Northeast LPG terminal faces expansion hurdle

OREANDA-NEWS. LPG terminal operator Sea-3's request for an exemption from a full review of the company's proposed expansion at a site in Newington, New Hampshire, may face intervention from the Portsmouth City Council tonight.

Portsmouth city manager John Bohenko will ask his council to intervene in Sea-3's site review evaluation exemption requested to New Hampshire's Site Review Committee. The City Council has until 7 May to make a move on Sea-3 requests to forego a lengthy review process.

Bohenko was given authority to direct the city's legal department to take any actions necessary to appeal the Newington Planning Board's approval of the site's expansion. In addition to the planning board's go-ahead, Sea-3 is required to receive approval and certification from the State of New Hampshire Site Review Committee, unless the exemption for which Sea-3 filed is granted.

Portsmouth's City Council has expressed concern regarding the impacts that an expansion would have on the city's roads, river and rails.

"Of particular concern is the impact of the substantial increase in rail traffic throughout the city, the safety of the rails, the cost of improving rail crossings," Bohenko said in a memo ahead of tonight's meeting.

Sea-3's LPG terminal project would add storage capabilities and bring propane export capabilities. If approved, the existing railcar loading facility would be expanded to handle 16 cars daily, up from six. Three 90,000 USG (2,143) bl above-ground storage tanks would also be added to the site's 23mn USG (547,620 bl) current storage capacity.

While the site has been utilized intermittently for spot propane imports during the 2013-2014 and 2014-2015 peak winter demand seasons, activity at the terminal has dried up in recent years as a boom to domestic production has dramatically reduced needs to source the heating fuel internationally.

In order to operate as an export hub, the terminal would need chillers and pumps to refrigerate ambient propane. If expanded, the terminal would have capacity to supply vessels designed to carry 30,000-38,000t.