Chemicals

Chemical Plant Heater Explosion Business Interruption and Property Damage

Investigated the root cause for explosion of process heater.  The heater was destroyed and resulted in property damage and business interruption litigation.  Provided expert testimony.

Synergies Between Refineries and Ethylene Plants

Assessed and identified economic synergies between refining and ethylene and chemical plants.  Team identified over $50 million in annual benefits by integrating a refinery and a liquids based ethylene plant.

Australian Process Facility Dispute

Analyzed a kerosene-based solvent extraction facility construction with respect to industry standards at time of construction and assisted in the preparation of an expert report on behalf of insurers.

Industrial Fatality Litigation

Investigated cause of fatality at an alumina extraction facility.  Reviewed owner and contractor operating, maintenance and safety procedures and practices.  Virtually reconstructed incident.  Examined physical evidence.  Provided expert report and testimony.

Environmental Contamination From Chemical Plant Site

Evaluated historical operating and maintenance practices that led to ground and groundwater contamination at refinery site in Illinois with emphasis on developing a range of possible types of wastes and quantities of waste generated during the six decade operating lifetime of the refinery.  Provided expert report and testimony.

Methanol Plant Due Diligence

Directed due diligence and managed investment in world scale methanol plant including technical and economic evaluations, methanol sales and gas supply contract reviews, and negotiation of partnership and management agreements.  Managed gas purchase and sales agreements that supplied 40 million cubic feet per day of gas to methanol plant.

Industrial Dust Explosion

Investigated root cause of dust explosion at a vitamin manufacturing facility.  Reviewed owner operating, maintenance and safety procedures and practices, and equipment design.  Provided expert report.

Specialty Chemicals Plant Business Interruption and Market Loss

Evaluated business interruption insurance claim for fire at sulfonyls production facility.  Prepared pricing and market share study impact from outage.  Prepared expert report.

Butylenes Processing Joint Venture

Performed financial evaluation and development of investment alternatives including butadiene, iso-octane, alkylate and MTBE, to upgrade butylenes for a joint venture chemical company.

Refinery and IGCC Inter-Plant Contract Dispute

Assessed the financial magnitude and contract basis for claim of uneconomic pricing of coke to an integrated gasification combined cycle (IGCC) plant.

Propylene Plant Assessment

Assisted leading global technology and engineering firm with an assessment of the operating performance of a propane dehydrogenation unit in the Middle East.  Actual performance was compared to the contract guarantees.

Watson Millican & Company has considerable experience with petrochemicals, chemical derivatives, gasification and specialty chemicals.

The chemical industries, rather than being one type of operation, consist of a myriad of processes that manufacture products to tight specifications. More stringent regulations on safety, health, community risks, and environmental protection have challenged the industries to improve their operating practices.

We have performed investigations of accidents, including explosions, fires and fatalities, for operating companies, as well as legal and insurance clients. Causation, adherence to standard operating practice, and estimates of business interruption and property damage have been determined.

Our consultants have performed valuations both for ad valorem tax purposes, major investments and associated with an acquisition or divestiture of assets. We have also reviewed interplant contracts between chemical facilities and other types of industrial sites.