New equipment will be an add-on to existing operations in St. John’s
Crosbie Industrial Services Ltd. is planning to expand its ability to handle drilling mud in the province.
The company has proposed the addition of new equipment to its Logy Bay Road site, allowing it to treat the mud — a byproduct of oil exploration and development — before it is sent to a waste disposal facility.
Waste drilling mud is already held at the site until it can be shipped to an approved disposal site out of province.
Crosbie Industrial is not the only company taking offshore waste and shipping it out of province, said Paul Barnes with the Canadian Association of Petroleum Producers.
However, the infrastructure upgrade proposed by Crosbie Industrial could ultimately lead to less waste being sent to other provinces, specifically Nova Scotia and New Brunswick.
“The purpose of this undertaking is to develop a full treatment option for waste drill muds that allows for the local disposal of the final product,” reads a description submitted by the company to the provincial Department of Environment and Conservation.
“(Crosbie Industrial) proposes to add a pug mill operation along with a lime holding tank to the current holding tanks and water treatment systems at Logy Bay Road. The pug mill would be used to solidify and stabilize the waste drill muds for full treatment to allow for local disposal.”
The proposal has passed environmental assessment. It was registered May 13 with the provincial government and released from further assessment July 9.
City of St. John’s spokeswoman Jennifer Mills said the municipal government is aware of the project and the proposal raised no red flags. Specifically, the planned addition falls within the bounds of the company’s current property and existing “industrial use” zoning.
Dave Warren, general manager for Crosbie Industrial, has confirmed the environmental approval for the new drill mud treatment equipment.
He said the company will be in a better position to comment further on its plans a little down the road.
Obtaining the additional equipment and getting it up and running at the Logy Bay Road site, is expected to cost about $1.12 million.
In addition to the environmental approval, the start of mud treatment will require an amendment to the “certificate of approval” for site industrial operations, as issued by the provincial government.
The company has stated, with approvals, it could have its new equipment in operation by Aug. 1.
(This is a corrected version)