205 EST. ENG. COMPLETION DATE 11/26 (Signed Scope Document Issued) (C4 - 14 - 19) PROJECT TEAM PROJECT CONTROL ENGINEER W. M. Crandall ENGINEERING REPRESENTATIVE --=--- OPERATING REPRESENTATIVE ----------- MAINTENANCE REPRESENTATIVE DISTRIBUTION REPRESENTATIVE vi* C - __ ____ R/D REPRESENTATIVE CONSTRUCTION REPRESENTATIVE r? U/ Ip COST ESTIMATOR C- A. Eddy 9/86 UCC 020045 DESIGN TEAM PROCESS ------ PROCESS SAFETY REVIEWER -- SAFETY & FIRE PROTECTION ~ CIVIL/MECHANICAL ELECTRICAL -- CONTROL SYSTEMS ------- Issued By: *(anager of Plkoi1 Eng. Date: w* TO: J. F. Dodd (2) ..W, ,y. Summers , G. W. Wulfert CC: W. D. Bradbury, Jr. R. P. Leichliter W. C. Nycz SUBJECT: Sistersville Plant Insulation Upgrade Attached is the Draft Outline of Project for the subject project for your review and comments. Highlights are: Project Cost $1,500,000 Capital, $600,000 Expense over next three years. Advance funding is not available, so expenditure in 1986 is estimated at $150,000. Estimate is based on detailed takeoff of Maintenance Department survey. Maintenance to supervise field construction. Project will meet all OSHA and EPA Standards. Please return comments to me, or I will schedule significant comments to resolve. LGM/kcs 0723k tw*. 0-1 in/oJi-kA t S'o.ooa J A s o fj 6. pr^Aw U (>< j'>i4 2 UCC 020046 4 rho*hij (4. l') tOr&jQ- - STflTU S /'/ X HILTON (\JjUjdL_ 6 hrll^S d\r~t~\ Ck 01^ yOUxJ aJo/7 . DANBURY HILTON INN AND CONFERENCE CENTER UCC 020047 J, 'nn tul /y cc Brtf fJ. 0,1 I 5. l: ; Pjsvi{r ^j My7^J r 2- C C-- 3. 8f l<?85 jfyo r\ A/e^ei / kJO /ojccv^ coj4 ct if;'/-2> tf? b ^ j- Xo V C/VI OC/C2<v Jk 2// Po /new*-. ^ la n yca-Z^4/<- 2/'/c/,4.r r <- - / stsx*- /zPe-- P-lZ-P cjl)/<^H U**-P r- Vvt Ol/<L- d Ct f /?CC*4eJj /2./J Aj- ^ e^U-ijpsyi c--<4^ yL?y?C - lines f/\St~l z4bn. ixu id iy. /4 4 , O' tlf 2. [ | 0d<-r -Zjlt-lPos (v-c-/<.*() -?. ^ co r/c cJ^ 2. I | pl z-rt #o /"i n<-ds. 7'^/j 4tu^^l b_ l'41Cv/V,1 */ ? pluj- 2 If Jc^cr-i/ y-epfac,,t~vy\Cs^L. '2-^^. j/vip -out_m c/i non - 2/4/4/ //i-n^/>^> 'd*n- IL/*r 2- / * _?. k /Ji<_ chicly L'htS l o <kk C/lCr ^/ Pja P pLy\ JP* I'll*. p{/cLnh fils lf---S^& ^Zo/Ic-T fS re-sdi^ d-4t-c[ 2rc-2-n!). 4, JTiL fc,L ,, |/lUoit/<- c 7 /o Coov' cj,'^ -a/^ov~ JtA/t/t-Lj J>>i ry\t^ ^Mee<i ^onos. S Co^p a 4 />TC - 4 /JoJC**b**s- h co>'^b tovi'44*\ ftnpajz ( UCC 020048 fpjz^ny^