CICCC Update-25 October 2013 Meeting

Overview of Terminals’ Australian Operations

Terminals bought by US investors in 2006 for US$80 Million and today it is worth 4 times that. The last 7-8 years has seen Terminals grow strongly which is due to regulations and refinery closures in Australia. Australia now needs to import what we used to make.

Terminal latest project is Pelican Point Terminal in Adelaide. With a cost of $70 Million to build it has the capacity to store 84,000 cubic meters of fuel. Phase 1 is underway and the first ship will arrive in January 2014. It is a major point for imports into Adelaide, with access to deep water allowing larger ships to use the facility. The Adelaide refinery has closed.

There has been a recent expansion to the Botany site with a construction of a Bitumen storage facility. This $45 million expansion stores bitumen largely for roadworks, and 200,000 tons of Australian Standard 450 Bitumen was supplied last year. (Victoria uses 320 Bitumen for asphaltic concrete to roads, and 170 Bitumen for car parks. The various grades of bitumen have different viscosities.

At Geelong there has been the construction of the Avgas tank and six Caustic Soda tanks. The Combustor explosion last year at Geelong which was caused by propane being used to mix bitumen at overseas refineries alerted the industry to the fact that propane was being used. Prior to the explosion the possibility of propane in bitumen was not known in Australia.

Now that Vopak are selling one of their facilities in Botany, Terminals is looking into starting a new $22.5 Million project which would include 14 new tanks, storing combustible liquids only We are also investigating opportunities for Terminals Pty Ltd in Melbourne, but we’re not going west, it’s too far. We have also secured some land in Brisbane.

EPA Report

David Barry, Senior Environment Protection Officer, and Jemma Pech attended the meeting.

EPA are focusing our resources on minimizing risk and are trying to apply the limited resources as best we can to ensure compliance which is why EPA will not be attending every CICCC meeting. EPA’s resources are being concentrated in three areas:

  1. Pollution & Emergency response – 30%
  2. Strategic activities – 30% (includes developing more resources to inspect companies causing pollution.)
  3. Maintenance Activities – 40% (Terminals fall under the 3rd area.)

Next meeting of the CICCC

The next meeting will be held at the Terminals Site Office at Mackenzie Road, Coode Island on Tuesday 4 February 2014 at 3pm.

Robin Saunders, Chair CICCC, 31 October 2013