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Monday, December 9, 2013   VOLUME 9 ISSUE 48  
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Explosion, Fire Cause $12.5 Million Damage at Hydrodec's Canton, Ohio Rerefinery

London-based cleantech industrial oil re-refining group Hydrodec Group plc, confirmed last Monday that an explosion and a subsequent fire took place in the reactor building at its transformer oil re-refining facility in Canton, Ohio on Sunday afternoon December 1 which has resulted in an estimated $12.5 million in damages and an indefinite shutdown of the plant.

The incident occurred at approximately 4pm EST during routine operations. The company’s emergency shut-down system and associated procedures operated successfully and there were no reports of any casualties on or around the facility, and all Hydrodec employees were safe and accounted for. The fire was extinguished by 5.30pm. The fire was contained within the reactor building with no identified damage to other buildings, plant or storage at the facility.

On December 3, Ian Smale, CEO, issued a statement in a press release saying "There was an explosion and a subsequent fire that developed from a local source to be quite extensive, but at least superficially appears to be localized within the main process building. There was no damage or hazard beyond the main process building, nor any significant environmental issue. The site is now safe and secure and we hope to have mains power back shortly. Our US partner G&S Technologies are fully engaged with the Hydrodec team managing the communication with our suppliers and customers to minimize the business consequences for them and in the longer term for us."

On December 4, 2013, Hydrodec issued a press release announcing that generator power has been restored to the main office building, the laboratory and the control room and measures are being taken that should be sufficient to allow the facility to handle, receive and dispatch oil in the near future.

Hydrodec has also begun the process of liaising with customers to establish what alternative provision can be made to minimize business consequences. Available finished product in tanks has been allocated to meet customer demand, subject to the ability to operate the dispatch and delivery system. Hydrodec intends to rebuild, replace and re-emerge stronger.

On December 5, Hydrodec issued another press release announcing that commercial operations resumed that morning, within only 4 working days of the incident, with the acceptance and unloading of a delivery of feedstock. The company said the dispatch building is also fully functioning and should resume operations in the near future. The incident site (main processing plant) remains closed as the investigation into cause continues with the fire department and insurance representatives. Power, communications and occupancy are re-established in the office accommodation and laboratory; all lab equipment is tested and functioning properly.

Completed in 2008, the Canton, Ohio plant has capacity to recycle approximately 8 million gallons of transformer oil per year. Hydrodec collects used transformer oil and manufactures, markets and distributes its SUPERFINE™ transformer oil and naphthenic base oil at their facilities in Young, NSW Australia and Canton, Ohio with plans to expand to more facilities in Japan.


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