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Coast Guard proposes bulk cargo handling changes to comply with international standards

The U.S. Coast Guard has proposed several changes to bulk cargo handling requirements that could impact ammonium nitrate shipments, according to a recent Federal Register notice flagged by the Pike & Fischer FR Today alert service.

The changes are being proposed to harmonize the Coast Guard’s regulations with International Maritime Organization (IMO) amendments that require all vessels operating under the International Convention for the Safety of Life at Sea (SOLAS) and carrying bulk cargoes other than grain to comply fully with the International Maritime Solid Bulk Cargoes (IMSBC) Code.

The IMSBC Code is the international standard for the marine transport of solid materials in bulk. IMO first issued it in 1965 and has amended it several times since, most recently in 2008. The IMSBC Code provides standards for shippers, vessel operators, and masters to ensure the safe handling and carriage of bulk solid cargoes.

The Coast Guard is proposing certain amendments to its regulations governing the carriage of solid hazardous materials in bulk to allow use of the IMSBC Code as an equivalent form of compliance for all domestic and foreign vessels operating in U.S. navigable waters. Proposed changes to the Coast Guard regulations will expand the list of solid hazardous materials authorized for bulk transportation by vessel and include detailed special handling procedures based on the IMSBC Code and existing special permits.

One change suggests tighter controls on the temperature of bulk shipments of ammonium nitrate. The Coast Guard said it agreed that the temperature of ammonium nitrate fertilizer or any other bulk commodity is “best controlled through the manufacturing process. However, only monitoring immediately before loading would ensure that the temperature of the cargo on the vessel is within safe limits.”

Another issue addressed by the Coast Guard involved clarifying a prohibition on fuel oil transfers during the loading of ammonium nitrate fertilizers. Responding to comments that internal fuel transfers should be allowed, the Coast Guard said: “The purpose of prohibiting bunkering and fuel transfers during the handling of ammonium nitrate and ammonium nitrate fertilizers is to preclude any possibility of forming an explosive mixture through the contamination of the ammonium nitrate. This prohibition does not extend to transfers of fuel on board the vessel through the vessel’s fixed piping system. We have reworded the section to clarify this.”

The notice of proposed rulemaking also referred to a detonation test for ammonium nitrate that was once prescribed by The Fertilizer Institute (TFI) as an industry standard. The Coast Guard said the test was not allowable as a standard because it is no longer being maintained by TFI.

The Coast Guard said the proposed changes would reduce the need for current special permits required for the transportation of certain solid hazardous materials in bulk. “This proposed rule would also result in cost savings to certain vessels, as preparation of permit renewals will no longer be needed,” the notice said. “We estimate this regulation would reduce the need for ten permit requests per year.”

It did detail some expected cost increases as a result of the changes, however, noting that additional equipment, training, and operating costs would likely fall on industry. “We estimate that industry would incur equipment costs during the implementation period (Year 1) of $2.7 million undiscounted,” the notice said. “We also estimate there will be annual recurring costs due to equipment maintenance and replacement.” The Coast Guard also referred to training and operating costs, including equipment testing, record keeping, and vessel preparation. “We estimate industry would incur an annual recurring operating cost of $7.4 million undiscounted,” the notice said.

Implementation of the IMSBC Code will not become mandatory until January 1, 2011, but several countries have already adopted it as a national regulation. Countries that are parties to SOLAS will require compliance with the IMSBC Code for all bulk solid shipments occurring in their jurisdiction.

The Federal Register notice kicked off a 30-day public comment period on the proposed changes. Comments and related materials must be submitted by July 19, 2010, to an online docket via http://www.regulations.gov.

Viterra buys Sask. ammonia terminal assets

Regina-Viterra Inc. said July 2 that it has purchased the assets of Agrium Inc.’s anhydrous ammonia terminal at Vanscoy, Sask. The company had been leasing the facility from Agrium as principal tenant since 2001, and chose to exercise its lease buyout option. The purchase includes a 36,000 mt NH3 tank. “Over the past five years Viterra has made significant investments to improve the operational capacity of its NH3 network. We will continue to play a leadership role, investing in our retail and terminal sites to support the growth of NH3 on farms in Western Canada,” said Doug Wonnacott, Viterra’s senior vice-president, Agri-products. In addition to investments in its NH3 network, Viterra says its team works closely with industry associations to develop NH3 training and safety programs for employees, farmers, suppliers, and emergency responders.

TFI introduces Fertilizer 101

Washington-The Fertilizer Institute (TFI) has launched “Fertilizer 101,” an initiative aimed at providing the people of the fertilizer industry, their allies in the agriculture community, and the general public with a central source of information on fertilizers. Key components of the initiative are a Fertilizer 101 book and a corresponding fertilizer101.org Web site. “World population will grow to more than 9 billion people by the year 2050 and fertilizer will be increasingly important as modern agriculture works to feed a growing world,” said TFI President Ford West. “We cannot allow the idea that food comes only from the supermarket to take root. It’s in this spirit that TFI developed Fertilizer 101. We hope that readers and visitors to the Web site will gain information that provides a better understanding of what fertilizer is and why it’s so important to our future.” Fertilizer 101 replaces TFI’s Fertilizer Handbook, a well-established industry resource for fertilizer information. As was the case with the Fertilizer Handbook, the new book and Web site cover the important fertilizer fundamentals, including information on essential nutrients, fertilizer production, and definitions of commonly used fertilizer products. In addition, the new resources contain the latest information regarding nutrients in the environment and product safety and security, including content on fertilizers and human health, as well as information on nutrient stewardship by farmers and home gardeners. “As TFI works daily to educate Capitol Hill staff, representatives of regulatory agencies and the media, we identified the need for a centralized fertilizer resource for individuals who may not have a technical background,” said West. “Through the tools produced in the Fertilizer 101 initiative, we hope to educate key decision makers and the general public about the steps being taken to ensure science and stewardship guide the industry’s actions.” The Fertilizer 101 book is available for purchase from TFI at a cost of $39.95 per copy. TFI members can order copies at the discounted price of $14.95 per copy.

Mosaic to begin work on S. Fort Meade in August

Tampa-The Mosaic Co. has announced it has received approval of its permit from the U.S. Army Corps of Engineers for its 10,000-plus acre expansion at its South Fort Meade Mine in Central Florida. The company said work on the new area would begin next month. The Corps gave its approval after the U.S. Environmental Protection Agency and U.S. Fish and Wildlife Service offered their approvals. The process to obtain permitting from all local, state, and federal agencies took many years. The mine was opened in 1995 in Polk County and produces about 6.6 million tons of phosphate rock a year. The mine will result in about $42 million in benefits for Hardee County and employ about 250 workers, as well as a large number of contractors.

Migao to build SOP plant

Toronto-Migao Corp., a leading producer of specialty potash fertilizers for the Chinese market, announces that it will be constructing a new 40,000 mt/y potassium sulfate (SOP) fertilizer production facility at its existing Changchun Migao location in Jilin Province, China. “Changchun has shown very stable pricing and growing demand as this region continues to develop its agricultural and industrial activities,” said Liu Guocai, Migao’s president and CEO. “Since early 2008, Changchun Migao has been producing 40,000 mt of potassium sulfate and approximately 50,000 mt of hydrochloric acid. The expansion doubles our production capacity at this location, and taking into account other construction projects well under way at other locations in China, will result in a 30 percent increase in Migao’s total production capacity.” The new 40,000 mt/y facility is scheduled for completion in the fourth quarter of calendar-year 2011. Land for the project was purchased as part of the original land use rights secured in 2007. The capital budget to complete the expansion is approximately C$5 million. Changchun Migao is a wholly owned subsidiary, and when fully operating, will produce 80,000 mt/y of potassium sulfate and approximately 100,000 mt/y of hydrochloric acid. Migao is currently producing 320,000 mt/y for its two core potash-based fertilizers. With the addition of a 40,000 mt/y potassium nitrate 50/50 joint venture expansion with Sociedad Quimica y Minera de Chile (SQM) at Sichuan Migao later this year and a new 40,000 mt/y potassium sulfate facility near Shanghai in early 2011, Migao will have production capacity of 420,000 mt/y. This figure does not include the co-products ammonium chloride or hydrochloric acid, nor does it include 100,000 mt of specialty compound fertilizer produced annually.

Death in fertilizer tank ruled asphyxiation

Paulding, Ohio-The Paulding County coroner has concluded that the cause of death of a Sherwood, Ohio, man trapped while cleaning out a farm fertilizer tank May 28 was asphyxiation, according to the sheriff’s department. The victim was identified as Joseph Allen Potter, no age listed, who was removed lifeless from the tank after becoming wedged in a baffle section of the enclosure. Potter and Thomas McDonald had been using a gasoline and water mixture to remove sludge from the stainless steel bulk tank, which was mounted on a trailer hitched to a pickup truck. Just how long Potter had been in the tank was unclear, but McDonald told the sheriff’s investigator that Potter started coughing and couldn’t be removed. “There was nothing I could do but hold his head out of the water and gasoline and wait for help. He said Potter had been able to talk to his son on the phone from inside the tank and then started coughing and told McDonald to “get out of there.” McDonald was treated at the scene for exposure to the fumes and then taken to the hospital.

Urea cleanup on Tulsa freeway takes 20 hours

Tulsa, Okla.-It took 20 hours, a crew of cleanup experts working through the night, and two vacuum trucks to remove 25 tons of urea fertilizer spilled on a Tulsa freeway by an out-of-control semi-truck last month. Sooner Emergency Services of Tulsa and Muskogee took care of the spill left by the carrier apparently hauling from the Port of Tulsa. The driver was believed to have suffered injuries and was taken to a hospital. “It was spread over all three freeway lanes and we had to bring in two Guzzler vacuum trucks to suck it up into a tank and then dump it into rolloff boxes,” Sooner owner Bill Inhofe told Green Markets. “We got permission to spread it over our 6,000-acre farm in Muskogee southeast of Tulsa.” The spill was first reported as ammonium nitrate, and if it had been it wouldn’t have been handled any differently, Inhofe said. Oklahoma Highway Patrol Lt. George Brown said the truck was exiting Interstate 244 just before 5 p.m. when it went off the ramp onto U.S. 75. He said motorists were diverted off the highways, and a nearby business was told to shut its bay doors to prevent any dust from getting inside.

Algae buildup closes Ohio Lake to swimmers

St. Marys, Ohio-State environmental regulators are maintaining Grand Lake St. Marys in western Ohio as off-limits to swimmers because of unpredictable bluegreen algae buildup and the toxins this may produce. This condition is blamed at least partly on fertilizer and manure runoff from nearby farms. Warning signs have been posted advising residents and tourists not to touch the water. A June 25 statement from the Ohio EPA stated, “This afternoon, laboratory results from water samples collected in Grand Lake St. Marys on June 23 showed the presence of cylindrospermopsin, a liver toxin, at the West Beach of the state park. In addition, saxitoxin, a nerve toxin, was found at low levels (just above the detection limit) in the same area. At the boat ramp, there was a very low level of cylindrospermopsin. Due to the highly unpredictable nature of bluegreen algae and the toxins it can produce, it is impossible to know with certainty if toxins are present in the water on any given day at a particular location. Since there are no national standards or benchmarks for these toxins in water, state officials are advising the public to continue to avoid contact with the water.” The Ohio Department of Natural Resources, Ohio Department of Agriculture, Ohio EPA, and their partners have announced a cooperative plan to help curb the nutrient loading that has contributed to declining water quality. The plan encourages partnerships between the area residents and other private and public entities, including the Mercer and Auglaize Soil and Water Conservation Districts and the Natural Resources Conservation Service, to minimize pollution sources within the watershed. Originally constructed as a feeder reservoir for the Miami-Erie Canal, Grand Lake St. Marys was for many years recognized as the largest man-made reservoir in the world. The 13,500-acre lake is the gateway to swimming, boating, camping, and fishing in one of Ohio’s oldest state parks.

Wisconsin adopts nutrient runoff regulations

Madison, Wisc.-Agriculture and other sources of phosphorus and nutrient runoff will come under a new edict issued by the Wisconsin Natural Resources Board to reduce pollution that contributes to algae and weeds that foul the state’s beaches and waters. Natural Resources Secretary Matt Frank asserted, “Restoring healthy watersheds means cleaner beaches, more swimmable lakes, improved public health, healthier fisheries and wildlife habitat. Wisconsin’s beautiful lakes and streams support our economy, our recreation and our great quality of life.” But farmers and others affected won’t have to go it alone. Under existing Wisconsin law, the state will partner with the agriculture community, providing cost-sharing dollars. The Department of Natural Resources will work with county land conservation experts and farmers to help producers use the best management practices to curb pollution, all the while helping to promote the most cost-effective solutions. This means the state will provide up to 70 percent to share the farmers’ costs of implementing non-point pollution controls to meet the standards as part of a positive enforcement of the rules. It wasn’t clear, however, how agriculture and others will be affected by another part of the statewide regulations, which applies unique numeric water quality criteria for rivers, streams, and lakes that will be used to determine phosphorus levels to keep waters clear of algae and safe for recreational activities.

EPA involved in action against Wormgold producer

Sacramento-The battle between the California Department of Pesticide Regulation (DPR) and the producer of a fertilizer made from worm castings that is also naturally resistant to pests now involves the U.S. Environmental Protection Agency (EPA). The issue whether Wormgold should be registered as a pesticide is now in the courts. But DPR has produced a letter from EPA’s office of pesticide programs stating that the biochemical classification committee determined that Wormgold should be re-classified as long ago as 2001 as “not a biochemical” and that the registrant may not make any pesticidal claims either on the product label or in any advertising until registered by the agency. DPR also produced an 18-page “proposed decision of hearing officer” justifying a $100,000 fine stating that the producer had reaped “significant benefit” of at least $1.6 million while under warning by DPR, and that the conduct “contravenes the core purpose” of the registration requirement. “The registration process is designed to test the efficacy and safety of the product, thereby protecting public health, environmental and consumer concerns. The conduct herein prevented that from happening,” the hearing officer concluded.