Management of Mercury from Decommisioning of Chlor-Alkali Mercury Cell Plants

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Management of Mercury from Decommisioning of Chlor-Alkali Mercury Cell Plants UNEP Global Mercury Partnership Supply and Storage Experts Group Meeting Madrid, October 25-26th, 2016 Jorge BARCELÓ Ercros, S.A. Chlor-Alkali Plant Manager Flix (Tarragona)

KEY FIGURES Headquarters Av. Diagonal 593-595 08014 Barcelona (Spain) Incorporation Social structure 1989 merger between ERT and CROS Stock company. Shares quoted on The Spanish stock exchange Share capital Divisions Workforce 1 Sales 2 Exports 2 1 Average year 2015 2 Year 2015 34,23 million Euros (100% free float) -Chlorine Related Businesses (Basic Chemicals and Plastics) -Intermediate Chemicals -Pharmaceuticals 1,369 workers/11 facilities 618.27 million Euros 49% of sales 2

Other products Potassium Chloride Flow of the Activity What do we buy? Moulding compounds Chlorine What do we sell? Fusidic acid Gas Electricity Glues and resins PVC Ethylene Potash Methanol Chloroisocyanurates Caustic soda Where do we sell? World 3 Pentaetritol Paraformaldehyde To which sectors do we sell? Pharmaceutical Food OECD 2 Spain Paints Chemical EU 1 Wood 1 Except Spain 2 Except EU countries 3 Rest of the world Rest: 11% Construction 3

Industrial Structure Division Facilities Products Applications Basic Chemicals Cardona, Flix, Tarragona, Sabiñánigo and Vila-Seca I Caustic potash Caustic soda Chlorine Chloroisocyanurates Hydrochloric acid Sodium chlorate Sodium chloride Sodium chlorite Sodium hypochlorite Chemical industry General industry Derivatives manufacturing Swimming pools General industry Paper pulp bleaching Chemical industry Water treatment Water treatment Plastics Monzón and Vila-seca II EDC PVC VCM VCM manufacturing Construction PVC manufacturing Intermediate Chemicals Almussafes, Cerdanyola and Tortosa Formaldehyde Glues and resins Moulding compounds Paraformaldehyde Pentaerythritol Sodium formate Derivatives manufacturing Wood industry Electrotechnics Resins Paints Tanning industry Pharmaceuticals Aranjuez Erythromycin Fusidic acid Phosfomycin Antibiotic Skin infections Antibiotic 4

5

Production Facilities 6

Chlor-Alkali Facilities Installed Chlorine production capacities (2014) Site Products Technology Capacity (kt Cl 2 /year) Sabiñánigo Cl 2 -KOH Membrane 30 Vila-seca Cl 2 -NaOH Membrane 55 Vila-seca Cl 2 -NaOH Mercury 135 Flix Cl 2 -NaOH Mercury 88 7

Ercros in Flix (Tarragona): recent experience Electrolytic Unit IV-A (commisioned in 1975, shut-down in 2009) Technology: Mercury cathode, DeNora cells 14M2 y 14M3 Design Capacity (after expansion in 1986 ): 70,000 t/year 8

AERIAL VIEW OF THE DECOMMISIONED FACILITIES 9

Electrolytic Unit IV-A Decommisioning Major Milestones Previous phase: - Safe shutdown (emptying and cleaning of all the equipments) - Transferring clean mercury into suitable containers and temporal storage in a restricted area of the cell room - Disassembling of equipment containing mercury (skilled maintenance personnel under supervision of technical production personnel) Decommissioning: - Creation of Decommissioning Project Team (multidisciplinary, with internal auditory) - Decommisioning Project based on technical Guidelines (EuroChlor), internal procedures) and HSE requirements - Construction of a temporary mercury Storage according to legal requirements and transport of mercury containers inside - Decommisioning of the cell room and auxiliary installations (subcontracted) with specific decontamination procedures depending on the material 10

Flix Site Temporary Mercury Warehouse Mercury Recovery: -Emptying decomposers, cells and mercury pipes -Recovery from equipment (sodium hydroxide and hydrogen pipes and vessels) -Recovery from cell room during dismantling Cleaning with water to achive purity criteria Filling into suitable containers (steel made, drop and impact resistant, tight closure) Building a storage according to legal requirements: -Secondary containment for retaining 110% of any single container -Well lit and weatherproof -Impervious and resistant floor -Fire alarms -Mercury concentration monitoring -Restricted area and periodically monitored 11

Temporary Mercury Warehouse Flix Facility 12

Close future November 2017: Mercury plants will shut down RECOVERY OF ALL MERCURY COMING FROM CELL ROOM EQUIPMENT BEFORE AND DURING DECOMMISIONING MAIN PROBLEM: METALLIC MERCURY BECOMES A RESIDUE - Enough suitable containers for temporary storage - Conditioning of temporary warehouse/s - Monitoring, maintenance and surveillance of temporary warehouse/s - Mercury disposal 13

Temporary mercury storage Requirements: Technical (Directive 2011/97/EU and BAT specifications) HSE (Seveso III Directive obligations) Integrated Environmental Authorisation Operational (monitoring, maintenance and surveillance) 14

Company Approach about Mercury Disposal EU regulatory compliance Technically and safe disposal process to transform mercury in an irreversible and stabilized material Legal certainty of transfering of responsibility over the residue Need for Availability of treatment capacity within a reasonable period of time (limited by regulatory authorities?) Phased plan of disposal (high cost operation) 15

Thank you for your attention Jorge Barceló Hernández jbarcelo@ercros.es Madrid, October 25-26th, 2016 16