Table Of ContentPROPOSED ANE FACILITY 
KURRI KURRI TECHNOLOGY CENTRE 
FINAL HAZARD ANALYSIS  
  
ORICA AUSTRALIA 
PREPARED FOR:  Richard Sheehan 
  Orica Australia 
   
   
DOCUMENT NO:  J20210-007 
REVISION:  0 
DATE:  24 February 2011 
 
 
 
 
 
   
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A   17 February 2011  Draft for client comment  J Polich  -  -  PDF 
0  24 February 2011  Final Revision  J Polich  P Johnson  J Polich  PDF 
             
             
             
             
             
 
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Title:    QA Verified:   
Proposed ANE Facility  P Johnson 
Kurri Kurri Technology Centre   
Final Hazard Analysis    Date:  24 February 2011 
 
 
Document:  J20210-007 
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CONTENTS 
ABBREVIATIONS ...................................................................................................................................... 6 
1  SUMMARY ........................................................................................................................................ 8 
2  INTRODUCTION ............................................................................................................................. 13 
2.1  Background .............................................................................................................................. 13 
2.2  Objective .................................................................................................................................. 13 
2.3  Scope ....................................................................................................................................... 13 
2.4  Methodology ............................................................................................................................ 13 
2.5  Risk Criteria ............................................................................................................................. 15 
2.6  Limitations ................................................................................................................................ 17 
2.7  Links to Other Studies ............................................................................................................. 17 
3  SITE DESCRIPTION ....................................................................................................................... 18 
3.1  Site Overview ........................................................................................................................... 18 
3.2  ANE Project Overview ............................................................................................................. 18 
3.3  Location and Surrounding Land Use ....................................................................................... 18 
3.4  Site Security ............................................................................................................................. 19 
3.5  Site Layout ............................................................................................................................... 19 
3.6  Australian Standard Separation Distances .............................................................................. 19 
3.7  ANE Plant Process Overview .................................................................................................. 25 
3.8  Technology Centre Existing Facilities...................................................................................... 26 
4  REVIEW OF QRA BASIS AND PROJECT SAFETYSTUDIES ....................................................... 27 
4.1  Review of QRA Basis .............................................................................................................. 27 
4.2  Review of HAZOP.................................................................................................................... 27 
4.3  Review of FSS ......................................................................................................................... 27 
4.4  Review of CSS ......................................................................................................................... 28 
5  HAZARD IDENTIFICATION ............................................................................................................ 29 
5.1  Hazardous Materials for Proposed ANE Plant ........................................................................ 29 
5.2  Hazardous Materials at Existing Technical Centre Facilities .................................................. 31 
5.3  External Events........................................................................................................................ 31 
5.4  Bushfires .................................................................................................................................. 32 
5.5  Potential Hazardous Incident Scenarios ................................................................................. 36 
5.6  Scenarios for Quantitative Assessment .................................................................................. 36 
 
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5.7  Rule Sets for Incident Inclusion ............................................................................................... 37 
6  QRA BASIS ..................................................................................................................................... 46 
7  CONSEQUENCE ANALYSIS .......................................................................................................... 48 
7.1  Overview .................................................................................................................................. 48 
7.2  Effect Levels of Interest ........................................................................................................... 48 
7.3  Explosion Consequence Assessment Assumptions ............................................................... 50 
7.4  Explosion Scenario Consequence Results ............................................................................. 53 
7.5  Onsite Escalation ..................................................................................................................... 58 
7.6  Toxic Effects Consequence Assessment ................................................................................ 67 
8  FREQUENCY ANALYSIS AND RISK RESULTS ............................................................................ 70 
8.1  Individual Fatality Risk ............................................................................................................. 70 
9  RISK ASSESSMENT ....................................................................................................................... 72 
9.1  Individual Fatality Risk ............................................................................................................. 72 
9.2  Explosion Injury Risk ............................................................................................................... 72 
9.3  Escalation Risk (Offsite Property) ............................................................................................ 73 
9.4  Toxic Injury / Irritation Risk ...................................................................................................... 73 
9.5  Risk to Biophysical Environment ............................................................................................. 75 
10  CONCLUSIONS .............................................................................................................................. 78 
 
APPENDICES 
 
APPENDIX A.  HAZARDOUS MATERIALS AND PROCESS DESCRIPTION 
APPENDIX B.  HIRAC INFORMATION 
APPENDIX C.  EXPLOSION OVERPRESSURES CONSEQUENCE MODELLING METHODOLOGY 
APPENDIX D.  QRA SCENARIOS 
APPENDIX E.  SUMMARY OF ASSUMPTIONS 
APPENDIX F.  REFERENCES 
 
 
   
 
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TABLES 
Table 1.1:  Summary of Compliance with Risk Criteria ......................................................................... 12 
Table 2.1:  NSW Individual Risk Criteria, New Plants ........................................................................... 15 
Table 2.2:  NSW Escalation Risk Criteria, New Plants ......................................................................... 16 
Table 2.3:  NSW Risk Criteria, Existing Plants ...................................................................................... 16 
Table 3.1:  Existing Facilities Inventory Summary ................................................................................. 26 
Table 5.1:  NO  Toxicity ......................................................................................................................... 31 
2
Table 5.2:  External Events ................................................................................................................... 31 
Table 5.3:  Proposed ANE Production Facility Hazardous Material Properties .................................... 34 
Table 5.4:  Rule Set for Scenarios Considered in QRA ........................................................................ 38 
Table 5.5:  Hazardous Scenarios Considered in FHA, Proposed ANE production facility ................... 39 
Table 5.6:  Hazardous Scenarios Considered in QRA, Existing Technical Center Facilities ................ 45 
Table 6.1:  QRA Basis, Proposed ANE PLant ....................................................................................... 46 
Table 6.2:  QRA Basis, Existing Kurri Facilities ..................................................................................... 47 
Table 7.1:  Fatality / Overpressure Correlation ..................................................................................... 48 
Table 7.2:  Impact Levels For Toxic Effects .......................................................................................... 50 
Table 7.3:  ANS and AN Explosion Efficency ........................................................................................ 51 
Table 7.4:  TNT Equivalence ................................................................................................................. 52 
Table 7.5:  Separation Distances Between Inventories ........................................................................ 53 
Table 7.6:  Consequence Analysis Results – Overpressures Proposed ANE PLant ............................ 63 
Table 7.7:  Consequence Analysis Results – AS2187.1 Separation Distances Proposed ANE Plant . 64 
Table 7.8:  Consequence Analysis Results – Overpressures for Existing TEchncial Centre Inventories65 
Table 7.9:  Consequence Analysis Results – AS2187.1 Separation Distances Existing Kurri Facilities66 
Table 7.10: Consequence Analysis Results – NO Dispersion ............................................................. 69 
2 
Table 8.1:  Orica Frequency Scale ........................................................................................................ 71 
Table 9.1:  Compliance with Individual Fatality Risk Criteria ................................................................ 72 
Table 9.2:  Compliance with Injury Risk Criteria .................................................................................... 73 
Table 9.3:  Compliance with Escalation Risk Criteria ............................................................................ 73 
Table 9.4:  Compliance with Toxic Injury / Irritation Risk Criteria .......................................................... 74 
 
FIGURES 
Figure 3.1:  Site Location .................................................................................................................. 22 
Figure 3.2:  Kurri Kurri Technical Centre Site Layout ....................................................................... 23 
Figure 3.3:  Proposed ANE Plant Layout .......................................................................................... 24 
Figure 7.1:  Proposed ANE Plant Worst Case Explosion – Aggregate Inventory ............................ 55 
Figure 7.2:  Proposed ANE Production Facility - ANE (maximum storage) Explosion ..................... 56 
Figure 7.3:  Proposed ANE Plant – ANS Storage Tank (largest inventory) Explosion ..................... 57 
Figure 7.4:  Research Magazine and Quarry Services Explosion (Maximum NEQ) ........................ 59 
Figure 7.5:  Research Laboratory Explosion (Maximum NEQ) ........................................................ 60 
Figure 7.6:  Mixing Laboratory Explosion (Maximum NEQ) ............................................................. 61 
Figure 7.7:  Test Cell Explosion (Maximum NEQ) ............................................................................ 62 
 
 
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ABBREVIATIONS 
AEGL  Acute Emergency Guideline Level 
AEMSC  Australian Explosive Manufacturers Safety Committee  
AN  Ammonium Nitrate 
ANE  Ammonium Nitrate Emulsion 
ANS  Ammonium Nitrate Solution 
APZ  Asset Protection Zone 
AS  Australian Standard 
BOS  (Orica) Basis of Safety 
CSS  Construction Safety Study 
CoP  Code of Practice 
DG  Dangerous Goods 
DGRs  (NSW DoP) Director General‟s Requirements  
DoP  (NSW) Department of Planning 
EA  Environmental Assessment 
ERPG  Emergency Response Planning Guideline 
FHA  Final Hazard Analysis 
FRMP  Fire Risk Management Plan 
FSS  Fire Safety Study 
HAZOP   Hazard and Operability study 
HIPAP  Hazard Industry Planning Advisory Paper 
HIRAC  Hazard Identification Risk Assessment and Control 
KI  Kooragang Island 
MAE  Major Accident Event 
ML  Mixing Laboratory 
MMU  Mobile Manufacturing Unit 
MSDS  Material Safety Datasheet 
NEQ  Net Explosive Quantity 
NO  Nitric Oxide 
NO   Nitrogen dioxide 
2
NOx  Oxides of nitrogen (includes NO, NO  and others) 
2
OXS  Oxidiser Solution 
PHA  Preliminary Hazard Analysis 
PW  Protected Works 
QRA  Quantitative Risk Assessment  
QS  Quarry Services depot 
RFS  NSW Rural Fire Service 
RL  Research Laboratory 
RM  Research Magazine 
SHE  Safety Heath and Environment 
TNT  Trinitrotoluene 
tpa  Tonnes per annum 
 
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UK HSE  United Kingdom Health and Safety Executive 
UN  United Nations 
   
 
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1  SUMMARY 
Background  
Orica Australia Pty Ltd (Orica) proposes to build a new Ammonium Nitrate Emulsion 
(ANE) Production Facility at their existing Technology Centre site at Richmond Vale, 
NSW  to  meet  the  projected  regional  ANE  demand  to  2020  and  beyond.  The 
Technology Centre site currently undertakes research and commercial production of 
various Class 1 explosives and Class 5 ANEs. The site is several kilometres away 
from populated areas and the current explosives facilities are well separated from each 
other and site boundaries, as the site complies with the quantity distance rules in 
AS2187.1-1998 Explosives – Storage, Transport and Use Part 1: Storage.  
The proposed ANE Production Facilities comprise the ANE Production Facility or Plant 
and associated infrastructure such as offices and access roads. The proposed ANE 
Production Facility will manufacture Class 5.1 ANEs classified as UN number 3375. 
Materials  meeting  this  classification  are  precursor  materials  which  behave  as 
Dangerous Goods of Class 5 – Oxidisers, rather than as Class 1 – Explosives. These 
materials undergo final processing at the point of use (eg at a mine site) and only 
become explosives at that stage.  
The  NSW  Department  of  Planning  (DoP)  Project  Approval  (09-0090,  July  2010) 
requires that a Final Hazard Analysis (FHA) be prepared in accordance with the DoP 
Hazardous  Industry  Planning  Advisory  Papers  No  6  Hazard  Analysis  Guidelines 
(HIPAP 6) and No 4 Risk Criteria for Land Use Safety Planning (HIPAP 4). 
Orica retained Sherpa Consulting Pty Ltd (Sherpa) to prepare the FHA.  
Purpose and Scope 
The overall objective of the FHA is to develop a comprehensive understanding of the 
hazards and risks associated with the facility and the adequacy of the safeguards.  
The FHA covers the proposed ANE Production Facilities and also potential interactions 
with the existing facilities on the Technology Centre site. The FHA takes into account 
the detailed design and outcomes of the Hazard and Operability study (HAZOP) and 
Fire Safety Study (FSS) for the ANE plant.  
Major Findings 
The risk associated with the ANE plant area has been assessed and compared against 
the DoP risk criteria. 
There have been no changes to the project scope and design since the Preliminary 
Hazard Analysis (PHA) was prepared  which increase or otherwise alter predicted 
offsite risk levels. Therefore the results of the FHA confirm the preliminary results 
presented in the PHA. As per the PHA conclusions, the proposed facility complies with 
all land use safety planning risk criteria. 
 
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Hazardous Incidents 
The potentially significant hazardous incidents identified were: 
  ANE Production Facility - explosions involving raw materials, ie ammonium 
nitrate solutions (ANS) or ammonium nitrate, or emulsion products (ANE) due 
to contamination or external heating. 
  ANE Production Facility – ANS decomposition and toxic decomposition product 
(NOx) formation.  
  Existing  Technology  Centre  facilities  –  explosion  in  existing  Class  1  high 
explosives, ANE or AN facilities. Note there are no significant toxicity impacts 
associated with explosion of high explosives.   
External factors were considered in the hazard identification. Bushfire was the only 
identified external event of potential concern.  
Methodology  
The  assessment  followed  the  methodology  given  in  HIPAP  6  and  also  the  DoP 
guideline Multi-Level Risk Assessment. For this study, sufficient quantitative analysis 
was undertaken to identify the events with the potential to have an offsite impact on 
people or property, including potential escalation effects from or to the existing site 
facilities. 
The  ANE  Production  Facility  assessment  was  prepared  using  maximum  storage 
inventories for individual scenarios, including an assessment of an aggregated Net 
Explosive Quantity (NEQ) to cover an escalation scenario involving all susceptible 
inventories in the ANE Production Facility. Assessment of the existing facilities was 
also conservatively based on the maximum aggregate NEQ for each area. 
  Analysis of the consequences of these incidents on people or property was 
undertaken using a TNT equivalent model for explosion effects and standard 
air dispersion packages for toxic impacts (TNO Riskcurves, BP Cirrus and US 
EPA ALOHA). 
  Evaluation of likelihood of the hazardous incidents occurring was based on the 
order  of  magnitude  frequency  assessments  from  the  qualitative  frequency 
rankings applied in Orica‟s hazard study workshops. Likelihood was assessed 
only  for  those  incidents  where  the  consequence  analysis  showed  offsite 
impacts were possible. 
  Risk levels were compared with risk criteria given in HIPAP 4.    
This is a level 2 risk assessment  as defined in the Multi-Level Risk Assessment 
guidelines. A level 2 approach was selected as the initial consequence assessment 
 
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indicated only a small number of scenarios with the potential to have offsite impacts. 
This approach was confirmed in the FHA. 
Risk Results: 
This  study  has  found  that  there  are  no  neighbouring  hazardous  inventories, 
infrastructure or populations that may be affected by an explosion event. Due to the 
large separation distances between the various hazardous inventories and the site 
boundaries, very few events were identified with potential to cause injury or fatality 
outside the site boundary. For those few events, the population potentially affected is 
very low as the area within a one kilometre distance from the site boundary is largely 
unpopulated. In summary: 
  No  explosion  events  were  identified  associated  with  the  ANE  Production 
Facilities or existing Technology Centre facilities with the potential to affect 
offsite residential or industrial populations, or occupied buildings.  
  No  explosion  events  were  identified  with  the  ANE  Production  facilities  or 
existing Technology Centre facilities with potential to damage offsite property or 
infrastructure.  
  No explosion events were identified which would result in escalation incidents 
between the proposed ANE Production Facilities and existing facilities at the 
Technology Centre. 
  Dispersion modelling of toxic decomposition products (modelled as NO ) from a 
2
worst  case  decomposition  occurring  in  the  largest  ANE  Production  Facility 
inventory demonstrated that there would be no offsite fatality effects. Injurious 
concentrations would not be exceeded in any residential areas. Irritation effects 
were possible in populated areas at a very low frequency (below the irritation 
risk criterion).  
The quantitative risk criteria are complied with as summarised in Table 1.1. 
Safeguards: 
The detail design stage for the project has been completed. Risk assessment activities 
have occurred throughout the design process, including completion of a HAZOP and 
FSS (which were reviewed to prepare the PHA and the FHA). In addition, quantitative 
consequence explosion overpressure results were utilised early in the design process 
to identify required separation distances between inventories and site boundaries, 
determining the production facility location and layout. 
Key safeguards include: 
  Minimisation  of  inventories  to  minimise  offsite  consequences  of  potential 
explosion events. 
  Separation distances from site boundaries and existing facilities.  
 
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Description:PDF. RELIANCE NOTICE. This report is issued pursuant to an Agreement between .. Table 5.5: Hazardous Scenarios Considered in FHA, Proposed ANE  The nearest industrial population or industrial infrastructure is Tasman