Federal Register / Vol. 62, No. 149 / Monday, August 4, 1997 / Notices 41993

(61 F.R. 9740) for more information

about the RSAC.

Donald M. Itzkoff,

Deputy Administrator.

[FR Doc. 97–20487 Filed 8–1–97; 8:45 am]

BILLING CODE 4910–06–P

DEPARTMENT OF TRANSPORTATION

Research and Special Programs

Administration

[Docket No. RSPA–97–2707; Notice 1]

Pipeline Safety: Liquefied Natural Gas

Facilities Petition for Waiver; Applied

LNG Technologies

Applied LNG Technologies (ALT) has

petitioned the Research and Special

Programs Administration (RSPA) for a

waiver from compliance with certain

provisions of 49 CFR part 193 for its

Needle Mountain Liquefied Natural Gas

(LNG) storage and truck loading facility

at Topock, Arizona. This facility

consists of two 50,000 gallon LNG

storage tanks and a truck transfer

system. It is piped to a liquefaction

facility owned and operated by a

subsidiary of El Paso Natural Gas. A

transmission pipeline, owned by El Paso

Natural Gas Company supplies Part 192

regulated gas to the El Paso liquefaction

facility. ALT alleges that an extension of

Part 193 jurisdiction to the Needle

Mountain LNG storage and truck

loading facility would be inconsistent

with the language of Section

193.2001(a). Section 193.2001(a) states

‘‘This part prescribes safety standards

for LNG facilities used in the

transportation of gas by pipeline that is

subject to the Natural Gas Pipeline

Safety Act of 1968 and Part 192 of this

chapter’’. ALT states that the Needle

Mountain LNG storage and truck

loading facility would not be

transporting natural gas by pipeline.

ALT further points out that Section

193.2001(b)(1) states ‘‘This part does not

apply to LNG facilities used by the

ultimate consumer of LNG or natural

gas’’. ALT states that this facility would

be loading LNG into tank trucks for

delivery to commercial and industrial

customers, thus, it is the ultimate

consumer of LNG. Therefore, ALT

alleges that the Needle Mountain LNG

storage and loading facility is nonjurisdictional.

On May 16, 1997, the RSPA issued an

Interpretation of Part 193 as it applies to

the Needle Mountain LNG Storage and

truck loading facility. LNG storage and

truck loading facility is owned and

operated by Applied LNG Technology,

Inc. The liquefaction facility and piping

is owned and operated by a subsidiary

of El Paso natural gas. However, the

land on which the storage facility sits is

owned by El Paso Natural Gas. In that

interpretation, RSPA stated that

regardless of who owns or operates

different sections of an LNG facility, it

is subject to Part 193 in its entirety. Part

193 encompasses all parts of an LNG

facility from the point at which it

receives gas from a Part 192 regulated

gas transmission pipeline through the

liquefaction process, storage, and

transfer into a motor carrier vehicle.

ALT now requests a waiver from

compliance with certain sections of Part

193 and proposes to ensure equivalent

safety through compliance with the

National Fire Protection Association

(NFPA) standard 59A. The specific

sections of Part 193 for which ALT

seeks a waiver are:

(1) Section 193.2173—Water Removal:

§ 193.2173(a) requires that except for

Class 1 systems, impounding systems

must have sump pumps and piping over

the dike to remove water collecting in

the sump basin.

NFPA 59A section 2–2.2.7 requires

either sump pumps or gravity drainage

for water removal, provided there is

means to prevent the escape of LNG by

way of the drainage system.

ALT’s rationale for noncompliance:

The impoundment area in this facility

drains to a sump basin. A sump pump

is not provided due to the arid location.

In the rare event of rain in Topock, AZ,

ALT does not expect to have standing

water for any length of time.

RSPA would agree with ALT that a

sump pump and piping are not

necessary at this LNG facility due to the

arid location only if ALT can

demonstrate that there would be no

standing water (i.e., proving ground is

permeable) in the sump for any

significant period. RSPA proposes to

grant the waiver from § 193.2173 subject

to the above condition.

(2) Section 193.2209(b)(2)—

Instrumentation for LNG storage tanks:

For LNG tanks with capacity of 70,000

gallons or less, § 193.2209(b)(2) requires

pressure gages and recorders with high

pressure alarm.

NFPA 59A 7–2.1 requires only a

pressure gage.

ALT does not believe that safety has

been compromised by requiring only a

pressure gage, because any high

pressure in the storage tank is controlled

by a recompressor system within the

‘‘facility’’ that maintains the storage

pressure at 20 psig. Any failure of this

system places the entire storage facility

in a ‘‘fail safe’’ (shut down) mode.

RSPA believes that recorders (at the

storage tank site and possibly at the

control center) and a high pressure

alarm (at the control center) are

essential in the event of the failure of

the recompressor system. Although the

entire storage facility will be placed in

a shut down mode, there appears to be

no way to prevent pressure from

increasing in the LNG storage tank. This

is especially important because this

LNG storage facility will be an

unattended operation. Therefore, RSPA

is proposing not to grant a waiver from

§ 193.2209(b)(2).

(3) Section 193.2321(a)—

Nondestructive tests, Circumferential

butt welds: § 193.2321(a) requires that

100 percent of circumferential butt

welded pipe joints in the cryogenic

piping and 30 percent of circumferential

butt welded pipe joints in the noncryogenic piping be nondestructively

tested.

NFPA 59A 6–6.3.2 requires all

circumferential butt welds to be

nondestructively tested, except that

liquid drain and vapor vent piping with

an operating pressure that produces a

hoop stress of less than 20 percent of

specified minimum yield stress (SMYS)

need not be nondestructively tested,

provided it has been inspected visually

in accordance with the American

Society of Mechanical Engineers

(ASME)standard B31.3, Chemical Plant

and Petroleum Refinery Piping, 344.2.

RSPA believes that safety is not

compromised and is considering

granting a waiver from § 193.2321(a) for

the liquid drain and vapor vent piping

with operating pressures that produce

hoop stresses of less than 20 percent

SMYS, if that piping complies with the

NFPA 59A 6–6.3.2.

(4) 193.2321(e)—Nondestructive tests,

Circumferential and longitudinal welds

in metal shells of storage tanks:

§ 193.2321(e) requires 100 percent of

both longitudinal and circumferential

butt welds in metal shells of storage

tanks that are subject to cryogenic

temperatures, and are under pressure, to

be radiographically tested.

NFPA 59A 4–2.2.2 requires welded

construction for shell in accordance

with the ASME Code section VIII, and

shall be ASME-stamped and registered

with the National Board of Boiler and

Pressure Vessels(NBBI)

ALT’s rationale for requesting a

waiver is that safety in this case is not

compromised as ALT storage tanks are

small, shop fabricated, and built to

ASME Code. ASME Section VIII is an

accepted standard to which cryogenic

pressure vessels are built all over the

world.

RSPA agrees that safety is not

compromised by waiving the

requirements of § 193.2321(e) for

smaller pressure vessels (less than
41994 Federal Register / Vol. 62, No. 149 / Monday, August 4, 1997 / Notices

70,000 gallons) which are designed and

built to ASME Code VIII (greater than 15

psig). Tanks built to this code are shop

fabricated under strict quality control

and are inspected and stamped by the

Authorized Inspectors of the NBBI.

Storage tanks at the ALT LNG facility

are built to ASME code Section VIII and

have a capacity of 50,000 gallons

(relatively small). Therefore, RSPA is

proposing to grant the waiver from

§ 193.2321(e).

(5) Sections 193.2329 (a) and (b)—

Construction Records: § 193.2329(a)

require that an operator shall retain

records of specifications, procedures,

and drawings consistent with this part,

and § 193.2329(b) requires that an

operator shall retain records of results of

tests, inspections and quality assurance

program required by this subpart.

ALT requests a waiver for records for

design and manufacture of the pressure

vessels, because they are built to the

ASME code as referenced in NFPA 59A.

ALT would comply with all other

record keeping requirements in

accordance with §§ 193.2329 (a) and (b).

RSPA agrees and is proposing to grant

waiver from §§ 193.2329 (a) and (b) for

those parts of its facility where ALT has

requested and has been granted a

waiver.

(6) Section 193.2431(c)—Vents:

§ 193.2431(c) requires that venting of

natural gas/vapor under operational

control which could produce a

hazardous gas atmosphere must be

directed to a flare stack or heat

exchanger.

NFPA 59A 3–4.5 also requires safe

discharge of boil-off and flash gas to the

atmosphere or into a closed system.

NFPA 10–12.4.4 requires that safety

relief valve discharge stacks or vents

shall discharge directly into the

atmosphere.

ALT is requesting a waiver from

§ 193.2431(c) which requires flare

stacks. ALT’s reasons for

noncompliance are that (i) safety relief

valves relieve under emergency

conditions, and (ii) there will be no boiloff venting at this facility because LNG

storage vessels are maintained at a

storage pressure of 20 psi by a

recompressor system.

RSPA agrees that at this LNG facility

recompressor system will maintain a

pressure of 20 psi in the LNG storage

tanks. Therefore, no continuous

discharge of boil-off to atmosphere is

expected. RSPA believes that relief

valves discharge only under emergency

conditions. Therefore, it is safe to

discharge them to the atmosphere

through a stack without flaring.

Therefore, RSPA is proposing to grant

a waiver from compliance with

§ 193.2431(c), as long as relief valves

discharge through stacks which are

higher than surrounding structures at

this facility.

(7) Section 193.2817 (b)(2)—Fire

Equipment: § 193.2817(b)(2) requires

fire control equipment and supplies to

include a water supply and associated

delivery system, if the total inventory of

LNG is 70,000 gallons.

NFPA 59A 9–5.1 similarly requires a

water system except where an

evaluation in accordance with 9–1.2

indicates the use of water is

unnecessary or impractical. Section 9–

1.2 also requires evaluation of the

methods necessary for protection of the

equipment and structures from the

effects of fire exposure.

ALT not only requests a waiver from

§ 193.2817(b)(2), but also takes an

exception to NFPA 59A 9–5.1. ALT’s

rationale for such a waiver is that this

facility is remotely located, generally

unattended, and is equipped with fire

detection sensors which will annunciate

fire detection to the control center, as

well as initiate a facility shutdown to a

fail-safe condition.

RSPA disagrees with ALT’s rationale

that water is unnecessary and

impractical at this facility. This LNG

facility has two 50,000 gallon capacity

storage tanks, processors, liquefiers,

compressors, and piping. For protection

of the above components and for

controlling unignited leaks and spills,

RSPA believes that a fire protection

water system is necessary. From the

information available to RSPA, it

appears that providing a water system at

this facility is feasible. Therefore, RSPA

is not proposing to grant a waiver from

§ 193.2817(b)(2).

Except for the sections for which

RSPA is proposing to grant a waiver,

this LNG facility must meet all the other

requirements of Part 193. For the

sections for which RSPA proposes to

grant a waiver, RSPA believes that the

granting of a waiver from these

requirements would not be inconsistent

with pipeline safety, as long as ALT

follows alternative provisions in the

NFPA 59A.

Interested parties are invited to

comment on the proposed waiver by

submitting in duplicate such data,

views, or arguments as they may desire.

Comments should identify the Docket

and Notice number, and should be

addressed to the Docket facility, U.S.

Department of Transportation, Plaza

401, 400 Seventh Street SW.,

Washington, DC 20590–0001.

All comments received before

September 30, 1997, will be considered

before final action is taken. Late filed

comments will be considered so far as

practicable. No public hearing is

contemplated, but one may be held at a

time and place set in a notice in the

Federal Register if requested by an

interested person desiring to comment

at a public hearing and raising a genuine

issue. All comments and other docketed

material will be available for inspection

and copying in room 401 plaza between

the hours of 10:00 a.m. and 5 p.m.,

Monday through Friday, except federal

holidays.

Authority: 49 App. U.S.C. 2002(h) and

2015; and 49 CFR 1.53.

Issued in Washington, D.C. on July 30,

1997.

Cesar De Leon,

Deputy Associate Administrator for Pipeline

Safety.

[FR Doc. 97–20468 Filed 8–1–97; 8:45 am]

BILLING CODE 4910–60–P

DEPARTMENT OF TRANSPORTATION

Surface Transportation Board

[STB Finance Docket No. 33425]

I & M Rail Link, LLC—Trackage Rights

Exemption—The Burlington Northern

and Santa Fe Railway Company

The Burlington Northern and Santa Fe

Railway Company (BNSF) will agree to

grant limited overhead trackage rights to

I & M Rail Link, LLC (IMRL), between

milepost 429.7 in the vicinity of

Division Street, St. Paul, MN, and

milepost 11.6 in the vicinity of the

Shoreham Yard Switch, Minneapolis,

MN. The trackage includes both the

route between the above-referenced

mileposts via BNSF’s St. Paul SubDivision, a total of 11.9 miles, and the

route between those same mileposts via

BNSF’s Midway Sub-Division, a total of

11.4 miles. IMRL’s use of a particular

route will be determined by BNSF.

The transaction was expected to be

consummated on or after the July 29,

1997 effective date of the exemption.

The purpose of this transaction, in the

interest of operating economies and

improving service, is to permit IMRL to

handle traffic to and from the Soo Line

Railroad Company’s Shoreham Yard at

Minneapolis, and to pick up and deliver

interchange traffic to BNSF at either

Dayton’s Bluff or Northtown Yard.

As a condition to this exemption, any

employees affected by the trackage

rights will be protected by the

conditions imposed in Norfolk and

Western Ry. Co.—Trackage Rights—BN,

354 I.C.C. 605 (1978), as modified in

Mendocino Coast Ry., Inc.—Lease and

Operate, 360 I.C.C. 653 (1980).

This notice is filed under 49 CFR

1180.2(d)(7). If the notice contains false