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HomeMy WebLinkAboutDSHW-2024-009645 Page 1 of 15 DIVISION OF WASTE MANAGEMENT AND RADIATION CONTROL E&P WASTE FACILITY TEMPORARY PERMIT Dalbo, Inc. E&P Waste Facility Temporary Permit Pursuant to the Utah Solid and Hazardous Waste Act, Title 19, Chapter 6, Part 1 (the “Act”) of the Utah Code and the Utah Solid Waste Permitting and Management Rules, Utah Administrative Code R315-301 et seq. (the “Rules”) adopted thereunder, this Temporary Permit is issued to: Dalbo, Inc. as owner, Dalbo-RNI Holdings, Inc. as operator, and Utah School and Institutional Trust Lands Administration as property owner (the Permittees), of the following unclassified, existing Exploration and Production Waste facilities, as defined more fully in the applications and permit approval letters on file with the Division of Oil, Gas, and Mining: 1. Chapita Waste Management Facility (Facility 1); and 2. Seep Ridge Waste Management Facility (Facility 2). The Director determined the Permittees’ Temporary Permit Applications for the R N Industries, Inc. Exploration and Production Waste Facilities named above were completed on September 12, 2024: Facility 1 (DSHW-2024-009409); and Facility 2 (DSHW-2024-009412). The facilities identified above shall be subject to financial assurance in accordance with Condition V of this Temporary Permit and the Rules. The financial assurance shall be in favor of the Division of Waste Management and Radiation Control (the “Division”) in the following amounts: 1. Facility 1: $936,327.05 2. Facility 2: $777,660.38 The Permittees are subject to the requirements of the Act, the Rules, and the requirements set forth herein. All references to the Rules are to regulations in effect on the date that this Temporary Permit becomes effective. This Temporary Permit shall be issued on the date it is signed by the Director. However, this Temporary Permit shall not become effective until the date that the financial assurance identified above is received by the Division, in compliance with Condition V of this Temporary Permit (the “Effective Date”). Page 2 of 15 This Temporary Permit shall expire at midnight on the date that is 12 months from the Effective Date. Issued this day of , 2024. Douglas J. Hansen, Director Utah Division of Waste Management and Radiation Control Page 3 of 15 FACILITY OWNER AND OPERATOR INFORMATION FACILITY 1 NAME: Chapita Waste Management Facility FACILITY 2 NAME: Seep Ridge Waste Management Facility OWNER NAME: R N Industries, Inc. OWNER ADDRESS: P.O. Box 1168 Vernal, UT 84078 OWNER PHONE NO.: (435) 722-2800 OPERATOR NAME: Dalbo RNI-Holdings, Inc. OPERATOR ADDRESS: P.O. Box 1168 Vernal, UT 84078 OPERATOR PHONE NO.: (435) 828-0867 TYPE OF PERMIT: E&P Waste Facility Temporary Permit FACILITY 1 LOCATION: 6026770 S. Fantasy Canyon Vernal, UT 84078 FACILITY 2 LOCATION: 38180 South Seep Ridge Rd. Uintah County, UT PERMIT HISTORY: The facilities listed in this Temporary Permit historically operated under the regulatory authority of the Utah Department of Natural Resources Division of Oil, Gas, and Mining. Page 4 of 15 DEFINITIONS A. “Act” means the Utah Solid and Hazardous Waste Act, Utah Code § 19-6-101 et seq. B. “Class VII Landfill” means a landfill that is permitted by the Director for the disposal of exploration and production waste. C. “Director” means the Director of the Division of Waste Management and Radiation Control. D. “Division” means the Division of Waste Management and Radiation Control. E. “DOGM” means the Division of Oil, Gas, and Mining. F. “Effective Date” means the date that the financial assurance identified above is received by the Division, in compliance with Condition V of this Temporary Permit. G. “Existing E&P Facility” means a facility that had an active valid permit or other valid approval from DOGM on October 1, 2023, for an oil and gas exploration and production waste management facility. H. “Exploration and production waste” or “E&P waste” means solid waste that is intrinsically derived from the primary field operations associated with the exploration, development, or production of crude oil or natural gas, but only to the extent the waste is exempt from hazardous waste regulation according to Utah Admin. Code R315-261- 4(b)(5). I. “Facility” or “Facilities” means an Existing E&P Facility or Existing E&P Facilities that treat or dispose of E&P waste and is the subject of this Temporary Permit. J. “Free liquids” means liquids which readily separate from the solid portion of a waste under ambient temperature and pressure or as determined by Test Method 9095B, Paint Filter Liquids Test, as provided in EPA Publication SW-846, “Test Methods for Evaluating Solid Waste, Physical/Chemical Methods” available at the U.S. EPA Hazardous Waste Test Methods/SW-846 website. K. “High liquid waste” means nonhazardous solid waste that is liquid in its natural state, contains free liquids, or is expected to liquefy or vaporize under the circumstances that it is managed or disposed. L. “Landfarm” means a discrete area of land used to treat or bioremediate exploration and production waste through volatilization, oxidation, and the use of aerobic microorganisms. Page 5 of 15 M. “Legacy waste” means oil contaminated soils and associated solid waste materials previously managed through bioremediation at landfarms permitted by DOGM but that were not released under a DOGM permit. N. “Rules” mean the solid waste management rules, Utah Admin. Code R315-301 through 322. O. “Solid waste surface impoundment” means a solid waste management facility or any part of such facility that is a natural topographic depression, human-made excavation, or a diked area that is designed to hold nonhazardous high liquid waste, leachate, or sludge, to dispose of, reduce the volume of, or otherwise separate or treat the waste. P. “Temporary Permit” means this document and the associated attachments issued to the owner or operator of an Existing E&P Facility. Page 6 of 15 GENERAL PERMIT CONDITIONS CONTROLLING TERMS Where differences in wording exist between this Temporary Permit and the attachments to this Temporary Permit, the wording of this Temporary Permit supersedes that of the attachments. 1. COMPLIANCE NO DEFENSE Compliance with this Temporary Permit does not constitute a defense to actions brought under any other local, state, or federal laws. This Temporary Permit does not exempt the Permittee from obtaining any other local, state, or federal permits or approvals required for the Facility’s operation. 2. EFFECT OF PERMIT The issuance of this Temporary Permit does not convey any property rights, in either real or personal property, or any exclusive privileges. Nor does this Temporary Permit authorize any injury to private property or any invasion of personal rights, nor any infringement of local, state, or federal laws or regulations, including zoning ordinances. 3. SEVERABILITY The provisions of this Temporary Permit are severable. If any provision of this Temporary Permit is held invalid for any reason, the remaining provisions shall remain in full force and effect. If the application of any provision of this Temporary Permit to any circumstance is held invalid, its application to other circumstances shall not be affected. 4. INCORPORATION OF ATTACHMENTS Attachments to this Temporary Permit are incorporated by reference into and made part of this Temporary Permit, as are documents incorporated by reference into the attachments, provided that the facilities or sites identified therein had an active valid permit or other valid approval from the Utah Division of Oil, Gas, and Mining on or before October 1, 2023. All representations made in the attachments of this Temporary Permit are enforceable under Utah Admin. Code R315-301-5(2). 5. CONTENTS OF TEMPORARY PERMIT APPLICATION All contents, materials, and statements submitted as the Temporary Permit Application, provided that the facilities or sites identified therein had an active valid permit or other valid approval from the Utah Division of Oil, Gas, and Mining on or before October 1, 2023 and meet the requirements of the Rules, shall become a part of this Temporary Permit under Utah Admin. Code R315-310-2(6). The Director does not endorse, adopt, or incorporate into this Temporary Permit contents, materials, or statements in the Temporary Permit Application that do not meet the requirements of the Rules. 6. ENFORCEABILITY Violations of the Act, the Rules, or the terms of this Temporary Permit shall subject the Permittee to enforcement pursuant to Utah Code §§ 19-6-112 to 19-6-113, Utah Admin. Code R315-317-3, and other applicable law and procedures. By this Temporary Permit, the Permittee is subject to the following conditions. Page 7 of 15 SPECIFIC PERMIT CONDITIONS I. GENERAL COMPLIANCE RESPONSIBILITIES I.A. Compliance with the Act, the Rules, and this Temporary Permit I.A.1. The Permittees shall operate the Facility or Facilities in accordance with all applicable requirements of the Rules that are in effect as of the date of issuance of this Temporary Permit, unless otherwise noted in this Temporary Permit. Any noncompliance with this Temporary Permit or noncompliance with any applicable portions of the Act or the Rules constitutes a violation of this Temporary Permit or applicable statute or rule and is grounds for appropriate enforcement action, including but not limited to Temporary Permit revocation, modification, termination, or denial of a request to renew or extend this Temporary Permit. I.B. Acceptable Waste for Existing E&P Facilities Other than Solid Waste Surface Impoundments I.B.1. The Permittees may receive and manage the following wastes and materials at Existing E&P Facilities other than solid waste surface impoundments: I.B.1.a E&P waste that does not contain free liquids or constitute high liquid waste; I.B.1.b Nonhazardous materials received in regular quantities used for the absorption of free liquids and stabilization in connection with the management or disposal of E&P waste, such as ash, saw dust, gypsum, and nonhazardous petroleum contaminated soils; and I.B.1.c Nonhazardous solid waste generated incidental to oil and gas exploration and production and related operations. I.B.2. The Permittees may accept wastes and materials listed in Condition I.B.1. for temporary management in anticipation of future disposal in accordance with Condition III.C. of this Temporary Permit. I.C. Prohibited Waste for Existing E&P Facilities Other than Solid Waste Surface Impoundments I.C.1. The Permittees are prohibited from receiving and managing the following wastes at Existing E&P Facilities other than solid waste surface impoundments: I.C.1.a Any waste that is not an Acceptable Waste, as defined by Condition I.B. of this Temporary Permit; and I.C.1.b High liquid waste without first stabilizing the high liquid waste sufficient to determine that the waste contains no free liquids in accordance with the requirements set forth in Condition III.C. of this Temporary Permit. I.D. Acceptable Waste for Solid Waste Surface Impoundments I.D.1. The Permittees may accept the following waste in solid waste surface impoundments: Page 8 of 15 I.D.1.a Nonhazardous high liquid waste, including: Noncontainerized liquids; and E&P waste; I.D.1.b Sludge containing free liquids; I.D.1.c Leachate recovered from a landfill cell that does not accept hazardous waste from very small quantity generators. I.E. Prohibited Waste for Solid Waste Surface Impoundments I.E.1. The Permittees are prohibited from accepting waste in a solid waste surface impoundment that is not listed in Condition I.D. of this Temporary Permit. I.F. Inspections and Inspection Access I.F.1. The Permittees shall allow the Director or an authorized representative or representatives from the local health department, with or without prior notice, to enter at reasonable times to: I.F.1.a Inspect the Facility or other premises, practices, or operations regulated or required under the terms and conditions of the Act, the Rules, and this Temporary Permit; I.F.1.b Have access to and make copies of any records required to be kept under the terms and conditions of the Act, the Rules, and this Temporary Permit; I.F.1.c Inspect any loads of waste, treatment facilities or processes, pollution management facilities or processes, or control facilities or processes required under the Act, the Rules, and this Temporary Permit; and I.F.1.d Use photographic equipment, video camera, electronic recording device, or any other reasonable means to record information during an inspection. I.G. Noncompliance I.G.1. If monitoring, inspection, or testing indicates that any condition of this Temporary Permit or any applicable requirement under the Act or the Rules may be or is being violated, the Permittees shall promptly make corrections to the operation or other activities to bring the Facility into compliance with the Act, the Rules, and this Temporary Permit. I.G.2. In the event of noncompliance with a condition of this Temporary Permit or violation of the Act or the Rules, the Permittees shall: I.G.2.a Promptly take any action reasonably necessary to correct the noncompliance or violation and mitigate any risk to human health or the environment. Actions may include, but are not limited to, the Permittees eliminating the activity causing the noncompliance or violation and containment of any waste or contamination using Page 9 of 15 barriers or access restrictions, placing warning signs at the Facility, or permanently closing all or certain areas of the Facility; I.G.2.b Document the noncompliance or violation in the daily operating record, on the day the noncompliance occurred or the day it was discovered; I.G.2.c Notify the Director by telephone within 24 hours, or the next business day following documentation of the noncompliance or violation; and I.G.2.d Give written notice of the noncompliance or violation and measures taken to protect human health and the environment to the Director within seven days of documenting the noncompliance or violation. I.G.3. Within thirty days after the documentation of the noncompliance or violation, the Permittees shall submit to the Director a written report describing the nature and extent of the noncompliance or violation and the remedial measures taken or to be taken to protect human health and the environment and to correct the noncompliance or violation. Upon receipt and review of the written report, the Director may order the Permittees to perform appropriate remedial measures, such as development of a site remediation plan for approval by the Director. I.G.4. In an enforcement action, the Permittees may not claim as a defense that it would have been necessary to halt or reduce the permitted activity in order to maintain compliance with the Act, the Rules, and this Temporary Permit. II. CONSTRUCTION AND EXPANSION II.A. Construction Prohibited II.A.1. The Permittees are prohibited from constructing new Class VII Landfills or solid waste surface impoundments under this Temporary Permit. II.B. Expansion Upon Director Approval II.B.1. The Permittees shall not expand Existing E&P Facilities without first receiving written approval from the Director. III. FACILITY OPERATION III.A. Plan of Operation III.A.1. As to each Facility identified on the Cover Page of this Temporary Permit, all relevant applications, plans, designs, and other agreements set forth in the Permittees’ administrative files with DOGM that are part to the latest DOGM approval to operate, and all administrative orders that are part of or follow the latest DOGM approval to operate, shall be deemed to constitute the Permittees’ Plans of Operation. Such DOGM agency files are hereby designated as Division files for purposes of this Temporary Permit. Page 10 of 15 III.A.2. At all times, the Permittees shall keep the facility-specific Plan of Operation included in Attachments 1 and 2 at the Facility and operate the Facility in accordance with the Plan of Operation. III.A.3. The Permittees shall protect threatened or endangered species as required by Utah Admin. Code R315-302-1(2)(a)(ii) and maintain floodplain protection controls in accordance with Utah Admin. Code R315-302-1(2)(c)(ii). III.A.4. The Permittees may modify the Plans of Operation following the procedures of Condition V.D. of this Temporary Permit. The Permittees shall note any modification to the Plan of Operation in the daily operating record. III.B. Managing Legacy Waste III.B.1. The Permittees may manage Legacy Waste during the duration of this Temporary Permit. III.B.2. If the Permittees are to manage Legacy Waste during the duration of this Temporary Permit, the Permittees shall manage Legacy Waste in a manner that: III.B.2.a Reduces the overall footprint or total acreage of the Legacy Waste; III.B.2.b Prevents discharge of Legacy Waste into surface or ground water; III.B.2.c Keeps Legacy Waste within the Facility’s boundaries; and III.B.2.d Facilitates future disposal of Legacy Waste in a permitted landfill. III.C. Accepting E&P Waste for Temporary Management and Future Disposal III.C.1. The Permittees may accept E&P waste for temporary management in anticipation of future disposal at an Existing E&P Facility other than a solid waste surface impoundment if the Permittees: III.C.1.a Manage E&P waste in a designated area of the Facility; and III.C.1.b If the E&P waste contains free liquids or constitutes high liquid waste, the Permittees stabilize the E&P waste by blending with suitable material, which may be or include Legacy Waste. III.D. Landfarm Transition Plan III.D.1. If this Temporary Permit covers an Existing E&P Facility that is not a solid waste surface impoundment, the Permittees shall submit to the Director a Landfarm Transition Plan that complies with Condition III.D. of this Temporary Permit within 90 days of the Effective Date of this Temporary Permit. III.D.2. The Permittees’ Landfarm Transition Plan shall include, at a minimum: III.D.2.a The location, acreage, and metes and bounds of the proposed Class VII Landfill; Page 11 of 15 III.D.2.b Design and construction documents, including as-built drawings, for the proposed Class VII Landfill; III.D.2.c Proposed actions to manage and dispose of Legacy Waste that exists outside of the proposed Class VII Landfill; III.D.2.d Documentation demonstrating when construction of the proposed Class VII Landfill is expected to be complete; III.D.2.e As applicable, plans for closing the Existing E&P Facility in accordance with the Rules; and III.D.2.f A schedule for completing Conditions III.D.2.a through III.D.2.e of this Temporary Permit, projected intermediate milestones, and specific dates within the one-year period this Temporary Permit is effective. III.E. Solid Waste Surface Impoundment Operations III.E.1. The Permittees shall maintain and operate unloading structures to adequately process the waste received each day. III.E.1.a The Permittees shall immediately clean up spills outside of the lined area to soil background levels. III.E.2. The Permittees shall perform leak detection monitoring at each leak detection riser when liquid waste is present inside of the solid waste surface impoundment. III.E.3. Leak detection monitoring shall be: III.E.3.a Performed with no greater than five days between monitoring surveys, and on each day that waste is received in the solid waste surface impoundment; and III.E.3.b Recorded in the Facility’s operating record. III.E.4. If the Permittees detects a liner leak, the Permittees shall: III.E.4.a Provide verbal notification to the Director within 24 hours of detecting the leak; III.E.4.b Submit written notification to the Director within five days of detecting the leak; and III.E.4.c Submit a written schedule for conducting repair within 15 days of detecting the leak, including repair procedures with the following details: Methods used to remove liquids and solids as necessary from the surface impoundment; Management of waste removed; Location of the leak; Repair of the leak; Testing of the repair; and Page 12 of 15 Procedures for resuming operations. III.E.5. Each solid waste surface impoundment shall be operated with a minimum of three feet of freeboard. III.E.6. The Permittees shall operate the solid waste surface impoundment to separate oil from the produced water fraction of E&P waste and shall not discharge the oil into the solid waste surface impoundment. III.E.6.a Hydrocarbon accumulation, other than de minimis quantities, on a solid waste surface impoundment is prohibited. III.E.6.b Any hydrocarbon accumulation on a solid waste surface impoundment shall be removed within 24 hours of the time accumulation began. III.E.7. Overspray including foam, from sprinklers, wind, or enhanced evaporation systems, outside of lined areas shall be prevented. III.E.7.a Operation of enhanced evaporation systems is prohibited when wind speeds at the unit are equal to or greater than 15 mph. If overspray outside of the unit perimeter occurs, the Permittees shall correct and clean up the soil to background levels immediately, or as soon as wind speeds allow. III.F. Security III.F.1. The Permittees shall operate the Facility so that unauthorized entry to the Facility is restricted. III.F.2. To ensure security, the Permittees shall: III.F.2.a Lock all Facility gates and other access routes while the Facility is closed; III.F.2.b Have at least one person employed by the Permittees at the Facility while the Facility is open; and III.F.2.c Construct and maintain all fencing and any other access controls as required by Utah Admin. Code R315-303-3(7)(a) to prevent access to the Facility by the public and large animals. III.G. Training III.G.1. The Permittees shall train on-site personnel in Facility operation, including but not limited to waste load inspection, hazardous waste identification, personal safety and protection, and documentation and notification requirements. III.H. Burning of Waste III.H.1. Intentional burning of solid waste is prohibited and is a violation of Utah Admin. Code R315-303-4(2)(b). Page 13 of 15 III.H.2. The Permittees shall take reasonable steps to prevent igniting accidental fires, maintain adequate fire protection to control any fires that may occur at the Facility, and extinguish all accidental fires that ignite despite these steps as soon as reasonably possible. III.I. Solid Waste Surface Impoundment Deterrence Measures III.I.1. If operation of the Facility results in waste attracting or providing food for vectors or wildlife, the Permittees shall use control methods, such as flagging, netting, or other measures to deter birds and waterfowl from solid waste surface impoundments. III.J. Inspections III.J.1. The Permittees shall comply with the inspection requirements of Utah Admin. Code R315-302-2(5). III.K. Recordkeeping III.K.1. The Permittees shall comply with the recordkeeping requirements of Utah Admin. Code R315-302-2(3)(a), R315-302-2(3)(b)(i), R315-302-2(3)(b)(iii), R315-302-2(3)(b)(iv), and R315-302-2(3)(b)(vi). III.L. Reporting III.L.1. The Permittees shall comply with the reporting requirements of Utah Admin. Code R315-302-2(4). III.M. Roads III.M.1. The Permittees shall maintain all access roads at the Facility that are used for transporting waste to assure safe and reliable all-weather access to, from, and within the Facility. III.N. Groundwater Monitoring III.N.1. The Permittees shall maintain existing groundwater monitoring technology or leak detection equipment and associated monitoring at the Facility. IV. CLOSURE AND POST-CLOSURE PLANS IV.A. Closure of Existing E&P Facility Other than Solid Waste Surface Impoundments IV.A.1. If the Permittees plan to close an Existing E&P Facility that is not a solid waste surface impoundment, the Permittees shall submit plans to close the Facility to the Director in accordance with the Act and the Rules. IV.A.1.a The Permittees shall submit plans to close the Facility with its Landfarm Transition Plan under Condition III.D. of this Temporary Permit. Page 14 of 15 IV.A.2. The Permittees shall not begin closing an Existing E&P Facility that is not a solid waste surface impoundment until the Director approves the Permittees’ closure plan in writing. IV.B. Closure of Solid Waste Surface Impoundments IV.B.1. If the Permittees plan to close a solid waste surface impoundment, the Permittees shall submit plans to close the solid waste surface impoundment to the Director in accordance with the Act and the Rules. IV.B.1.a The Permittees shall submit closure and post-closure plans for the solid waste surface impoundment to the Director within 90 days of the Effective Date of this Temporary Permit. IV.B.2. The Permittees shall not begin closing a solid waste surface impoundment until the Director approves the Permittees’ closure and post-closure plans in writing. V. ADMINISTRATIVE REQUIREMENTS V.A. Financial Assurance V.A.1. This Temporary Permit shall not become effective until the day the Permittees post such financial assurance in favor of the Division. V.A.1.a The Permittees shall post financial assurance in favor of the Division no later than 60 days after the Issued date of this Temporary Permit equal to or greater than the amounts identified in this Temporary Permit. V.A.2. In the event the Permittees default on their closure and reclamation responsibilities, the Director may use the financial assurance to implement appropriate closure, reclamation, and monitoring activities. V.B. Financial Assurance Annual Update V.B.1. If requested by the Director, the Permittees shall update the financial assurance to adjust for inflation or facility modification that would affect closure or post-closure costs in accordance with Utah Admin. Code R315-309-2(2). If applicable, the Permittees shall provide this update to the Director as part of the Annual Report required by Utah Admin. Code R315-302-2(4). V.C. Temporary Permit Revocation V.C.1. This Temporary Permit is subject to revocation if the Permittees fail to comply with any condition of this Temporary Permit. The Director will notify the Permittees in writing prior to any proposed revocation action and such action shall be subject to all applicable procedures established under Utah Admin. Code R315-124-5 and the Utah Administrative Procedures Act, Utah Code § 63G-4-101 et seq. Page 15 of 15 V.D. Temporary Permit Modification V.D.1. Modifications to this Temporary Permit may be made by the Permittees or by the Director in accordance with the procedures specified in Utah Admin. Code R315-311- 2. V.D.1.a The Permittees may initiate a modification by submitting a written request to the Director. The Director may initiate a modification by giving written notice to the Permittees. V.E. Temporary Permit Expiration and Class VII Facility Permit Application V.E.1. This Temporary Permit shall expire 12 months from the Effective Date. V.E.2. Within 180 days of the Effective Date of this Temporary Permit, the Permittees shall submit a Class VII Facility permit application to the Director that complies with the Act and the Rules. V.E.2.a If the Permittees submit a complete Class VII Facility permit application within 180 days of the Effective Date of this Temporary Permit, the Permittees may continue to operate during the permit review period and shall continue to comply with the conditions of this Temporary Permit. V.E.2.b If the Permittees fail to submit a Class VII Facility permit application within 180 days of the Effective Date of this Temporary Permit or fails to submit a complete application within the same time period, the Permittees are prohibited from receiving waste upon expiration of this Temporary Permit unless a renewal or extension is approved in accordance with Condition V.F.1. of this Temporary Permit or until the Permittees submit and receive approval of a Class VII Facility permit application. V.F. Temporary Permit Renewal or Extension for Good Cause V.F.1. This Temporary Permit shall neither be renewed, nor its duration extended, unless the Permittees demonstrate good cause for renewal, and the Director extends the duration of this Temporary Permit in writing. VI. ATTACHMENTS Attachment #1 – Chapita Waste Management Facility Plan of Operation Attachment #2 – Seep Ridge Waste Management Facility Plan of Operation