Yarraville Terminal

2017 Safety Case

Summary
Contents

03
Glossary
09
Yarraville Terminal Overview
11 Schedule 9 Materials

04
Message from the Yarraville
Terminal Manager
12
Safety Case - Summary

05
13 Safety Management System

Safety Assessment

14 Hazard Register

Potential Major Incidents

Mobil in Australia
15 Control Measures
06 Safety Policy
Emergency Shutdown Systems

07
Emergency Response Plan

16 Community Response

17
Introduction
08 What is a Major Hazard Facility?

What is a Safety Case?

Appendix ii – Licence to Operate
What are Schedule 9 Materials?
a Major Hazard Facility
What is a Potential Major Incident?

20
Need More Information?

2
Glossary

So far as is reasonably practicable (SFARP) The Major incident (MI) An uncontrolled incident,
measure of risk after implementation of control including an emission, loss of containment, escape,
measures that eliminate or reduce risks to so far as fire, explosion or release of energy, that:
is reasonably practicable. a) involves Schedule 9 materials, and
b) poses a serious and immediate risk to health
Consequence The outcome of an event or incident and safety.
expressed qualitatively or quantitatively, being loss,
injury, disadvantage or gain. Mitigation Measures implemented in advance of an
unplanned event aimed at decreasing or eliminating
Control Measure Measures for prevention or its impacts.
mitigation of a potential major incident by reducing
the likelihood of a potential major incident and/or of OHS Regulations Occupational Health and Safety
reducing the magnitude or severity of Regulations 2007 (Vic). The Safety Case was
the consequences. developed in accordance with these regulations,
which were applicable at the time of the
Mobil Oil Australia or Mobil Means Mobil Oil
submission. Yarraville Terminal continues to
Australia Pty Ltd, the entity that has management
maintain compliance with the latest regulations.
and operational control of Yarraville Terminal and is
therefore defined as the designated “operator”
OIMS Operations Integrity Management System,
under the Victorian OHS Regulations 2007.
which is Mobil’s safety management system.

Hazard Physical or chemical process, procedure or

Risk A product of the likelihood of a potential major
circumstance at the terminal which could result in a
incident and the severity of associated
potential major incident.
consequences to persons both on site and off site.

HAZID Hazard Identification process.

Safety Case A Safety Case is prepared or revised
under Part 5.2, Division 4 of the Occupational
Incident A specific event or extended situation that
Health and Safety Regulations 2007. The Safety
has an undesirable and unintended impact on the
Case must demonstrate that the facility is operated
safety or health of people, on property, or on
and maintained in a safe manner.
the environment.

Likelihood A qualitative description of probability Safety Assessment A process of:

and frequency. • Potential major incident and hazard (cause)

identification (HAZID)
Local community Local community includes • Risk assessment
members of the general public who reside in, or are • Control Measures analysis
in management and control of workplaces, or of • So Far As is Reasonably Practicable Assessment
places where persons gather for recreational,
cultural, or sporting purpose, located in the Schedule 9 material Means a material mentioned in
surrounding area, whose health or safety could be Tables 1, 2 and 3 of Schedule 9 of the OHS
adversely affected by a major incident at Regulations 2007.
the terminal.
WorkSafe Victoria The safety regulator in Victoria
Loss of containment Unplanned release of product responsible for assessing Safety Cases and issuing
to the atmosphere. operating licences to major hazard facilities.

3
Message from the Yarraville
Terminal Manager
In keeping with our corporate values, safety is Mobil Oil
Australia’s core value and we are committed to protecting
the health and safety of our workers and the local
community. We put safety first in everything we do in
operating the Yarraville Terminal, so that we can achieve
our goal of Operational Excellence.
Since operations commenced at Yarraville Terminal We are committed to ensuring safety at Yarraville
in 1926, Mobil has been proactive in assessing the Terminal, and indeed across all our facilities, remains
risks that may be present in our operations, a core value.
identifying any hazards and implementing controls
to manage those hazards. In keeping with these
efforts, the Yarraville Terminal Safety Case is the
product of an extensive process that involved a
comprehensive review of the terminal’s operations.
This work and the resulting safety systems
described in the Safety Case are designed to create
a safe workplace and a culture that truly values the Michael Singh
safety of those working here and the Yarraville Terminal Manager
surrounding community.

While the Yarraville Terminal Safety Case and this

Safety Case Summary have been developed to
comply with the Occupational Health and Safety
Regulations 2007, Mobil’s approach to safety and
corporate citizenship extends beyond strict
compliance with applicable laws. We strive for
operational excellence, and are committed to
engaging with the communities in which we
operate, and helping them to understand our
business. We believe it is fundamentally important
to maintain open lines of communication with the
community, and have regular formal and informal
communication with Hobsons Bay and
Maribyrnong City Councils, local schools, WorkSafe
Victoria, EPA Victoria, Metropolitan Fire Brigade,
Port of Melbourne and other major hazard facilities
in the industry. We value these relationships and the
open communication created by this engagement,
which helps us to continually improve the way
we operate.

Our goal is to operate in a

way that ensures Nobody
Gets Hurt!

4
Mobil in Australia

Mobil Oil Australia is a subsidiary of ExxonMobil Australia, one

of Australia’s leading gas and oil companies. In Australia,
ExxonMobil operates a refinery in Altona, Melbourne and a
number of product distribution terminals and bulk storage
facilities around the country, including the fuel distribution
terminal in Yarraville, Melbourne. Mobil and BP Australia Pty
Ltd have a joint terminal arrangement at Yarraville Terminal.
Mobil Oil Australia is the owner and operator of the Terminal
as defined in the OHS Regulations.
Fuel products are delivered to the Terminal through fuel, Yarraville Terminal handles fuel that makes its
pipelines from Mobil’s Altona Refinery and Viva way throughout Victoria as well as into Southern
Energy’s Geelong Refinery, as well as by marine New South Wales. Products are transported from
vessels through Port of Melbourne’s Holden Dock the Terminal to wholesale customers and end users
facility. Any products that are not immediately in a variety of ways, including by road, pipeline,
loaded-out are stored in one or more of the and ship.
Terminal’s 28 bulk fuel storage tanks.
Mobil is committed to maintaining safe and
Yarraville Terminal is the largest fuel storage and environmentally responsible operations at all of its
distribution terminal in Melbourne, supplying sites and focuses on reducing the risk of any
around one third of Victoria’s fuel needs. Being the potential major incident to so far as is reasonably
largest fuel distribution terminal in Victoria for the practicable at all its sites, including
bulk supply of petrol (gasoline), diesel and aviation Yarraville Terminal.

5
ExxonMobil’s Safety Policy

The Yarraville Terminal is Accordingly, the Company’s policy is to:

• design and maintain facilities, establish
operated in accordance with management systems, provide training and
ExxonMobil’s global Safety conduct operations in a manner that safeguards
people and property;
Policy. This policy requires • respond quickly, effectively, and with care to
compliance with all emergencies or accidents resulting from its
operations, in cooperation with industry
applicable laws and organisations and authorised
regulations. The policy also government agencies;
• comply with all applicable laws and regulations,
requires that facilities are and apply responsible standards where laws and
designed to appropriate regulations do not exist;
• work with government agencies and others to
standards, and are operated develop responsible laws, regulations, and
and maintained with standards based on sound science and

systematic identification and consideration of risk;

• conduct and support research to extend
management of safety, health knowledge about the safety effects of its

and environmental risks. The operations, and promptly apply significant findings
and, as appropriate, share them with employees,
Operations Integrity contractors, government agencies, and others
Management System (OIMS) who might be affected;
• stress to all employees, contractors, and others
is Mobil’s safety management working on its behalf their responsibility and
system and provides a accountability for safe performance on the job
and encourage safe behaviour off the job;
structured approach to • undertake appropriate reviews and evaluations of
meeting this commitment. its operations to measure progress and to foster
compliance with this policy.
It is the Company’s policy to conduct its business in
a manner that protects the safety of employees,
others involved in its operations, customers, and the
public. The Company will strive to prevent all
accidents, injuries, and occupational illnesses
through the active participation of every employee.
The Company is committed to continuous efforts to
identify and eliminate or manage safety risks
associated with its activities. This commitment
includes an ongoing improvement of all aspects of
our Operations Integrity Management
System, OIMS.

6
Introduction

This Safety Case Summary provides information about safety

at Yarraville Terminal. It is a summary of the hazards that may
cause a major incident at the terminal, and addresses the
likelihood of such incidents occurring and the control
measures that are in place to prevent or minimise the
consequences of such incidents, should they occur.
Copies of this Safety Case Summary have been We have consulted and worked closely with the
distributed to the Hobsons Bay and Maribyrnong Metropolitan Fire Brigade with regard to
City Council libraries. It is also available on the Occupational Health and Safety Regulations
ExxonMobil Australia requirements and, in particular, when developing
website (www.exxonmobil.com.au). emergency response procedures for all potential
major incidents at Yarraville Terminal.
The Safety Case for Yarraville Terminal has been
developed in consultation with both the Hobsons Mobil employees, including our Health and Safety
Bay and Maribyrnong City Councils to ensure Representatives, are also actively involved in
community interests are observed and protected. developing and implementing operating and
Importantly, we have discussed this Safety Case maintenance procedures for new projects and in
with the Emergency Response Managers for each conducting risk assessments, audits
council to ensure that emergency arrangements and inspections.
and communication are consistent between
all parties. As part of Mobil’s commitment to continued
improvement, the Safety Case is reviewed and
In addition, we have discussed the Safety Case updated regularly. In addition, this Summary
development with the community at our Yarraville document will be updated, as required, to ensure it
Terminal Community Liaison Committee meetings, continues to accurately reflect the operations of
which are held in November and May each year. Yarraville Terminal.

7
What is a Major Hazard Facility? maintained in a safe manner. The Yarraville Terminal
A major hazard facility is defined by the Safety Case was verified and accepted by WorkSafe
Occupational Health and Safety Regulations 2007 and the current licence to operate was issued in
as an industrial site that stores, handles or processes December 2017 for a five year period. A copy of the
large quantities of hazardous materials, including licence is included in the Appendix.
chemicals and dangerous goods that are above the Mobil has systems in place to ensure that the Safety
threshold levels detailed in Schedule 9 of Case and its requirements are maintained, reviewed
the Regulations. and revised in accordance with the OHS
Regulations. This includes assessing the need for re-
A facility that stores or handles hazardous material submission of the Safety Case when significant
above the threshold quantities must be registered as changes have occurred at the Terminal.
a major hazard facility. Yarraville Terminal handles
refined petroleum fuels above the threshold What are Schedule 9 Materials?
quantity of some of these ‘Schedule 9 Materials’ Schedule 9 of the OHS Regulations defines what
and was first registered as a major hazard facility in materials must be considered in the scope of the
2002, when this regulatory requirement came Safety Case. The scheduled materials at Yarraville
into force. Terminal are discussed in detail in the ‘Hazardous
Materials’ section of this document.
What is a Safety Case?
The Occupation Health and Safety Regulations What is a Potential Major Incident?
2007 require that all major hazard facilities have a A potential major incident is an uncontrolled
licence to operate. To obtain a licence, a facility incident, including an emission, loss of containment,
must submit a Safety Case for assessment by escape, fire, explosion or release of energy that
WorkSafe Victoria. The Safety Case must involves Schedule 9 materials and poses a serious
demonstrate that the facility is operated and and immediate risk to health and safety.

8
Yarraville Terminal Overview

Yarraville Terminal was constructed in 1926 for the supply of

products into the Victorian marketplace. Initially the Terminal
consisted of four fuel and 20 lubricant tanks, with products
shipped in from overseas.
Yarraville Terminal was upgraded to accommodate Refined products are transported to Yarraville
Altona Refinery production from 1949. In 1987 an Terminal by pipeline from Mobil Altona Refinery and
expansion of the Yarraville Terminal lubricant from Viva Energy’s refinery in Geelong or by ships at
facilities were expanded and Holden Dock Holden Dock. Refined products are normally
was upgraded. distributed from the Terminal by truck with road
tankers transporting approximately eight million
In 2011 lubricant oil blending and packaging litres of bulk refined product per day from the
operations at the Terminal ceased and Terminal predominantly to customers in Victoria
decommissioning of those facilities was finalised in and Southern NSW. On occasion, refined
2012. Also in 2012, ethanol storage and blending blendstocks are distributed from Mobil Altona
facilities were commissioned at the Terminal. Refinery via Yarraville Terminal to ships at Holden
Dock. Yarraville Terminal handles approximately 120
Mobil is continuing to invest in fueling Victoria with marine tankers each year via Holden Dock.
the recent construction of two new product tanks at
Yarraville terminal along with the construction of a Before being collected by road tankers or loaded
jet fuel pipeline which connects the terminal to the onto ships, fuel products are stored in the Terminal’s
Somerton pipeline to support the supply of fuel to tank farm, with a total capacity of 120 million litres
Melbourne airport. in the main compound and 40 million litres in the
lower compound. The tanks contain varying
Today, Yarraville Terminal is a major Victorian quantities of Schedule 9 flammable substances,
distribution terminal for bulk petrol, diesel and including various grades of petrol, jet fuel,
aviation jet fuel. The terminal operates 24 hours a hydrocarbon slops and ethanol, and non-Schedule
day, 365 days a year and occupies an area of 9 substances, including diesel. Several other tanks
approximately 15 hectares in the inner Melbourne contain either water or are currently
suburb of Yarraville. The site has been licensed to decommissioned and oil-free.
operate as an MHF since December 2002 when the
Major Hazard Facility regulations commenced. Yarraville Terminal is located within the boundaries
of the City of Hobsons Bay, however it borders the
City of Maribyrnong. Consequently, we have
Approximately three billion consulted with both councils during the
litres of refined fuel products development of this Safety Case. There are limited
buffers between the Terminal and mixed
pass through the Yarraville commercial and residential zoned areas to the west
Terminal each year. and northwest. The nearest residents are
approximately 20 meters from the site boundary in
these directions. Stony Creek backwash is located
to the south of the Terminal, while the Yarra River
borders it to the east.

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10
Schedule 9 Materials
Yarraville Terminal handles and stores a number of Yarraville Terminal also handles and stores
materials that are classified as Schedule 9 materials non-Schedule 9 materials that are combustible
under the OHS Regulations. These materials are such as diesel fuel.
predominantly stored in the tank farm, however
they may also be in transit through terminal
pipelines, marine vessel transfers and truck loading.

Material Common Names Description

Flammable materials Petrol Liquids which meet the criteria for Class 3
Jet Fuel Packaging Group II and III materials
Slops
Ethanol

11
Safety Case Summary

The Safety Case demonstrates how Yarraville Terminal is being

managed and operated safely to ensure that risks to personnel
are reduced and that potential damage to property, the
environment and the community is minimised. In particular, the
Safety Case illustrates how the major hazards at Yarraville
Terminal are identified, understood and controlled. It also
facilitates further continuous improvement in our safety and
reliability performance and provides a mechanism to
demonstrate compliance.

Figure 2 – SFARP

SFARP To make a workplace safe you must ensure that the risks have been
reduced to So Far as is Reasonably Practicable (SFARP)

Identify Hazards Facility Description

• Explains the facility layout, equipment and processes.
Must know your facility
• Necessary to be able to identify hazards

Assess Risks Safety Assessment

• A process of hazard and potential Major Incident identification, risk
So that risks can
assessment, control measures analysis and so far as is reasonably
be controlled
practicable assessment

Identify Controls Safety Management System

• A comprehensive integrated system for managing or organizing safety
So that practical
through implementation of processes, procedures and practices
controls can
• Controls which would result in a significant increase in risk if disabled
be implemented
or ineffective

Performance Performance Standards

Standards • A benchmark, target or reference level of performance set for a control
measure, or an aspect of the SMS against which performance may
Controls remain effective
be tracked

Emergency Emergency Response Procedures

Response • Identify the potential consequences from a Major Incident and
pre-plan combating strategies and steps, considerations and
Response controls
recovery procedures
in place

12
Safety Case Summary

Safety Management System Safety Assessment

The Operations Integrity Management System (OIMS) A key step of the Safety Case process is to involve
is Mobil’s safety management system. OIMS provides employees in completing a thorough safety
a structured framework to identify and control risks by: assessment of the Yarraville Terminal. The safety
• defining the scope and objectives of the safety assessment identifies hazards that could potentially
management systems lead to a loss of containment, and major incidents
• establishing procedures for the management that could potentially occur if the hazards were not
of hazards effectively managed. We then assess the likelihood
• identifying responsibility and accountability and consequences of each of these potential major
• determining functional verification incidents. And finally we identify the controls
and measurement already in place to eliminate and reduce the risk of a
• providing feedback mechanisms that ensure the major incident occurring and look at additional
appropriate preventative and mitigation controls at controls that could further reduce the risk so far as
Yarraville Terminal are implemented, maintained is reasonably practicable. Mitigations include
and remain effective. controls that reduce the magnitude and severity of
consequences to people both onsite and offsite.
OIMS is subject to extensive ongoing assessment
and review to ensure continuous improvement and
adequate control and monitoring of risks. All
relevant changes are subject to formal change
control processes.

OIMS 11 Elements

“operations”
driver 2. Risk Assessment and Management evaluation
3. Facilities Design and Construction
4. Information/Documentation
5. Personnel and Training
1. Management 11. Operations Integrity
6. Operations and Maintenance
Leadership, Commitment Assessment and
and Accountability 7. Management of Change Improvement
8. Third Party Services
9. Incident Investigation and Analysis
10 Community Awareness and
Emergency Preparedness

13
Safety Case Summary

Hazard Register because all releases of these liquids have the

Another key component of the Safety Case is the potential to cause harm to personnel and the plant
hazard register. This register captures all findings even if they do not ignite. The infrastructure
and assumptions made during the safety considered includes the tank farm, pipelines, pump
assessment process, including hazards that could areas, the Vapour Recovery Unit, wharf operations,
lead to a potential major incident, as well as the truck load rack and other site services.
detailed prevention and mitigation control measures
and examples of the possible consequences of Historically, evidence suggests that the majority of
these potential major incidents. Controls to reduce hydrocarbon releases do not ignite. However,
the consequences and the escalation potential of personnel close to the site of a release may be
major incidents are also documented. Potential harmed by:
major incidents include: • Mechanical energy released
• Un-ignited spills • Health effects of the release.
• Fires
• Explosions. The immediate consequences of an un-ignited
release strongly depend on the direction of the
High contribution hazards that could potentially release and are typically localised.
lead to a release of liquid hydrocarbon if not
controlled and managed are: Off-site risks to close neighbours that may be
• Failure of equipment potentially impacted by a major incident are also
• Failure of operating and maintenance procedures examined in the Safety Case.
• Mechanical impact and vibration
• Over-pressure of pipelines In addition the Yarraville Terminal Safety Case
• Vehicle impact on process piping or equipment includes assessment of the potential for other Major
• Over-fill of storage vessels Hazard Facilities to impact on the safety of the
• Corrosion. Yarraville Terminal as well as any impact on those
sites from the Yarraville Terminal. Facilities
Potential Major Incidents considered in this assessment are Mobil Altona
The Yarraville Terminal safety assessment focused Refinery, Viva Energy Newport Terminal and Caltex
on the loss of containment of hydrocarbons Newport Terminal.

14
Safety Case Summary

Control Measures not detected early enough. Emergency shutdown

In the safety assessment we identify all controls systems are activated if abnormal operating
that have the potential to reduce risks associated conditions are detected, if loss of containment
with a potential major incident. Effective control occurs or to prevent the release.
measures are designed to include compliance with
appropriate standards, ongoing risk assessment, Emergency Response Plan
effective management of change and workforce A comprehensive Emergency Response Plan has
involvement. The focus of these control measures been prepared for Yarraville Terminal. The ERP is
is to: regularly tested (major tests may include the
• Eliminate the hazard community and emergency services) to ensure
• Reduce the likelihood of a major incident efficient and effective response so as to reduce the
• Reduce the potential severity of the major incident consequences should a potential major
• Mitigate the consequences should the major incident occur.
incident occur.
Mobil ensures that adequate resources (people,
The control measures in place to protect against equipment, skills, and consumables) are available at
hazards include: the site, or can be readily obtained, in the event of
• Equipment inspection programs any potential major incidents.
• Permits to do work
• Lifting controls A site-wide emergency alarm system is installed at
• Change approval process the Terminal to enable early warning of an incident
• Vehicle controls (speed limits, entry restrictions, or a potential incident so that potentially hazardous
and ignition controls) areas are quickly evacuated and the consequences
• Operational procedures of an incident for personnel are eliminated
• Shutdown systems or reduced.
• Monitoring and observation of process conditions
• Testing of protective devices The emergency alarm system is the immediate
• Training of personnel to perform their tasks. response to an emergency and comprises
continuous sirens, red flashing lights and continuous
Although the majority of controls at Yarraville ringing bells within buildings.
Terminal eliminate or prevent risks, they are also in
place to ensure that if the unexpected occurs, the The siren is tested weekly at 8:30am on Thursdays.
severity of the incident is minimised (mitigated). Other than at this regular test time, on hearing the
Examples of controls to mitigate the escalation of emergency alarm, all non-essential personnel on
potential major incidents include: site muster at their emergency assembly area for
• Monitoring and surveillance a headcount.
• Emergency shutdown systems
• Fire protection Yarraville Terminal is equipped with extensive fixed
• Safety equipment and mobile fire protection systems, emergency
• Personal protective equipment shut-down and isolation systems and other
• Emergency Response Plan equipment to protect against and combat fire in any
section of the facility.
Emergency Shutdown Systems
Shutdown of equipment items and the isolation of The local emergency services, notably the
equipment and storage areas are controls for Metropolitan Fire Brigade, are consulted and
preventing loss of containment if an abnormal involved in the development of our emergency
situation is detected early enough, or for mitigating response procedures.
the consequences of a potential major incident if

15
Safety Case Summary

Community Response The Terminal also has systems in place for early
The potential major incidents that have been notification to key community contacts including
identified for Yarraville Terminal are local schools and kindergartens. Both Hobsons Bay
predominantly associated with liquid hydrocarbon and Maribyrnong City Councils are kept informed of
release and escalation through fire and/or incidents and can provide information.
explosion (“high consequence events”). The
safety assessment has shown that for the majority Mobil hosts regular Community Liaison Committee
of high consequence events, the impact is meetings and the community is always welcome to
expected to be contained within the terminal attend to ask about the facility and its operations.
boundary. However, some high consequence Mobil provides feedback on incident investigations
events have the potential for offsite impacts. to the community as part of these Community
Events with offsite impacts are considered to Liaison Committee meetings. Community members
have a very low probability of occurring. Mobil can also contact the Terminal directly via its 24 hour
through its Safety Management System applies Community Hotline – 9286 5112.
controls to manage the risk of our operations (see
Safety Management System section). Mobil also offers a free SMS service so that the
Yarraville Terminal can keep interested community
In the event of an incident occurring with offsite members informed during incidents or any other
impact, the Victoria Police have responsibility for event which may cause the community concern. If
managing any necessary evacuation in consultation you are interested in subscribing to this service
with the Terminal and MFB Incident Controller. If details are available on our website
necessary, the police will use the electronic media, at www.exxonmobil.com.au.
including major radio stations 3AW (693 AM), ABC
(774 AM) and local community radio station Stereo Sirens at the Yarraville Terminal are sounded to
974 (97.4 FM) to broadcast information and advice alert on-site personnel only. People in the
to the community. Typical instructions may include community do not need to take action in response
“shelter in place” which could include closing doors to the sounding of these sirens. In the case of an
and windows and turning off air conditioning emergency, Police and other Emergency Services
systems in the event of smoke to prevent it from personnel will direct community members if any
entering properties. If an evacuation is required action is required.
Victoria Police will notify and coordinate with the
local community directly.

16
Appendix ii

17
Appendix ii

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19
Need more information?
This document presents a summary of the Safety Case for Yarraville Terminal. Should you like to know more
about any of the information in this document, please contact Mobil:

Yarraville Terminal Manager Or

Address: 29 Francis St, Yarraville

The Terminal’s Community Hotline provides contact
Telephone: (03) 9286 5061
24 hours a day: PH: (03) 9286 5112.

More information regarding the requirements for

Major Hazard Facilities is available from the
Worksafe Victoria website www.worksafe.vic.gov.
au or via telephone through the WorkSafe Victoria
Advisory Service on 1800 136 089 (toll free).

Yarraville Terminal is operated by Mobil Oil Australia Pty Ltd, an affiliate of Exxon Mobil Corporation. The terms
Corporation, Company, affiliate, ExxonMobil, Mobil, Esso, our, we and its as used in this document may refer to Exxon
Printed April 2018 Mobil Corporation, to one of its affiliates or to any one or more of the foregoing. The shorter terms are used merely for
exxonmobil.com.au convenience and simplicity.