Document qdZXOQQ292MB1x4bNrNdjL7rx

EPA Inspection Report -Page 1 of 7 Region 6 - Enforcement & Compliance Assurance Division INSPECTION REPORT Inspection Date(s): Media Program: Regulatory Program(s) 1/31/2022-2/3/2022 Air Clean Air Act (CAA) Section 112(r) and 40 C.F.R. Part 68 Chemical Accident Prevention Provisions - Risk Management Program (RMP) Company Name: Facility Name: Facility Physical Location: (city, state, zip code) Mailing address: (city, state, zip code) County/Parish: Facility Phone Number Facility Contact: Exxon Mobil Corporation ExxonMobil Baytown Refinery 2800 Decker Drive Baytown, Texas 77520 P.O. Box 4004 Baytown, Texas 77522 Harris (281) 834-2000 Meagan Bowman Risk Management Section Supervisor Meagan.d.bowman@exxonmobil.com FRS Number: Identification/Permit Number: Media Identifier Number: NAICS: 1100 0050 2901 Air Operating Permit ID: O-01229 RMP Number: 1000 0006 2905 32411 Petroleum Refineries Personnel participating in inspection: Meagan Bowman Exxon Mobil Corporation J. Derek Reese Exxon Mobil Corporation Michelle Baker Exxon Mobil Corporation Melanie Holifield Exxon Mobil Corporation Ricky Brooks Exxon Mobil Corporation Vic Pyle Exxon Mobil Corporation Jeremy Jones Exxon Mobil Corporation Ramon Echevarria Echeverria Law PC Ryan Kerrigan Exxon Mobil Corporation Timothy Rhine Exxon Mobil Corporation Seth Gray Exxon Mobil Corporation Sherronda Phelps US EPA Charese Simpson US EPA Craig Haas US EPA Amy Federoff ERG Anthony Gaglioni ERG Risk Management Supervisor OE SSHE HQ Advisor Regulatory Compliance Coordinator OIMS Coordinator BTRF/USW President Senior Counsel Safety Specialist Outside Counsel SSHE Manager IBEW President HDU-1/HF3 Process Engineer Environmental Engineer Life Scientist Environmental Scientist Chemical Engineer Chemical Engineer EPA Lead Inspector Signature/Date Sherronda Phelps 3/31/2022 Date Supervisor Signature/Date SAMUEL TATES Date: 2022.04.14 16:29:54 -05'00' Digitally signed by SAMUEL TATES Samuel Tates Date 6ENFORM-020-R8.2 (02/12/2020) 1 EPA Inspection Report -Page 2 of 7 Exxonmobil Baytown Refinery/Exxon Mobil Corporation Inspection Date: 01/31 - 2/3/2022 Section I - INTRODUCTION PURPOSE OF THE INSPECTION The United States Environmental Protection Agency (EPA) Region 6 inspectors Sherronda Phelps and Charese Simpson; United States Environmental Protection Agency (EPA) HQ inspector Craig Haas; Eastern Research Group (ERG) inspectors Amy Federoff and Anthony Gaglioni (contractors for US EPA); arrived at the ExxonMobil Baytown Refinery (BTRF) facility at 9:00 AM on Monday January 31,2022, for an announced inspection. We met with Meagan Bowman (Risk Management Supervisor) and other ExxonMobil personnel listed in Table 1 for an opening meeting. Charese, Craig, Amy, Anthony and I presented our credentials and informed ExxonMobil personnel that this was an EPA inspection to determine compliance with the facility's Chemical Accident Prevention Program. The scope of the inspection was a partial compliance evaluation (PCE), which included an evaluation of the facility's compliance with the Clean Air Act (CAA) Section 112(r) and the Chemical Accident Prevention Provisions in 40 C.F.R. Part 68. On December 23, 2021, an incident occurred at the BTRF. During the repair of an active hydrocarbon leak on naphtha hydrotreater unit HDU-1, a release and ignition occurred resulting in an explosion and fire, multiple injuries, and shutdown of the HDU-1. Four contractors were transported to the hospital for medical treatment. The latest Risk Management Plan (RMP) submission from the BTRF lists the HDU-1 (submitted as the hydrodesulfurization process) as a program level 3 RMP-covered process. This report will evaluate compliance at the ExxonMobil Refinery with a focus on the recent incident occurring December 23, 2021. The ExxonMobil Baytown Refinery is listed as a Program Level three (3) process facility. Prior to the inspection, I inquired if an employee representative was available, pursuant to section 112(r)(6)(L) of the CAA, to participate in this inspection and I met with the United Steelworkers President, Ricky Brooks, who represents the refinery and one Timothy Rhine who serves as the International Brotherhood of Electrical Workers (IBEW) President. Sherronda Phelps Charese Simpson Amy Federoff Anthony Gaglione Craig Haas Meagan Bowman Michelle Baker Melanie Holifield J. Derek Reese Vic Pyle Seth Gray Chad Shockley Table 1: Opening Meeting Attendance, Monday January 31, 2022 NAME POSITION Inspector Inspector Chemical Engineer Chemical Engineer Environmental Scientist Risk Management Supervisor Regulatory Compliance Coordinator OIMS Coordinator Env. & Regulatory Advisor Senior Counsel HDU-1/HF3 Process Engineer FS Process Dept Head 2 EPA Inspection Report -Page 3 of 7 Beverly Toups Jacob Dolezal Ricky Brooks Timothy Rhine Reed Artim William Adamson Jeremy Jones Rohan Davis Exxonmobil Baytown Refinery/Exxon Mobil Corporation Inspection Date: 01/31 - 2/3/2022 Engineering Dept. Head Engineering Supervisor USW 13-2001 President IBEW President Counsel Process Manager Safety Specialist Baytown Refinery Manager FACILITY DESCRIPTION The ExxonMobil Baytown Refinery employs approximately 1375 employees operating 24 hours a day/ 7 days per week with scheduled turnarounds. The Refinery, located in Baytown, Tx operates a variety of processes to produce petroleum products such as propane, butane, gasoline products, jet fuels, diesel fuels, asphalt, coke and lubricants from crude oil. Several regulated flammable substances and flammable mixtures and toxic substances (hydrogen sulfide, sulfur dioxide, and aqueous ammonia (>20%)) are contained in processes above threshold quantities. The ExxonMobil Baytown Refinery is a Program level 3 process. Section II - OBSERVATIONS dZ&representatives provided a process overview of the facility. The inspection team took a tour of the facility to visit the site of the incident at HDU-1, while being escorted by dZ&representatives. Contractor for ExxonMobil, Baker Risk, was also present to take photographs upon the request of the inspection team. Those photographs will be detailed in a later report provided by ERG. It should also be noted that the incident location was subject to an Evidence and Site Control Agreement between Exxon Mobil and OSHA, and limited investigative information was available to the parties at the time of EPA's onsite inspection. The following observations for each RMP element/subpart was reviewed by various members of the inspection team. Each element/subpart was delegated to a responsible party of the inspection team which is detailed in table 2 below. A second report will be issued and will contain a separate Eastern Research Group (ERG) independent report that discusses additional findings and observations made on site. Table 2: RMP Element Assignment Section Title 68.12 - .15 Management System 68.20 Applicability 68.22 - .33 OCA 68.65 PSI 68.67 PHA 68.69 Operating Procedures 68.71 Training Responsibility EPA ERG ERG ERG ERG EPA EPA Personnel Sherronda P. Amy F./Anthony G. Amy F./Anthony G. Amy F./Anthony G. Amy F./Anthony G. Sherronda P. Sherronda P. 3 EPA Inspection Report -Page 4 of 7 Exxonmobil Baytown Refinery/Exxon Mobil Corporation Inspection Date: 01/31 - 2/3/2022 68.73 MI ERG 68.75 MOC ERG 68.77 PSSR ERG 68.79 Compliance Audits EPA 68.81 Incident Investigations EPA 68.83 Employee Participation EPA 68.85 Hot Work Permit EPA 68.87 Contractors EPA 68.90 - .95 Emergency Response EPA Subpart G Risk Management Plan EPA Amy F./Anthony G. Amy F./Anthony G. Amy F./Anthony G. Charese S. Craig H. Craig H. Charese S. Sherronda P. Sherronda P. Craig H. 40 C.F.R. Part 68 - CHEMICAL ACCIDENT PREVENTION PROVISION Subpart A - General 40 C.F.R. 68.10 Applicability The Exxon Mobil Baytown Refinery is the owner and operator of a stationary source that has more than a threshold quantity of regulated toxic and flammable substances, listed in 40 C.F.R. 68.130, in a process and is subject to the Chemical Accident Prevention Provisions. ExxonMobil Baytown Refinery has a CAA Title V Permit (O1229) along with a New Source Review Permit (18287) for their Petroleum Refinery processes (32411). The ExxonMobil Baytown Refinery is subject to the Occupational Safety and Health Administrations (OSHA) process safety management (PSM) standard, 29 C.F.R. 1910.119, and has Program Level three (3) processes. 40 C.F.R. 68.12 General requirements The ExxonMobil Baytown Refinery re-submitted an RMP based on the 5-year update requirement (40 CFR 68.190(b)(1)) on September 6, 2018. This re-submission listed a covered process containing regulated toxic and flammable chemicals. This requires ExxonMobil Baytown Refinery to develop and implement a management system, conduct a hazard assessment, implement the prevention requirements of 40 C.F.R. 68.65 - 68.67, develop and implement an emergency response program, and submit the data elements from 40 C.F.R. 68.175 in their RMP. 40 C.F.R. 68.15 Management The ExxonMobil Baytown Refinery uses the Operations Integrity Management System (OIMS) as a structured approach for managing the safety, health, security, and environmental risk at the facility. OIMS consists of many programs, procedures, practices, and manuals that assist in the day-to-day operations at the facility and is used to assist in various sections of the RMP regulations. OIMS is separated into 11 elements, with each element being owned by either an ExxonMobil Baytown Refinery or ExxonMobil Baytown Area subject matter expert. The OIMS elements include the following: OIMS 1.1 Management Leadership, Commitment and Accountability; OIMS 2.1 Risk Assessment and Analysis; OIMS 3.1 Facilities Design and Construction; OIMS 4.1 Process and Facilities Information / Documentation; OIMS 5.2 Occupational Health; OIMS 5.4 Training; OIMS 6.1 Operations and Maintenance Procedures; OIMS 6.2 Work Permits; OIMS 6.3 Critical Equipment; OIMS 6.4 Mechanical Integrity; OIMS 7.1 Management of Change; OIMS 8.1 Third Party Services; OIMS 9.1 Incident Reporting Analysis and Follow up; OIMS 10.1 Emergency Preparedness; and OIMS 11.1 Assessment and Improvement. ExxonMobil Baytown Refinery has developed a management system to oversee the implementation of risk management program elements. ExxonMobil Baytown Refinery assigned a qualified person or position that has the overall responsibility for the development, implementation,and 4 EPA Inspection Report -Page 5 of 7 Exxonmobil Baytown Refinery/Exxon Mobil Corporation Inspection Date: 01/31 - 2/3/2022 integration of each of the risk management program elements. The inspection team has no areas of concern currently. Subpart B - Hazard Assessment 40 C.F.R. 68.20 Applicability The ExxonMobil Baytown Refinery is a program level three (3) stationary source subject to this subpart. The ExxonMobil Baytown Refinery is required to prepare an offsite consequence analysis and complete the five-year accident history. 40 C.F.R. 68.22 Offsite Consequence Analysis Parameters - detailed in ERG report 40 C.F.R. 68.25 Worst-case Release Scenario Analysis - detailed in ERG report 40 C.F.R. 68.28 Alternative Release Scenario Analysis - detailed in ERG report 40 C.F.R. 68.30 Defining Offsite Impacts - Population - detailed in ERG report 40 C.F.R. 68.33 Defining Offsite Impacts - Environment - detailed in ERG report 40 C.F.R. 68.36 Review and Update - detailed in ERG report 40 C.F.R. 68.39 Documentation - detailed in ERG report 40 C.F.R. 68.42 Five-year accident history - detailed in ERG report Subpart D - Program 3 Prevention Program 40 C.F.R. 68.65 Process Safety Information - detailed in ERG report 40 C.F.R. 68.67 Process hazard analysis (PHA) - detailed in ERG report 40 C.F.R. 68.69 Operating procedures - detailed in ERG report 40 C.F.R. 68.71 Training The Area Training Organization (ATO) maintains all required training in webCAT, a web-based application. New hires, specifically operators, receive basic operator training which consists of both classroom and computer-based training. Once completed, the operator moves on to shadow or field train with senior operators and complete several different modules before a final board exam is administered. Upon passing, the operator is deemed qualified. There are no areas of concern currently. 40 C.F.R. 68.73 Mechanical integrity - detailed in ERG report 40 C.F.R. 68.75 Management of change (MOC) - detailed in ERG report 40 C.F.R. 68.77 Pre-startup safety review - detailed in ERG report 5 EPA Inspection Report -Page 6 of 7 Exxonmobil Baytown Refinery/Exxon Mobil Corporation Inspection Date: 01/31 - 2/3/2022 40 C.F.R. 68.79 Compliance audits The ExxonMobil Baytown Refinery does a plant wide comprehensive compliance audit. The facility provided their two most recent Compliance Audits (September 29-October 7, 2017, and August 10 - September 10, 2020). Each audit is conducted with internal ExxonMobil staff from the Baytown Refinery facility, as well as subject matter experts from other ExxonMobil facilities. There are no areas of concern at this time. 40 C.F.R. 68.81 Incident investigation - detailed in ERG report 40 C.F.R. 68.83 Employee participation The facility appears to have a written plan of action regarding the implementation of the employee participation required under 68.83. We were told that employees have access, via a company intranet, to docum enmtsatienrcilauldsionfg:construction, piping and instrument diagrams, electrical diagrams, relief system design bases, applicable design codes and standards, and material and energy balances. We were told that relevant employees will participate in the development of process hazards analyses (PHA). All members of the HAZOP team play an active role in data collection, hazard(s) identification, risk assessment, and final report generation. The inspection team has no areas of concern currently. 40 C.F.R. 68.85 Hot work permit The ExxonMobil Baytown Refinery appear to have a system in place whereby hot work permits are issued for hot work operations conducted on or near covered processes. It is the policy of the facility to retain hot work permits for 72 hours post completion of the work. The inspection team has no areas of concern currently. 40 C.F.R. 68.87 Contractors The inspection team spoke with Sara Mondier, Contractor Administrator, who handles third-party services by contractors at the facility. There is a list of contractors maintained; when needed, the facility can consult the list and select an appropriate contractor. Time on site varies by the services being provided by the contractor. If there are issues that arise with a given contractor, they could possibly be removed from the approved list or given a probationary period. Prior to commencing work at the facility, contractors must undergo site specific orientation training. Access to the facility is controlled via the badging system. The inspection team has no areas of concern currently. Subpart E - Emergency Response 40 C.F.R. 68.90 Applicability The ExxonMobil Baytown Complex is designated as a "first responder" in case of an accidental release of a regulated substance. 40 C.F.R. 68.95 Emergency response program ExxonMobil's Baytown Complex Emergency Response Team consists of ExxonMobil employees, including 195 part-time and 4 full-time responders. ExxonMobil trains employees in fire, rescue, hazmat, and medical emergency response activities. 6 EPA Inspection Report -Page 7 of 7 Exxonmobil Baytown Refinery/Exxon Mobil Corporation Inspection Date: 01/31 - 2/3/2022 Once trained, the employees have a wide range of capabilities as they are self-reliant to handle exterior, interior, confined space, and high angle incidents. Shifting teams of process responders conduct drills once per month in addition of the annual training that is required. The facility is a member of the Mutual Aid Mont Belvieu plan, Channel Industries Mutual Aid (CIMA) and Baytown ExxonMobil Emergency Response Network (BEERN) where they provide emergency services to sister facilities. They also participate in the Baytown Area Local Emergency Planning Committee and periodic meetings of the committee. The facility is equipped with fire trucks, a medical vehicle and dedicated rescue trucks with monitoring equipment. Inspections and maintenance of their emergency response equipment are handled by third party services. Subpart G - Risk Management Plan 40 C.F.R. 68.190 Updates - The last update was submitted on September 6, 2018, addressing their 5year update as required by 40 C.F.R. 68.190. 40 C.F.R. 68.195 Required corrections -The next RMP re-submission is due by September 6, 2023, unless an update or correction is required by 40 C.F.R. 68.190 and 68.195. Section III - AREAS OF CONCERN There are no identified areas of concern at this time, based on the documentation reviewed to-date. *Additional Areas of Concern may be included in the ERG inspection report, which will be provided to ExxonMobil upon its completion. Section IV - FOLLOW UP The BTRF sent copies of all remaining requested documents to the inspection team by February 18, 2022. At the date of this report, the inspection team continues to review all information available to understand the implementation of and compliance with the requirements under CAA 112(r) RMP, EPCRA 302-312, and CERCLA 103 at the HDU-1. Given the Evidence and Site Control Agreement that has been implemented, it is expected that EPA will return to BTRF once ExxonMobil's root cause investigation is complete to determine the cause and address any potential non-compliance. Additional information may be requested and provided for review via the provided Sharefile site created by ExxonMobil. Section V - LIST OF APPENDICES Attachment 1: Opening Meeting Sign-In Sheet Attachment 2: Interview Sign-In Sheets Attachment 3: Inspection Document Review/Request List Attachment 4: Close Out Meeting Sign-In Sheet 7