Fire-fighters say close dousing Total's UK fuel depot fire

London (Platts)--13Dec2005

Fire-fighters have extinguished all but three fuel storage tanks at
Total's Buncefield fuel terminal in southeast England following the blast and
fire which destroyed the UK's fifth largest fuel depot on Sunday. 
      About 150 fire-fighters continued to tackle the blaze Tuesday after
extinguishing fires in 17 of the 20 fuel tanks ignited, police said. However,
satellite imaging showed an immense column of smoke still pouring out of the
Buncefield depot, stretching for more that 70 miles across southern England.
      The 20.3-mil gallon Buncefield fuel terminal was about half full when a
blast ripped through the 26 tank site early Sunday, destroying 20 tanks in
ensuing blaze.
      The blast, described as the biggest of its kind in peacetime Europe,
sent flames hundreds of feet high and thick black smoke billowing across
southern England. It caused only 43 injuries and no deaths.
      Total officials said the fire was mostly gasoline and diesel stocks,
with some 2-mil liters of jet fuel at the depot unaffected. 
      The depot, northwest of London, is a major hub on the UK oil pipeline
network holding 5% of the UK's road fuels and serving southeast England.
      Total said it expects only short-term supply disruptions as it
reorganizes its fuel deliveries in southeast England. But it said it is still
seeing panic buying of fuel at the pumps, which is straining efforts to
restock retail sites from alternative fuel depots.
     Pipeline deliveries of jet fuel from the depot to the UK's biggest
airports Heathrow and Gatwick remain suspended but the airports have said they
are sourcing sufficient fuel from alternative pipelines.
      Deputy Prime Minister John Prescott said Monday the government will
provide support and assistance after the fire.
      A Total spokeswoman said the company still believes the incident was
accidental but is waiting for the fire service to secure the site before
starting investigations into the cause of the fire.
      Full investigations will be carried out by the government Health and
Safety Executive, Environmental Agency, Police, and Total's in-house
investigators, the official said.
      According to reports, insurers have estimated initial claims for the
loss of stocks and the plant damage could reach $70-mil but third party
liability claims due to damage to surrounding businesses could reach a further
300-mil. 
     "We are insured," a company spokeswoman said. "We are in discusses with
our partners but only after a full investigation is compete will we release
these figures."
      The wider Buncefield site is also used by the British Pipeline Agency
which is a 50-50 joint venture between Shell and BP.  BP said Monday its fuel
stocks have not been affected by the explosion, but Shell said its facilities
have "extensive damage" which it has yet to quantify.
--Robert Perkins, robert_perkins@platts.com

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