BAILEY PORT, INC.
MARSHALL COUNTY
ENERGY PROJECT SITE SUITABILITY
2009
Department of Energy Development and Independence Energy and Environment Cabinet
FOREWORD
Mr. Sonny Bailey, of Bailey Port, Inc., submitted this site for evaluation for potential development as an alternative energy facility. The site was evaluated against preliminary criteria which identifies characteristics beneficial for development of a wind, solar, biomass, nuclear, or coal-to liquid (CTL) / coal-to-gas (CTG) facility. This site benefits from its existing utility infrastructure, flexible transportation options, and location within an area primarily utilized by other industrial sources.
Bailey Port, Inc., an operating harbor and port facility (utilized for scrapping old barges and scrap metal sales) with 2,200’ on the riverfront of the Tennessee River, has offered 650 acres to be evaluated as a potential energy facility. The development of an energy facility, whether for CTL/CTG, wind, nuclear, solar or biomass, must consider basic common factors which include assets like access to transportation, general topography, proximity to public access areas, and available utilities.
GENERAL SITE CONSIDERATIONS
Ownership
The site property is owned in fee by Mr. Sonny Bailey of Bailey Port, Inc.
Aerial photograph of development site Bailey Port, Inc. - Marshall County
Size
The site consists of two parcels totaling approximately 650 acres. Five hundred (500) acres of the property consists of undeveloped woodland, an agricultural tract, and two residential properties. The remaining 150 acres (developed port, and coal terminal with approximately 35 acres) is located along the Tennessee River.
Development site – agricultural tract
Topography
A primarily undeveloped tract of land along Highway 1523 (Industrial Parkway) in Marshall County, Kentucky (Calvert City and Little Cypress USGS topographic quadrangles), the proposed site is between 350’ and 330’ Above Mean Sea Level (AMSL), and can be characterized as flat to gently rolling.
Floodplain and Wetlands
Based on information obtained from Flood Insurance Rate Maps, a significant portion of
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the proposed site is located within the 100-year floodplain. It is estimated that a significant amount of groundwork may be required for site development. However, most of the industrial property within the general vicinity of (and including) the proposed site, associated with the Calvert City Industrial Park, lies within the floodplain, which has not hindered the ability to secure construction permits and/or operate these facilities adequately. Groundwork for site development could include construction of appropriate structures (dike walls, berms, etc.) to eliminate flooding potential. Potential mitigation concerns related to the floodplain and will require coordination with the US Army Corps of Engineers (USACE) and the Kentucky Division of Water (KYDOW). Previous correspondences between the KYDOW and the site sponsor, do not suggest difficulty in obtaining a floodplain construction permit for the site (see attached letter).
U.S. Fish & Wildlife Service information indicated that approximately 35% of the proposed site is classified as wetlands. These lie entirely on the south side of the property within the undeveloped portion of the site (across Industrial Parkway) following the path of Cypress Creek and its associated tributaries. The neighboring property adjacent to this undeveloped portion, currently owned by Carbide Industries, LLC, has completed a wetland delineation project, indicating that 126.5 additional acres may be available for development. A copy of the wetland delineation map is attached.
Site Hazards
According to a 2008 FirstSearch Technology Corporation Environmental Database Report, the proposed site is not listed on any environmental database searched for this evaluation. The steel facility located across Shar-Cal Road, for whom Bailey Port receives materials, is listed as a registered hazardous waste generator and as having a registered underground storage tank that has a status of verified removal in 1990. LWD, a former hazardous waste treatment and disposal facility, is listed for a truck transfer station although its main location is not within a mile of the site. Additionally, Purlanco, Inc., listed at 6062 Industrial Parkway, is identified as a small quantity RCRA Generator with a number of violations noted during the 1990s through 2001. This
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address is located on Industrial Parkway west of the proposed site. All other facilities identified are located greater than one half mile from the proposed property.
Oil and Gas Wells
No oil or gas wells that would require closure or relocation for development were identified at the proposed site. A 6-inch gas pipeline runs through the site, but its location along SR1523 minimizes its impact on development.
Sensitive Areas
The proximity of non-attainment areas and Class I Visibility Areas to the site was examined for potential impacts to air quality or limitations on a required air permit for a CTL/CTG or biomass facility. The site benefits by being located more than fifty miles from the nearest air pollution non-attainment area. Based on U.S. Environmental Protection Agency information, there are no non-attainment areas in Western Kentucky, or in the regions of Illinois neighboring the proposed site. Due to the substantial number of chemical and other manufacturers in the area, there are a number of air quality monitors which are part of the ambient air monitoring network located throughout the Calvert City area. The site also benefits by its location more than 150 miles from the nearest Class I Visibility Area (Mammoth Cave National Park) and there are no Class I Visibility Areas identified in neighboring Illinois.
State water data was searched to determine if designated impaired streams in the area might affect discharge requirements for an energy facility. The site is adjacent to the Tennessee River which would be the water source and ultimate discharge location. The Tennessee River at this location is 15 miles from the Ohio River. Use designations for the Tennessee River in accordance with 401 KAR 10:026 include warm water aquatic habitat, primary contact recreation, secondary contact recreation, and drinking water source. The Tennessee River near the proposed site is not listed on 303(d) lists for impaired surface waters. However, based on mapping from the Kentucky Watershed Viewer in conjunction with at KYDOW 303(d) list published in April 2007, a portion of the Cypress Creek near the southeaster perimeter of the property is an impaired
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stream. Suspected causes are pathogens, sedimentation and other unknown causes.
Tennessee River
Siting considerations for any energy facility include the presence of Threatened and Endangered (T&E) species in the area, the presence of significant cultural or historical resources in and around the project area, and proximity to public access areas and airports. The Kentucky Fish & Wildlife Information System indicates that there are ten federally listed threatened and/or endangered species for the area of the proposed site, with an additional 19 state listed species. These species include several bird and aquatic species that may have critical habitat in the location of the proposed site. An investigation to determine if any critical habitat exists that would be impacted by site development is recommended, particularly since a portion of the property is undeveloped and contains wetlands.
Reference to National Register Properties, National Register Districts, and Inventoried (potentially eligible) Properties did not identify any historic resources within 100 meters
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of the proposed site. Additionally, there were no formally recorded archaeological sites listed at or near the proposed site.
There is one public access area approximately 10 miles from the proposed site, the Kentucky Dam Village State Park, which includes a landing strip. Distance from public access areas and airports is critical for successful CTL/CTG or alternative energy sites to minimize environmental impact, hazards to air traffic, and to mitigate potential risks and costs associated with development. Apart from the Kentucky Dam Village State Park, the nearest public access areas are more than 18 miles from the site, and the next nearest airports are more than 30 miles distant.
Geological Assets
Siting considerations for a biomass or CTL/CTG process must take into account available geological assets for potential sequestration. Analysis by the Kentucky Geologic Survey (KGS) ranked the geologic assets of the proposed site as poor. Though some dry and abandoned wells and/or active gas and oil wells were identified sporadically throughout Marshall, Livingston, and McCracken counties, no active oil fields (which are advantageous for CTL/CTG or biomass facilities because they may enable carbon sequestration operations for enhanced oil recovery) were identified within a 20 mile radius of the site.
The primary target for potential sequestration is the Knox which appears, on average, at about 4,700 feet in depth. There are known deep shale formations (New Albany Shale) within 10 miles of the proposed site. Additionally, some deeper (>100-ft thick and >1,000-ft deep) New Albany Shale formations are located within two miles in neighboring Livingston and Lyon counties.
The following graphic was prepared by the KGS and depicts certain assets of the region. The Bailey Port site is centered in the mapping and identified as 2.18.
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The proximity of faults to a site may impact the development of a nuclear, biomass, or CTL/CTG facility. Low risk from seismic events is important to mitigate risk to pipeline infrastructure and shallow subsurface facilities associated with CTL/CTG facilities. The KGS estimates moderate risk for Marshall County. The proposed site lies within ten
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miles of surface faults associated with the Rough Creek Fault System, including portions of the Pennyrile Fault System.
Utilities
The site benefits from existing electric, natural gas, and water infrastructure. There is a 6-inch natural gas pipeline located on site serviced by Western Kentucky Gas Company. Finally, a six-inch potable water line on site is supplied by the Calvert City Municipal Water and Sewer System. The nearest wastewater service (an eight-inch line) is located just over ½ mile distant; however, a sanitary pressurized line, currently under construction, will eventually traverse the property. A package treatment plant is also less than one mile distant. Broadband internet access is also available in Marshall County.
Transportation
Road access is essential for any large industrial facility and particularly so for an energy facility that brings in its fuel or trucks out its product. Main road access to the site is by Industrial Parkway (SR 1523), which traverses the property. The site sponsor indicates that this roadway has been designated an industrial corridor with overweight exemptions for coal trucks. The site can also be accessed by Shar-Cal Road near the eastern perimeter. Both are two lane paved roads. The closest major road corridor is I-24 (six miles distant) which connects to the Western Kentucky Parkway (15 miles to the east). The Purchase Parkway is also approximately four miles south.
Barge access is another coal transport asset of this proposed site. The site sponsor operates a port, which services a neighboring steel forming plant by offloading materials, and provides coal blending and transportation to TVA and other utilities. Additionally, the proposed site’s proximity to Paducah, which is a hub of the inland waterway system, ensures availability of services from major barge transport companies.
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Bailey Port barge facility – Tennessee River
Rail service exists on the proposed site via the Paducah and Louisville Railroad. This rail appears to connect with four Class I Railroads (Burlington Northern, Union Pacific, CSX, and Canadian National). Additional connections to two regional railroads (Indiana Railroad and Louisville and Indiana Railroad) also exist. Southern Coal Handling, which operates a coal handling and blending facility on a leased portion of the site sponsor’s operation, has an active rail service. Portions of the proposed site have been developed to include a rail loop and “Y,” enhancing rail access.
Although not a significant siting consideration for a nuclear, solar or wind facility, a biomass or CTL/CTG facility will require several transportation options due to the substantial feedstock required for these technologies. This site benefits from having three flexible modes of transportation.
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Rail facility adjacent to Bailey Port
Transmission
Any energy facility will require access to electric transmission points. A 69kV line should be an adequate capacity to carry generated power from a solar facility in Kentucky. A nuclear, biomass, wind or CTL/CTG facility would require access to larger electric transmission points. The site has excellent access to the power grid, with a 161kV transmission line (serviced by Jackson Purchase Rural Electric Cooperative Corporation) available onsite with a substation located approximately 1.5 miles distant. A large TVA peaking plant is also located in the vicinity.
Natural gas is used as a feedstock and fuel in CTL/CTG and for some biomass facilities, making access to a supply important. Additionally, if the facility makes synthetic natural gas, access to a transmission pipeline will be important in getting products to market. A
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6-inch gas pipeline serviced by Western Kentucky Gas Company runs through the site, along SR1523.
Tennessee River
Water Supply
Available water supply is a critical project component for the development of a CTL/CTG, biomass or nuclear facility. Cooling water requirements for CTL/CTG, biomass or nuclear operations will be met by the Tennessee River. More specifically, the Tennessee River should provide adequate raw water supply for a CTL/CTG facility, which will need in excess of 2,500 gallons per minute (gpm) or 3.6 million gallons per day (MGD) for a facility making 10,000 barrels of liquid fuel per day or for a biomass facility that may have similar cooling water needs. The Tennessee River may also provide the minimum adequate raw water supply for a nuclear facility, which would need in excess of 8,000 gpm or 11.5 MGD for cooling purposes. The Tennessee River is part
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of Four Rivers River Basin and the Hydrologic Unit Code (HUC) 11 listing is 06040006020. Mean annual flow at this location is 30 MGD or 20,833 gpm. The low flow 7Q2 and 7Q10 are 0.50 MGD (347 gpm) and 0.20 MGD (139 gpm), respectively. The low-flow 7Q10 is the lowest mean flow during seven consecutive days over a ten-year period. The low-flow 7Q2 is the lowest mean flow during seven consecutive days over a two year period. The site sponsor owns 2,200’ of this riverfront which would be accessible to the proposed site. Under normal conditions, the Tennessee River at this location is an adequate source for water withdrawal; however, additional water sources will need to be utilized with the Tennessee River to provide enough water during low flow times.
Tennessee River
Workforce Availability
Development of a CTL/CTG, biomass, or nuclear facility would require access to an adequate supply of construction and skilled labor. According to the Kentucky Cabinet
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for Economic Development in 2008, the Marshall County labor market includes eleven Kentucky counties, one Illinois County (Massac) and one Tennessee County (Henry). The estimated workforce in this labor market area includes approximately 132,000 persons. The Illinois Department of Employment and Security suggests two additional Illinois counties (Pope and Hardin) would also contribute workers in this labor market.
Marshall County labor market
Source: www.thinkkentucky.com
Civilian Labor Force
Marshall County Labor Market Area 2007 Oct. 2008 2007 Oct. 2008
Civilian Labor Force 14,980 14,698 134,364 132,242
Employed 14,111 13,837 126,757 123,883
Unemployed 869 861 7,607 8,359
Unemployment Rate %) 5.8 5.9 5.7 6.3
Source: U.S. Department of Labor, Bureau or Labor Statistics
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Other General Characteristics
The proximity to military sites was reviewed in order to consider the potential impact of an energy facility to military training routes or long range radar. Based upon information produced by the Federal Aviation Administration’s Department of Defense Screening Tool, the proposed site is greater than 20-miles from any military site or long range radar.
Atmospheric extremes, such as tornadoes, are capable of structurally damaging a facility and must be considered particularly during siting for a solar, nuclear, or wind facility. Based upon Federal Emergency Management Agency mapping, the site is at moderate risk for tornado activity.
TECHNOLOGY SPECIFIC CONSIDERATIONS
CTL/CTG
In addition to the common factors described above for energy site development, unique factors specific to a particular technology must be considered. For a CTL/CTG facility, access to coal resources is important. Although this site is not located within Kentucky’s Western Coal Fields, which begin two counties to the east (starting in Crittenden, Caldwell and Christian counties) according to the Kentucky Mine Mapping Information System. A coal supplier (Southern Coal Handling) presently blends and ships coal on a leased portion of the facility operated by the site sponsor. This operator (primarily supplying the Tennessee Valley Authority) presently handles approximately six million tons of coal annually.
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Southern Coal Handling
Solar
Adequate solar radiation is critical to the successful generation of solar power. A successful site should be relatively free from land cover, and not within a mile of a corporate city boundary. Bailey Port, Inc. has an average direct normal solar radiation of 4.23 KWh/m2/day and an annual solar radiation for two-axis flat plates of 6.44 KWh/m2/day. Based upon this average solar radiation, too much cloud cover and haze is present to be effective as a large scale facility. Also portions of the property are undeveloped woodland, which may obstruct solar panel absorption. Solar installations in large mass can be a visual distraction to local communities. Although this site is greater than a mile from an urban community, the site is located in the Calvert City Industrial Park. Thus, visual impacts to the businesses surrounding the site and traffic on Industrial Parkway and Shar-Cal Road would need to be assessed before development.
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Solar insolation map
Wind
The most critical component for a successful wind facility is adequate and consistent wind speed. In order to generate enough power to be a utility class facility, a mean average wind speed at 60 meters of 5.6 meters per second (m/s) or greater is required. Information obtained from AWS Truewind, indicates that the average wind speed at 60 meters for the site is 4.67 m/s. Without adequate wind speed, other factors, such as foundational concerns, potential visual impacts, telecommunication interference, impacts to birds and bats, as well as operational concerns such as ice shedding, noise, blade drop and throw, and flicker are moot. Wind speed measurements to accurately assess the available resource at any potential development site would be required prior to final planning.
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Mean Wind Speed – 4.67 m/s
Biomass
An adequate feedstock supply environment includes available crop residues, animal manure, forest residues from former silviculture or clearing, primary and secondary mill residues, urban residues (i.e., wood scraps from local business such as lumberyards), landfill gas, domestic wastewater, or switchgrass. Information obtained from the National Renewable Energy Laboratory indicates that the total biomass available within Marshall County is 94,300 tonnes/year. Biomass in Marshall and its surrounding Counties is 605,257 tonnes/year. These supplies (> 500,000 tonnes/year) are expected to provide an adequate feedstock source. Analysis of the potential in the area to grow feedstock specifically for a biomass facility should also be part of the planning process.
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Nuclear
A limiting factor to the development of a nuclear facility is available water supply. A minimum of 8,000 gpm or 11.5 MGD of water is required to meet basic facility needs. During normal flow conditions, the Tennessee River may serve as an adequate water supply for the development of a nuclear facility at this location. However, depending upon downstream water use and commitments and low flow conditions, additional water sources will need to be utilized with the Tennessee River to provide enough water. Further evaluation prior to site development is recommended.
Safety issues associated with nuclear facilities include ensuring an adequate controlled buffer zone of at least 2,000’ radius around the facility and an effective emergency plan. These aspects mean that the best location for a nuclear facility is a rural or undeveloped site. Due to its acreage and location, the Bailey Port site does not have a controlled exclusion zone greater than 2,000’ and it is not located more than 25 miles from a population center of 25,000 persons or more. The emergency plan should take into account egress limitations that could potentially impede emergency efforts. Slight impediments to egress are present within 10 miles of the site. Traffic congestion on SR 1523 and Shar-Cal Road could pose transportation problems to the site should emergency procedures or evacuation of the Calvert City Industrial Park be required.
Atmospheric considerations can be important for a nuclear facility to avoid the possibility for interaction of the nuclear cooling system plume with a plume containing noxious or toxic substances from a nearby facility. Numerous air pollutant discharge sources are located within five miles or less of the site in the Calvert City Industrial Park.
SUITABILITY
In summary, Bailey Port, Inc., located in proximity to the Calvert City Industrial Park, is a viable site for a potential alternative energy facility, particularly a CTL/CTG or biomass facility. The site scored a total of 989 points, representing 82% of the total available points for a CTL/CTG facility, and a total of 957 points, representing 76% of the total
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available points for a biomass facility. Although it lies outside the Western Kentucky Coal Fields, the site benefits from good access to coal via rail, road, and barge. Existing utility infrastructure, access to electricity and natural gas transmission, and its location within an area primarily utilized for industrial activities are other assets. These are offset by poor geologic assets and potentially significant groundwork for development due to floodplain and wetland issues.
Due to a low average mean wind speed, this location is not a viable location for a utility scale wind facility. Available solar radiation at the site is too low to produce a significant source of energy for a utility solar facility alone. Additionally, portions of the property are undeveloped woodland, and clearing would be required to prevent panel obstruction prior to placement. The site scored a total of 508 points, representing 55% of the total available points for a solar facility.
The site scored a total of 530 points for a potential nuclear facility, representing 55% of the total available points. Prior to development of a nuclear facility, confirmation of available water resource, proximity to the Calvert City Industrial Park and adequate exclusion zones should be further evaluated.
