EPA v. CONOCO, INC.

Case summary

CONCO INC. (CONCO) OWNS AND OPERATES A PETROLEUM REFINING FACILITY WHICH CONSISTS OF TWO ADJACENT REFINERIES IN PONCA CITY, OKLAHOMA. CRUDE PETROLEUM IS RECEIVED AND PROCESSED INTO A VERIETY OF PETROLEUM PRODUCTS. OFF-GASES RESULTING FROM MANY PROCESS OPERATIONS ARE SENT TO CENTRAL COLLECTION POINTS CALLED FUEL GAS DRUMS. THESE OFF-GASES COMPRISE WHAT IS CALLED FUEL GAS OR FINERY GAS AND USUALLY CONTAIN SULFUR COMPOUNDS SUCH AS HYDROGEN SULFIDE (H2S). THE FUEL GAS IS DISTRIBUTED FROM THE FUEL GAS DRUMS TO PROCESS HEATE- RS TO BE USED AS FUEL FOR COMBUSTION WHICH PROVIDES ENGRY INPUT TO PROCESS OPERATIONS. THREE PROCESS HEATERS ARE IN- VOLVED IN THIS ACTION AND HAVE BEEN IDENTIFIED BY CONOCO AS HEATERS H-59, H-6014, AND H-6015. THESE THREE PROCESS HEATERS ARE SUBJECT TO THE STANDARDS OF PERFORMANCE FOR PETROLEUM REFINERIES CODIFIED IN 40 C.F.R. PART 60, SUBPART J. CONCO OPERATES A FLUID CATALYTIC CRACKING GAS OIL HYDRO- TREATER (FCCGOH) AT THEIR PONCA CITY FACILITY. HYDROTREAT- ING (HYDRODESULFURIZATION) AS THE PROCESS IS USED IN THIS CASE, INVOLVES TAKING GAS OIL FOR THE FCC AND TREATING IT TO REMOVE SUCH IMPURITIES AS SULFUR, NITROGEN, AND METAL COMP- OUNDS. THIS PRETREATMENT PROLONGS CATALYST LIFE AND THE TIME BETWEEN CYCLES IN THE CRACKER. CONCO ALSO OPERATES A CRYOGENIC RECOVERY UNIT (CRU). A SECOND CRU IS PLANNED FOR START-UP ON JULY 15,1987. A CRYOGENIC RECOVERY OPERATION TAKES A PROCESS GAS STREM AND REFRIGERATES IT TO CONDENSE AND RECOVER VOLATILE FRACTIONS OF THE GAS STREAM. BOTH THE FCCGOH AND THE CRU UNITS ARE SUBJECT TO THE STANDARDS OF PERFOMANCE FOR EQUIPMENT LEAKS OF VOLATILE ORGANIC COMPOUNDS (VOC) IN PETROLEUM REFINNERIES, CODIFIED IN 40 C.F.R. PART 60, SUBPART GGG. AS ARESULT OF AN EPA INSPECTION PERFORMED AT THE PONCA CITY FACILITY ON AUGUST 29, 1986, IT WAS FOUND THAT CONOCO OPERATES THE THREE PROCESS HEATERS IN VIOLATION OF THE APP- LICABLE NEW SOURCE PERFORMANCE STANDARDS (NSPS) PROMULGATED FOR PETROLEUM REFINERIES. IT WAS ALSO FOUND THAT CONOCO OPERATES THE FCCGOH AND CRU UNITS MENTIONED ABOVE IN VIOL- ATION OF THE NSPS REQUIREMENTS. THE VIOLATIONS OCCURRING AT CONOCO'S PONCA CITY FACILITY WERE FURTHER DOCUMENTED TO EPA BY CONOCO THROUGH CLEAN AIR ACT (CAA) SECTION 114 RESPONSES. (SEE EXIBITS6.10 AND 11). THEY WERE ADDRESS THROUGH A LETTER OF VIOLATION (LOV) OF FEBRUARY 19, 1987 (SEE EXIBIT 9). THE CORRESONDING ENFORCE- MENT CONFERENCE WAS HELD ON MARCH 25, 1987. SETTLEMENT NEGOTIATIONS WERE COMMENCED AT THAT DATE AND HAVE CONTINUED INTERMITTENTLY UNTIL SETTLEMENT WAS REACHED ON JUNE 19,1987. EPA REQUESTS FOR RELIEF THAT CONOCO BE REQUIRED TO ENGAGE IN THE IMPLEMENTATION OF AN ENVIRONMENTALLY BENIFICIAL MITIGATION PROJECT AND IN THE PAYMENT OF A PENALTY, AS WELL AS COMPLIANCE WITH THE NSPS REQUIREMENTS.

Defendants (1)

• CONOCO, INC, PONCA CITYNamed in complaintNamed in settlement

Facilities (30)

• CONOCO REFINERY

  1000 SOUTH PINE STREET, PONCA CITY, OK, 746021267

  Registry ID: 110015682830

• CONOCO REFINERY

  1000 SOUTH PINE STREET, PONCA CITY, OK, 746021267

  Registry ID: 110015682830

• CONOCO REFINERY

  1000 SOUTH PINE STREET, PONCA CITY, OK, 746021267

  Registry ID: 110015682830

• CONOCO REFINERY

  1000 SOUTH PINE STREET, PONCA CITY, OK, 746021267

  Registry ID: 110015682830

• CONOCO REFINERY

  1000 SOUTH PINE STREET, PONCA CITY, OK, 746021267

  Registry ID: 110015682830

• CONOCO REFINERY

  1000 SOUTH PINE STREET, PONCA CITY, OK, 746021267

  Registry ID: 110015682830

• CONOCO REFINERY

  1000 SOUTH PINE STREET, PONCA CITY, OK, 746021267

  Registry ID: 110015682830

• CONOCO REFINERY

  1000 SOUTH PINE STREET, PONCA CITY, OK, 746021267

  Registry ID: 110015682830

• CONOCO REFINERY

  1000 SOUTH PINE STREET, PONCA CITY, OK, 746021267

  Registry ID: 110015682830

• CONOCO REFINERY

  1000 SOUTH PINE STREET, PONCA CITY, OK, 746021267

  Registry ID: 110015682830

• CONOCO REFINERY

  1000 SOUTH PINE STREET, PONCA CITY, OK, 746021267

  Registry ID: 110015682830

• CONOCO REFINERY

  1000 SOUTH PINE STREET, PONCA CITY, OK, 746021267

  Registry ID: 110015682830

• CONOCO REFINERY

  1000 SOUTH PINE STREET, PONCA CITY, OK, 746021267

  Registry ID: 110015682830

• CONOCO REFINERY

  1000 SOUTH PINE STREET, PONCA CITY, OK, 746021267

  Registry ID: 110015682830

• CONOCO REFINERY

  1000 SOUTH PINE STREET, PONCA CITY, OK, 746021267

  Registry ID: 110015682830

• …and 15 more

Statutes cited

• CAA 111 — New Source Performance Standards

Enforcement conclusions (1)

• CONOCO, INC.entered 1988-06-03

  Primary law: CAA

  Federal penalty: $250,000

Timeline (6 milestones)

• 1987-06-30Referred To Dept Of Justice
• 1987-11-30Complaint Filed With Court
• 1988-06-03Final Order Lodged
• 1988-06-03Final Order Entered
• 1988-06-03Concluded
• 2001-02-14Enforcement Action Closed