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HomeMy WebLinkAboutDWQ-2024-006272Fact Sheet and Statement of BasisUnderground Injection and Control (UIC) Class III Area PermitMajor ModificationUTU-27-AP-9232389September 2024 Location: Millard County, Utah Operator: NGL Supply Terminal Solution Mining, LLC; a wholly owned subsidiary of Sawtooth Caverns, LLC Facility Contact: Justin Anderson Co-CEO Sawtooth Caverns 4505 S Wasatch Blvd. Suite 130 Salt Lake City, Utah 84124 Justin.anderson@sawtoothcaverns.com Tel. 701-339-3207 Regulatory Contact: Porter Henze Utah Division of Water Quality 195 North 1950 West Salt Lake City, UT 84116 pkhenze@utah.gov Tel. 801.536.4356 Purpose of the Fact Sheet Pursuant to section §124.8 of the Underground Injection Control (UIC) regulations in Title 40 of the Code of Federal Regulations (CFR) which is incorporated by reference in the Utah UIC Administrative Rules (R317-7), the purpose of this fact sheet is to briefly describe the principal facts and considerations that went into preparing the major modifications of this permit by the Division of Water Quality (DWQ), the UIC permitting authority. To meet these objectives, this fact sheet contains a description of the permitted facility, a description of the injectate, information on the permitting process, a statement of basis for setting permit conditions, and the reasons for specific permit modifications. Brief Description of the Facility Sawtooth currently operates a facility in which various liquefied hydrocarbon products are stored in solution-mined, underground caverns which are created in a thickened salt body located approximately 9 miles north of Delta, Utah in Millard County. The storage caverns are created by solution mining the salt body with fresh water. Brine created by the solution mining process is stored in nearby surface solar evaporation ponds and later used in the operation of brine-compensated caverns to bring liquefied product to the surface. Description of Injectate The storage caverns are created by solution mining with fresh water. Brine created by the solution mining process is stored in nearby surface solar evaporation ponds which are regulated by Ground Water Discharge Permit UGW270010. The completedcaverns are then used to store and recover gaseous hydrogen by injection and recovery under pressure as regulated by UIC Class V permitUTU-27-AP-718D759. The hydrogen is generated on site by electrolysis of water and is used to generate electricity by combustion. Information on the Permitting Process The Class III Permit Major Renewal and Modification was prepared by the DWQ for public notice according to 40 CFR§144.39 which is incorporated by reference by R317-7-1. Public comments were accepted by DWQ for 30 days following the first day of public notice in the local newspaper that served the affected community. No comments were received. Statement of Basis for Establishing Permit Conditions The basis for permitting for the UIC Class IIISolution Mining area permit is to ensure compliance with the Utah UIC administrative rules for Class III &V injection well activities, R317-7. Sawtooth has requested that the permit boundaries be updated and add boundary changes as a minor modification. Permit language regarding permit duration has also been updated. Summary of Conditions of the permit for Hydrogen Storage Duration of Permit Language Change The Modification alters the language regarding permit duration found under Part III(A) of the permit to a length of five (5) years. Prior Language: “The Director of the Division of Water Quality (hereafter ‘the Director’) shall review this permit once every five (5) years to determine whether it should be modified, revoked and re-issued, terminated, or undergo minor modification according to the conditions of Part II (D)(6) of this permit.” Corrected Language: “This UIC Class III Solution Mining permit shall be issued for a five (5) year period.” Modify Existing Boundaries Sawtooth has requested that the boundary for the UIC area permit for both the Class III permit be modified. The new permit boundary can be found in Attachment B of the Permit. The permit area has been altered as requested. Boundary change as a Minor Modification Under CFR § 144.41, the director may modify a permit to make the corrections or allowances under a minor modification without the need for a public notice as required in § 144.39. Previously, UDWQ had modified ACES Class IIIPermit UTU-27-AP-718D759 to classify boundary changes as a minor modification. Sawtooth has requested to add the same provision in the Class III permit under Part III.J.2. Language: “Changes in the permit area boundary may be made through a minor modification of the permit according to Part II (D)(6)(c) of this permit.”