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First Train, $6.5 Million In Crude Oil Rolls Into Walnut Hill Transfer Station

Monday afternoon, a train loaded with about $6.5 million worth of crude oil rolled into a new crude oil transfer station in Walnut Hill, the largest such facility in the United States.

Genesis Rail Systems, LLC  has complete phase one of the facility on 20 acres that fronts Corley Road near Arthur Brown Road. The property was chosen because it is at the intersection of an existing crude oil pipeline and the Alabama & Gulf Coast Railway. From the location, crude will flow primarily to a Shell facility near Saraland, Ala., and potentially to other refineries along the Gulf Coast.

By about 2:00 Monday afternoon, final adjustments were underway on the facility in anticipation of the first train — and 69,000 barrels of oil in 104 tanker cars. As the arrival time neared, workers stood around with excitement.

For a photo gallery, click here.

“I hear the train a comin’, It’s rollin’ ’round the bend.”  -one worker sang those lines from a classic 1955 Johnny Cash song out loud  as he waited. Then a  quick cheer erupted when the locomotive horn blasted as the BNSF train approached the nearby Arthur Brown Road crossing.

It will take about 15 employees 36 hours to unload the first train. Tanker cars are positioned on two side tracks over 3,700 feet of 16-inch underground pipe. The area is covered with a thick liner to catch any spill. During the process, flexible pipes are first hooked to tanker cars, and then a pumping system offloads the crude.

A crude oil pipeline from Jay rises to the surface at the facility. The flow from oilfields in the Jay area is cut, and the crude from the Walnut Hill train is injected into the pipeline.

The process is simple enough, but it is controlled by a sophisticated computer system that monitors the operation and allows for an instant stop in the event of any problem.

Presently, the facility can inject 2,500 barrels per hour into the pipeline. That capacity will increase to about 5,000 barrels — almost a half million dollars worth — of crude oil per hour by January 2013 once a 100,000 barrel storage tank is completed.

“It’s a very safe process,” Terminal Manager Travis Baggett said Monday afternoon. “There are a lot of safety checks in place.”

Workers are required to wear fire suits and  hydrogen sulfide alarms. Small amounts of hydrogen sulfide — a colorless and very poisonous gas — occur natural in crude oil and could be released from a tanker car. But any such release would be very small and would quickly dissipate into the atmosphere and pose no danger to those around the Walnut Hill Transfer Station, Baggett said.

Those around the plant will not be bother by noise or even light pollution as the facility runs 24/7.  The offload process is almost silent from outside the facility, Baggett said. The pumps can’t be heard from outside the transfer station, but residents might here “little popping noises” from the springs on the rail tanker cars as crude oil is removed and the cars rise. At night, a modern LED lighting system ensure that bright lights won’t disturb neighboring homes.

The crude oil offloaded in Walnut Hill begins its four-day rail journey in North Dakota. The facility will eventually receive about one train of up to 118 tanker cars per day.

Back in June, an estimated 800 people stood in line for hours at the Walnut Hill Community Center in hopes of being hired for the oil transfer station.  About 15 were hired, with the payroll expected to increase to about 30 people. The positions pay from $16 to $20 per hour.

For a photo gallery, click here.

Pictured top: Workers watch as the first train load of crude oil arrives at a new transfer station in Walnut Hill Monday afternoon. Pictured top inset: The facility can process up to 118 tanker cars at a time. Pictured middle inset: Individual offload stations. The taller white pipes are used to bleed off any air in the system. Pictured bottom inset: The system is computer controlled. Pictured below: Pumps that offload crude oil from a train before it is injected into a pipeline.  NorthEscambia.com exclusive photos, click to enlarge.