The US Environmental Protection Agency (EPA) is requiring lubricant and fuels blender Smitty's Supply to respond to alleged violations involving improper labeling and storage of hazardous waste at its Roseland, Louisiana, facility.
The EPA entered an administrative compliance order on consent on 13 January with Smitty's Supply that requires it to address the alleged mishandling and mismanagement of hazardous waste.
The EPA released its report on 12 January, outlining investigation findings following a fire at Roseland in August. Some of the EPA's discoveries were found outside of areas affected by the fire.
The agency found the Smitty's facility had more than 200 spills, around 250 damaged containers and more than 300 unlabeled containers on site at the time of the investigation.
Inspectors identified 26 areas of concern in the report with the majority highlighting unsuitable management and containment of exceeding levels of hazardous waste.
The Independent Lubricant Manufacturer's Association (ILMA) denounced Smitty's Supply after the report.
"While Smitty's is not an ILMA member, its operation is a black eye for our industry," said ILMA chief executive Holly Alfano.
Smitty's Supply did not immediately reply to a request for comment regarding the EPA findings or the EPA's request to address the findings.
The Roseland blending plant was one of the largest blending plants in the US, particularly for grease production and lubricant packaging.
The August fire briefly tightened finished lubricant and grease availability.
Market participants reported some short-term increases to finished lubricant pricing after the fire because of immediate short-term disruptions.
Following the disruptions, some market participants report that lubricant prices are even lower than in the pre-fire period because multiple blenders are pursuing increased volumes rather than higher margins.
