Proposed Direct Transfer Coal Facility May 30, 2013 w w w.f s d . b c . c a 1
FSD Background • Fraser Surrey Docks has been an integral and responsible part of the community for 50 years • The economic downturn in 2008 was tough on our business and we lost over 50% of our jobs due to a downturn in containers, steel and forest products • Since then Fraser Surrey Docks has been operating below its capacity and is looking to expand to provide additional benefit to the community through jobs, taxes and supporting local business • We are committed to seeking out safe, efficient and environmentally conscious ways to expand • Our goal is to grow and expand the terminal, regardless of commodity, with the least possible adverse impact on our community and stakeholders • A shortage of port capacity and increasing demand has created an opportunity for an existing deep sea marine terminal with existing infrastructure such as FSD, to capitalize on growing coal opportunities, especially thermal coal 2 F R A S E R S U R R E Y D O C K S
DTB Coal Facility Project • FSD has applied for a project permit to build a new coal handling facility within existing terminal operations • New handling facility will: (i) receive full unit trains of coal that have been profiled and covered with a surfactant (ii) unload coal from bottom dump rail cars into fully enclosed shallow pits (iii) directly transfer coal via enclosed conveyance system to waiting barges (iv) not store coal on site during normal operations • A full 135-car unit train will be unloaded in less than eight hours, allowing for the unloading of a unit train onto two 8,000 DWT barges in one regular shift • Coal will be barged from FSD to Texada Island, where it will be stored and eventually loaded onto deep sea vessels • Expected annual throughput: 2 million MT in year 1, or 160 expected coal train deliveries 4 million MT in years 2-5, or 320 expected coal train deliveries per year • The project will result in 50 jobs 3 F R A S E R S U R R E Y D O C K S
Community Engagement Phase 2 Phase 1 RECEIVE FEEDBACK & CLARIFY SCOPE & INFORM & NOTIFY ADDRESS CONCERNS MITIGATIONS • 2 open houses • 3,200 letters to • Meetings with local neighbours in residents and • 8,900 invitations to Surrey, Delta and resident groups, attend New Westminster municipalities, First • Ensure mitigation Nations, and other • Municipal & measures address stakeholders government the feedback briefings • Adjust project received mitigation measures • Meetings with local • Receiving additional as necessary to residents and feedback and address community resident groups, consideration concerns municipalities, First Nations, and other stakeholders F R A S E R S U R R E Y D O C K S 4
Feedback Feedback received expressed concerns in six key areas: 1. Coal Dust 2. Noise 3. Traffic Impacts 4. Coal Barge Safety 5. Coal Impact on Marine Life 6. Emergency Preparedness • Fraser Surrey Docks has worked closely with Port Metro Vancouver, sector experts and our partners to address these concerns with mitigation measures • This presentation outlines certain mitigation measures; further detail can be found in the Project Discussion Guide 5 F R A S E R S U R R E Y D O C K S
Coal Dust Mitigation - Railcars • All coal shipped on BNSF railcars must be covered with a topper coating or surface stabilizer that has proven through operations to reduce dust by 85% • All coal shipper on BNSF railcars must be loaded in accordance with BNSF’s Load Profile Template, which requires smoothing of the coal such that it is more aerodynamic and less susceptible to loss from wind • After unloading at FSD, empty railcars will be sprayed with water to remove any remaining coal dust prior to the return journey 6 F R A S E R S U R R E Y D O C K S
Coal Dust Mitigation - FSD • Coal drops from railcar into enclosed receiving bin through trap doors at a maximum height of three feet to minimize dust • Coal transported to barge loader through enclosed conveyance system • All transfer points within conveyor system fitted with water spray for additional dust control • Covered barge loader, equipped with short directional snorkel, with ability to limit the drop height to barge surface and reduce turbulence • Since our original submission in Jul 2012, we have made several changes which should eliminate the need for an emergency stockpile • Weather condition and dust monitors on site and just outside terminal 7 F R A S E R S U R R E Y D O C K S
Coal Dust Mitigation - Barge • Coal load profiled in order to remove uneven surfaces that could catch the airflow more easily and create dust • Coal barge may be sprayed with water if the wind and temperature conditions have created an increased dust risk • Coal barges will be subject to a speed limitation of 7 knots to reduce windage • Loading operations suspended in high wind conditions • Dust monitors on the barges 8 F R A S E R S U R R E Y D O C K S
Noise Mitigation • All rail movement within FSD and the adjacent Port Authority Rail Yard will be restricted to 3 mph or less • When being unloaded from the rail cars, the coal drop will be 3 feet or less and with the enclosure around the pits the noise will be minimized • An electric rail car positioner will be used to move cars through the facility at a consistent speed to avoid any noisy shunting • New rail is being installed with curvatures of 12 degrees or less to minimize noise caused by steel railcar wheels pulling on steel track when turns are tighter • Working with specific stakeholders regarding train whistle noise 9 F R A S E R S U R R E Y D O C K S
Coal Barge Safety • FSD conducted an assessment of possible marine navigational risks associated with the coal barge movements and it was concluded that proposed barge movements present no new risks • Barge operations will not be conducted in high wind conditions (over 40kmh), or foggy conditions • In addition, all tugs and barges will be inspected on regular intervals to ensure they meet the required Transport Canada regulations and be equipped with fire suppression • Tugs will be selected in accordance with current weather conditions and load characteristics to ensure proper match • Barges hull will be compartmentalized so that if one compartment is punctured the damage can be maintained and barge remains afloat • No coal will be stored in the hull, so that a hull puncture would not lead directly to a coal spill • Ensuring all tug boats and captains are certified by Transport Canada, per normal operation • Lafarge, the marine operator, is highly experienced with river conditions and navigation and have been operating barges in the river for over 20 years 10 F R A S E R S U R R E Y D O C K S
Emergency Preparedness Mitigation Safety is the number one priority at FSD • Complete Operational Risk Assessment with union representatives and employees, which become incorporated into the terminal’s SOP and SWP • Comprehensive Spill Response Plan (in conjunction with PMV) • Comprehensive Emergency Response Plan (in conjunction with CoS FD, rail and marine operators) – Human Safety, Containment, Assessment, Cleanup and Resumption • Belt conveyors equipped with fire (hose) taps and valves • Fire retardant hydraulic fluids and fire resistant belting 11 F R A S E R S U R R E Y D O C K S
Thank you Questions & Discussion w w w . f s d . b c . c a 12
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