Document ybxwR4Yjx92Lr9xz7ZdG98zED

PPG Industries. Inc. Chemicals PO. Box 1000 Lake Charles, Louisiana 70602 DATE: TO: FROM: SUBJECT: January 3, 1991 A. Porvaznik, G.o. 35E1 s. Kell^^<^^^ ACT No. LC-3017 Overnite (RES-2510) Attached is the original of ACT No. LC-3017, Closed Dome Loadino of Solvent Tank Cars and Trucks. This ACT was signed by T. G. Brown on January 2, 1991 and is now being forwarded for General Office Approval. . sk Attachment cc: R. J.Whitaker/G.P.Robert J.Hopes/K.Adams J.E.Fike,GO 36E1 T.G.Brown B.H.McClendon H.F.Wyatt L.C.Joiner L. c.Comeaux M. E.Thierry W.J.Peard S. L.White V.Matthews G.K.Jordan J.E.Meadows J.P.Gray Purchasing ACT File SL 091757 PP3 INDUSTRIES, INC. AUTHORIZATION FOR CAPITAL TRANSACTION (ACT) Page i 330UP/STAFF DEPARTMENT Chemicals iTRAIESlC iJOiilNESS UNI 1 LOCATION (Namai (No) Lake Charles - 254 PROJECT NAME BUDGET AMOUNT $ 1,500,000 ACT No. LC-3017 Chlorinated Solvents (CS) Closed Dome Loading Of Solvent Tank Cars And Trucks FUNDS SUMMARY ACQUISITION OF: PURCHASED or CONSTRUCTED ASSETS CAPITAL BUDGET CHARGE APPROVAL AMOUNT $ 1,646.300 l$~ 1,640,300 LEASED ASSETS OTHER ASSETS DISPOSITIONS TOTAL ASSETS $ 1,640,300 $ 1,640,300 WORKING CAPITAL (Memo Only) PROJECT DESCRIPTION: This ACT requests the funds to provide facilities to collect vapors generated during the loading of chlorinated solvent tank cars and tank trucks and send the vapors to an existing incinerator for destruction. These facilities are necessary to meet the requirements of the Louisiana Title 33 Environmental Quality Act (Part III - Air). Vents from solvent drum loading in the "B" Shipping building will also be collected and adsorbed onto a carbon bed. An additional ACT to collect and dispose of chlorinated solvent vapors generated during the loading of solvent ships and barges will be forthcoming during 1991. This ACT has been reviewed and approved by the Lake Charles Manager of Environmental Affairs. Upon completion of this project, chlorinated solvent emissions to the atmosphere will be reduced by 38,000 lbs/yr. CONTACT: G. P. Robert / B. A. Hopkins RES - 2510 INVESTMENT CATEGORY BUSINESS CATEGORY - INVESTMENT GUIDELINE 1. Environmental, Health. Safety 2. Energy Conservation or Conversion 3. Maintain Existing Productivity 4. Add Caoacity 5. Cost Savings 6. New Ventures, Acquisitions, Divestitures ___ 3. Top Capital Priority __ 4. New Business ___ 5. Limited Investment X 6. Strategically Important __ 7, Exit or ProPationary START CONSTRUCTION START-UP DATE ECONOMI CLIFE Apr 1991 Sept 1991 15 Years Thousands START-UP OPERATING YEARS of Dollars 1991 1992 1993 1994 1995 P-T.P-I EARNINGS GROSS ASSETS 1,640 1,640 1,640 1,640 1,640 IRR N/A 1996 1,640 PAYBACK PROJ. AVG. ROI N/A N/A ROI AVERAGES 1 st 5 Years 2nd 5 Years ROI,% WJP sv GROUP/sl AH- HbCUMMENOAJI^NS (Nama.data) JEM 5i</f,.7 </ CONTROLLER CORPORATE REVIEW (Name,Date) ENVIRONMENTAL 7JPG ihfa, 5BOUP/5TAPP REVIEW (Nam#.fiat9 " " ' CONTROLLER ENVIRONMENTAL INTERNATIONAL CORPORATE APPROVAL (Name.Oate) ACT FORM 383 REV 10/88 LCH f'jlV' SL 091758 Purpose of this ACT This ACT requests funds to install facilities to collect vapors generated during the loading of chlorinated solvent tank cars and tank trucks and to send the vapors to an existing incinerator for incineration. These facilities are necessary to meet the requirements of the Louisiana 33 Environmental Quality ACT Part III Air as amended and issued in 1990. This project is included in the proposed 1991 Capital Forecast at Lake Charles for $1,500,000. Also included in the proposed 1991 Capital Forecast is $1,000,000 for the closed loading of chlorinated solvent ships and barges. An ACT to address the disposing of vapors from the solvent ship and barge loading will be submitted during 1991. Project Discussion At the present time, vapors generated during the filling of chlorinated solvent tank cars, tank trucks and drums are vented to the atmosphere. This mode of loading will no longer be allowed due to an amendment to the Louisiana Environmental Quality ACT. This amendment requires that vapors generated during the loading of a product having a vapor pressure of 1.5 PSIA or greater at loading conditions be controlled and disposed of by means of incineration, flaring, carbon adsorption, chilling or using other approved devices or methods. This ACT requests funds to provide facilities to collect vapors from the "B" solvent rack loading operation for tank cars and trucks and vent such vapors to an existing incinerator. Vents from solvent drum loading in the "B" shipping building will be collected and adsorbed onto a carbon bed. Meters will be installed in the loading or fill lines for all solvent cars and trucks and for VDCM and EC trucks and for EC cars in order to prevent overfilling of these containers. Due to the pressure requirements of the feed to the incinerator, tank trucks having an internal design pressure less than 25 PSIG can no longer be loaded unless a carbon adsorption system is installed. This project will not install such a carbon adsorption system because at present only two customers are using tank trucks with a design pressure below 25 PSIG. However, if market conditions so dictate, a carbon adsorption system or other effective method will be installed so as to allow for loading low internal design pressure tank trucks. Additional funds for this system will be necessary and will be requested via a scope change to this ACT or via a separate ACT. In addition, facilities will be included to allow the isolation of the Perchlor/Trichlor, TriEthane and EDC products. The flushes of these products will be collected and sent back to the individual units, rather than being sent to the Waste Recovery Unit. This feature will reduce product losses. -2- SL 091759 Fire protection will be installed at the "B" solvents loading rack and will be provided for the VDCM/EC truck filling spots. A Level 2 Reliability study has been completed and the Lake Charles Operations Review Committee (ORC) has approved the project. A Reliability Level 3 Study will be conducted at the Lake Charles Plant before the construction begins. Environmental Discussion A construction permit is not required because the implementation of this project will effect a reduction of emissions to the atmosph re. The proper governmental authorities will be notified of PPG's intent to construct prior to commencing construction. The spent carbon adsorbent will be saturated with organics. This generated solid, hazardous waste will be disposed of along with similar solid, hazardous waste in the complex. Approximately 1,000,000 pounds per year of product flushes will be sent back to the processing units of origin, rather than processing through the Waste Recovery Unit. This will result in a decreased product loss to incineration by using the more efficient process units' equipment for product recovery and thus aids in the Lake Charles complex's "Waste Minimization" effort. The operation of the facilities requested in this project will reduce emissions to the atmosphere by the following estimated amounts: Perchlorethylene Trichlorethylene Methyl chloroform Methylene Chloride Ethylene Dichloride 950 lbs/yr 6,300 lbs/yr 27,320 lbs/yr 1,475 lbs/yr 1,950 lbs/yr This ACT has been reviewed and approved by the Lake Charles Plant Environmental Affairs Group. -3SL 091760 < 11 ;Si *j *. V *\ *** , \ * * pj , T' ^ yl ; j COST ESTIMATE SUMMARY proJ2t!v `Install facilities for PPG INDUSTRIES CHEMICAL DIVIS] ON EST. TYPE: DEFINITIVE EST. NO. : RES 2510 FLAMMABLE LOADINfe LOCATION: -PLANT B ESTIMATOR: J. WALSH DISK FILE: 2510 DISK NO. : SD1 DIRECT MANHOUR DATE: LABOR $ 24-Sep-90 SUBCONT MATERIAL $$ TOTAL $ 000 DEMOLITION 100 ARCHITECTURAL 200 CIVIL & CONCRETE 300 STRUCTURAL 400 MACHINERY & EQUIPMENT 500 PIPING 600 ELECTRICAL 0 0 813 272 101 3,705 1,807 0 0 13,054 4,372 1,618 59,473 29,006 0 0 9,270 0 36,000 0 0 0 0 15,748 16,750 79,800 63,836 31,263 38,C 21, ] 117,4 123,: 60,: 700 PROCESS CONTROL 4,607 73,939 0 431,705 505, t 800 COATINGS 365 900 INSULATION 0 ************************************* 5,855 0 3,391 0 00 ********************************** 9,: ****** DIRECT FIELD COST 11,671 $187,317 $45,270 $642,493 $875,C INDIRECT FIELD COST 0 104,523 0 0 104,: FIELD STAFF - CONTRACTOR 0 FIELD OFFICE COSTS 0 PAYROLL BURDENS CONTRACTOR FEE CONST. SERVICES CONST. FACILITIES CONST. EQUIPMENT CONST. TOOLS 0 0 0 0 0 0 INSURANCE 0 PREMIUM TIME 0 4100 SUBTOTAL 0 4200 CONST. MGMT.- CONTRACTOR 0 4300 CONST. MGMT.- PPG 0 ************************************* ******I*N*D*I*R*E*C*T**F**IE*L*D***C*O*S*T*S*********0** ***1*4*6*,6*0*7*******3*0*,*7*5*1*******4*,*2*5*2*****1*8*1*,-( TOTAL FIELD COSTS 11,671 $333,924 $76,021 $646,745 $l,056,t 5400 ENG. COSTS - CONTRACTOR 5500 ENG. COSTS - PPG 5600 ENG. COSTS - OTHER 0 0 0 0 264,172 0 73,968 00 0 264,1 0 73,S 0 ****E*N*G**. *C**O*S*TS***-**TO**T*A*L*************0** 0 338,141 0 ******************************* 338,: ******** OFFICE & FIELD COSTS 11,671 $333,924 $414,162 $646,745 $1,394, 6700 OWNER DIR PURCHASES 6750 TAXES AND DUTIES 6800 ESCALATION 00 00 0 15,027 0 0 3,421 0 41,762 25,870 41, 44, 6850 CONTINGENCIES 0 34,915 41,778 71,458 148, 7*0*0*0***C*O*M**M*IS*S*I*O*N*I*N*G*****************0** 11,239 0 0 11, *************************************** TOTAL 11,671 $395,104 $459,361 $785,834 $1,640, The cost estimate for this project is based on budgetary estimates for major equipment and estimates that were prepared by the Lake Charles Complex Engineering Department. -4- SL 091761