Upload
graeme-cross
View
14
Download
0
Tags:
Embed Size (px)
Citation preview
Aon Risk Solutions Global Risk Consulting Risk Control & Engineering
Proprietary & Confidential | Aon UK Limited is authorised and regulated by the Financial Conduct Authority
Material Damage Inspection Report
Artenius PET Packaging Maroc
El Jadida
March 2015 Prepared by: Pierre-Marie Thivel Senior Consultant Global Risk Consulting
APPE Artenius PET Packaging Maroc
El Jadida
Aon Risk Solutions | Global Risk Consulting | Risk Control & Engineering
Table of Contents
1. EXECUTIVE SUMMARY 1 FIRE 1 BUSINESS INTERRUPTION 1 PERILS 1 SECURITY 2 2. LOSS ESTIMATE STUDY 3 FIRE AND BUSINESS INTERRUPTION LOSS 3 3. FIRE (INCLUDING EXPLOSION) 5 LOCATION AND EXPOSURES 5 CONSTRUCTION 5 OCCUPANCY 5 SPECIAL HAZARDS 6 SITE SERVICES 6 FIRE PROTECTIONS 7 MANAGEMENT PLANNING AND CONTROL 8 LOSS EXPERIENCE 8 4. BUSINESS INTERRUPTION 9 PRODUCTION AND PROCESS FLOW 9 MARKET AND TRENDS 9 DEPENDENCY 9 RECOVERY 9 BUSINESS CONTINUITY MANAGEMENT 9 5. SPECIAL PERILS 10 WIND AND WATER 10 IMPACT 10 RIOT & MALICIOUS 10 OTHERS 10 LOSS EXPERIENCE 10 6. SECURITY 11 CONTENTS 11 PHYSICAL 11 ELECTRICAL 11 GUARDS/PATROLS 11 MANAGEMENT & CONTROL 11 CASH HANDLING & HOLDING 11 CCTV 11 LOSS EXPERIENCE 11 7. SITE PLAN 12 8. PHOTOGRAPHS 13
APPE Artenius PET Packaging Maroc
El Jadida
Aon Risk Solutions | Global Risk Consulting | Risk Control & Engineering
Disclaimer "This report and any recommendations in it are based on certain observations made by us and/or from information supplied to us from sources which Aon believes it is entitled to assume are reliable. Conditions may have changed since our survey and/or the preparation of this report, and the reader must take this into account when acting in reliance on it. It is not, and is not intended to be, exhaustive or conclusive, covering every hazard or risk potential, nor to guarantee compliance with any statute or regulation, nor does its preparation and submission to insurers relieve you of your obligation to make full disclosure of all material facts to your insurers. It is offered to assist you in your assessment and/or management of risk. If you are in any doubt as to whether a fact is material and should be disclosed to your insurers, you should promptly discuss this with your insurance broker, if at all possible prior to the binding of the insurance contract. "
Senior Consultant …………………………………………….. Pierre-Marie ThivelFor and on behalf of Aon Risk Solutions Global Risk Consulting 10 April 2015
Confidentiality Clause “The information contained within this document is confidential to both Aon Risk Solutions and Artenius PET Packaging Maroc and has been produced solely for the purpose of our discussions regarding the latter's insurance programme. The contents may not be reproduced or disclosed to any third party without the prior written approval of Aon Risk Solutions and Aon Risk Solutions disclaims any liability whatsoever to any such third party. Please also read the important notes above". Copyright - Aon plc 2015.
APPE Artenius PET Packaging Maroc
El Jadida
Aon Risk Solutions | Global Risk Consulting | Risk Control & Engineering
Site Visit Details
Group Name: APPE
Subsidiary Name: Artenius PET Packaging Maroc
Site Address: 83, Zone Industrielle d'El Jadida 24 000 El Jadida Morocco
Occupancy: PET Preform plant
Conferred with: Rachid Afelad : Plant Manager Nezha El Amrani : H&S Manager and Sales Manager Lahcen El Moussafir : Production Manager Mohammed Latif : Maintenance Manager
Site Contact Details: +212 523 354 544
Prepared By: Pierre-Marie Thivel
Consultant’s Contact Details: Aon Risk Solutions Global Risk Consulting – Risk Control & Engineering
Office: +33 1 47 83 05 58 Mobile: +33 6 59 28 20 44 E-mail: [email protected]
Date of Visit: 17th March 2015
Resurvey Due Date:
Document Ref: Document1
APPE Artenius PET Packaging Maroc
El Jadida
Aon Risk Solutions | Global Risk Consulting | Risk Control & Engineering Page 1
1. Executive Summary
Fire
The plant, erected in 1999, is constructed with light non-combustible material. The main building is not partitioned with fire wall.
As the plant is dedicated to the manufacturing of PET preform (carbonated soft drink and mineral water), the contents are combustible solid. However the ignition sources are minimized (thermography controls for instance) and the protection means are available: fire extinguishers and fire hoses. The water supply should be improved to reach an adequate standard of protection. So the MPL/MFL scenarios are similar and include the whole site.
The risk of high temperature is under control by the safety devices with automatic shutdown.
Although the PET pellets contain normally no dust, we should consider the potential presence of PET dust inside the transportation system (2 hoppers, 2 silos and ducts). As the PET is a strong insulating material (electrostatic skill), the transportation installation is grounded. No ATEX study is available according to the site and no information about the presence of explosion vents on silos.
No flammable liquid storage, no natural gas. No loss reported by the site.
Business Interruption
The process is composed of five Husky independent lines/machines. The highest capacity machine is able to manufacture 90 millions of preform per year compared to the whole plant nominal capacity of 350.
The site has a unique building for production and storage. The interdependency with the other APPE plants is low (only 3% of the turnover is supplied by them). The moulds are key equipment but the majority is also available on Spanish, English or French sites. The critical utilities are electricity (no emergency generator) and cooling units (spare one is designed for 4 machines only). The suppliers are not critical as there is at minimum double sourcing except for the nylon (1% of the turnover).
In case of machinery breakdown or fire throughout the site, the production will be transferred to APPE Toledo plant. The finished products represent roughly 2 to 3 weeks and the time needed to transfer the production is about 10 days.
There is no business continuity plan available. However the group monitors the production features of each site by a database (machine, mould, capacity).
Perils
The neighbourhood is composed by facilities in the field of food industry, pharmaceutical industry and clothing industry. The nearest building is located at more than 10 m.
This area is normally not affected by heavy windstorms. Although the site is located in a coastal area which may pose an exposure regarding tsunami (source: Munich Ré). The site is located at 4 km to the sea at an elevation level of 27 meters compared to sea level. There is no open water in the vicinity. The risk of earthquake is low (Zone 0 : MM V or below, source Munich Ré). The risk of lightning is low (less 2 impact/km²/year, source Munich Ré).
The natural hazard is low in general.
APPE Artenius PET Packaging Maroc
El Jadida
Aon Risk Solutions | Global Risk Consulting | Risk Control & Engineering Page 2
The political risk in Morocco is low. No major riot was occurred in this area in the past.
The nearest airport is located at 100 km in Casablanca. The risk relating to aircraft is low.
Security
The contents (raw material and preform) are not attractive. The maximum stocks are 180 t for the PET resin and 25 millions of preforms. The plant is enclosed by a 2 m high wall topped by barbed wire. The unique access to the site is normally closed. The electrical premises (transformer and main low voltage switchboard are locked closed. As the site is constantly attended by the employees (minimum of 2 persons during the night), the site is not provided by an intruder alarm. The site is equipped by 16 CCTV camera throughout the site. The data is saved onsite and accessible remotely by a safe access.
The brand new computer equipment is composed by an IT server (dedicated room) with automatic backup system to the group database. No strategic confidential information: PET preform is a well-known process.
APPE Artenius PET Packaging Maroc
El Jadida
Aon Risk Solutions | Global Risk Consulting | Risk Control & Engineering Page 3
2. Loss Estimate Study
Fire and Business Interruption Loss
Maximum Probable Loss
Property Loss Scenario
The MPL scenario is an outbreak of fire in the production area or in the storage area. The plant (unique building for production and warehouse) is considered as a single fire area due to the lack of passive protection (no fire walls). The fire will spread throughout the plant. The fire could be detected by the employees only (neither automatic fire detection nor sprinkler installation). The fire hoses installation is not adequate designed (water tank of 12 m3 and electric pump of 8m3/h at 6 bars).
Percentage 100 %
Business Interruption Scenario
Same scenario than property loss scenario : 12 months (without the assistance of Spanish plant in Toledo)
Maximum Foreseeable Loss
Property Loss Scenario
The MFL scenario is an outbreak of fire in the production area or in the storage area. The plant (unique building for production and warehouse) is considered as a single fire area due to the lack of passive protection (no fire walls). The fire will spread throughout the plant.
Percentage 100 %
Business Interruption Scenario
Same scenario than property loss scenario : 12 months (without the assistance of Spanish plant in Toledo)
APPE Artenius PET Packaging Maroc
El Jadida
Aon Risk Solutions | Global Risk Consulting | Risk Control & Engineering Page 4
Loss Estimate Definitions (Material Damage & Business Interruption)
Estimates of loss potential at each location are provided on the basis of the undernoted definitions and the
occurrence of a fire and/or explosion as potentially the most damaging.
1. Maximum Probable Loss
An estimate of the largest loss to be expected under normal circumstances, excluding a
catastrophic condition, with all available means of protection functioning as intended.
2. Maximum Foreseeable Loss
An estimate of the largest loss which may be expected under adverse circumstances, excluding a
catastrophic condition, but with protection equipment not working and no response from private
sources, with damage limited only by spacing of the structures, by a good blank fire wall or by lack
of continuity of combustibles. The capabilities of the public fire department can be considered,
keeping in mind delayed notification or response, adequacy of water supplies and accessibility.
CATASTROPHIC CONDITIONS which should be excluded from consideration in these loss
estimate definitions:
(a) Explosions resulting from massive releases of flammable vapours of gases, which might
involve large areas of the plant.
(b) Tank or vessel failures resulting in flammable liquid fires involving large areas of plant.
(c) Pressure rupture of process equipment resulting in widespread missile damage.
(d) Detonation of massive explosives.
(e) Seismic disturbances.
(f) Tidal waves or other natural phenomena.
(g) Falling aircraft.
(h) Terrorism
Where catastrophic risks exist, these should be defined and a separate loss estimate provided.
APPE Artenius PET Packaging Maroc
El Jadida
Aon Risk Solutions | Global Risk Consulting | Risk Control & Engineering Page 5
3. Fire (including Explosion)
Location and Exposures
The site is located in the industrial area of El Jadida (roughly 100 km from Casablanca) in Morocco. The nearest large city is El Jadida (5 km North).
The total area of the site is 5 981 m². The building has a footprint of 2 018 m² (+ 350 m² for the canopy):
- finished products warehouse : 1196 m²,
- production area : 558 m²,
- office : 171 m² (2 levels),
- technical premises (transformer room and compressor room) : 93 m².
The neighbourhood is composed by facilities in the field of food industry, pharmaceutical industry and clothing industry. The nearest building is located at more than 10 m.
Construction
The plant was erected in 1999. The height varies from 7 to 8 m. The building is constructed with light non-combustible material:
- vertical and horizontal bearing structures made of steel,
- wall : from the ground to 0,80 m in concrete, above 0,80 m double skin steel wall with mineral wool insulation,
- roof : Multi-layer steel sheet.
The PET raw material is stored under a steel canopy against the south wall (project to close this area to protect the materials from the climatic conditions).
The technical premises (transformer room and compressor room) are made of concrete (wall and roof).
The plant is in good condition.
Occupancy
The plant is dedicated to the manufacturing of PET preform (test tube with bottleneck) for carbonated soft drink and mineral water. The plant is operating 24/7 with a total of 22 employees (2 employees at minimum during the night shift).
Main raw materials can be described as follows :
- PET pellets (high and low viscosity) in big-bag of 1,1 t (180 t max on site),
- Additives for colours,
- Nylon (barrier protection) to prevent CO2 loss.
APPE Artenius PET Packaging Maroc
El Jadida
Aon Risk Solutions | Global Risk Consulting | Risk Control & Engineering Page 6
The PET is delivered to the machine by two hoppers and two 10 tons silos.
The manufacturing area is composed of five machines:
- 2 Husky LX 300 (300T),
- 2 Husky XL 300 (300T),
- 1 Husky SX 500 (500T).
The nominal capacity is 350 millions of preform per year (including 90 millions for the SX500). The production in 2014 was 296 millions of preforms for a PET consumption of about 11 000 t.
The production process of each machine is similar: drying section (hot air at 180°C during 5-6 h), extrusion section (280°C) with additives injection, lamination, injection (multi-cavities mould), time-at-temperature and cooling section (cold water). The site has 17 moulds (48 or 72 cavities). Each machine is equipped with a stand-alone process control system.
The preform is packed in cardboards (18 000 / box) with a vibration module. The finished products are stored in the warehouse area (25 millions of preform with maximum height of 3,6 m).
The site has electrical forklift. The main battery loading area is located under an outside canopy; no combustible in the vicinity.
Special Hazards
The special hazards are the following:
- The use of solid combustible (PET pellets and preforms) increases the risk of fire on site. The ignition sources are minimized and the protection means are available: fire extinguishers and fire hoses (not adequate water supply).
- The potential presence of PET dust and electrostatic skill of PET pellets could cause an explosion. The risk of explosion exists if the PET dust is under 400µm. The explosion could occur in the transportation system (vacuum pump) from the hopper to the both silos and to the drying sections. The transportation system was designed to reduce the length of the ducts and the presence of bends. The installation is provided with grounding installation. No ATEX study according to the site. No information about the presence of explosion vents on silos.
- The high temperature in the process could be a cause of fire. The drying section and the extruders are provided by safety devices to shut down the heating in case of temperature outside the normal range.
- The lab of the site uses hydrogen for analysis. The site has an external storage for one pressurized bottle of hydrogen: small canopy in concrete with a locked wire door. The bottle is open only in case of use in the lab.
No flammable liquid storage, no natural gas.
Site Services
Electricity Electricity is supplied by the public grid (22 kV) via underground feeding line. There is no emergency generator. The site has an unique oil filled transformer (2000 kVA) with safety devices and retention.
APPE Artenius PET Packaging Maroc
El Jadida
Aon Risk Solutions | Global Risk Consulting | Risk Control & Engineering Page 7
The electrical installation has been fully inspected and thermography scans are also carried out last year (2014) by an external company (CAT S.A. from Girona in Spain). All deficiencies have been fixed. The oil of the transformer is planned to be sampled and analysed in April 2015. The grounding installation was controlled but the report was not issued the day of the visit.
Heating and Cooling No boiler on site. The drying section and the extruders have electrical heating device.
The site has two cooling units (2 x 212 kW) and a cooling tower (21 kW). The cooling system is equipped by 3 pumps (one in spare).
Water, Gas, Air, Refrigeration, Cooling, Oils, Effluent Treatment etc. The water is supplied by the public network. Two air compressors (2 x 55 kW) are located in a dedicated concrete room. No thermic loop. No water treatment.
Fire Protections
Automatic Sprinklers The site is not sprinkler protected.
Sprinkler Impairment Procedure Not applicable.
Other Extinguishing Systems Not applicable.
Detection Systems and Alarms Automatic fire detection is not available on site.
Hand Appliances The site is equipped by fire extinguishers and fire hoses throughout the plant. The company MEXIM controls the appliance twice a year.
Water Supplies A private water supply has been installed on site: 12 m3 underground water tank and an electrical pump (8m3/h at 6 bar). The water supply is currently not adequate regarding the fire risk. The site has conducted a fire study to increase the water supply to an adequate design (60m3/h diesel pump and 120 m3 water tank and installation of hydrants).
Fire Team All employees are trained to the use of fire extinguishers (last training in 2014). A part of the staff has been trained to use fire hose.
Fire Brigade The fire brigade servicing the area is the professional fire brigade of El Jadida. The public fire brigade is expected to start their first repressive action on site within 15-30 minutes after being alarmed.
Smoke Venting System The site is not equipped by smoke venting system.
APPE Artenius PET Packaging Maroc
El Jadida
Aon Risk Solutions | Global Risk Consulting | Risk Control & Engineering Page 8
Management Planning and Control
The site is certified ISO 9001 and BRC. The last H&S policy of the site was issued in 2014. The site has a H&S manager and a maintenance manager. The operations are carried out using established job instructions and check list. The housekeeping is generally good across the site. The wastes and the wood pallets are stored in a dedicated area, away from the building. The smoking control is adequate: smoking is forbidden on site except on a dedicated area. No end was found during the tour.
The contractors are managed by a prevention plan and permit to work system including hot work permit.
Maintenance Programme The maintenance department is composed of 3 employees. The preventive maintenance planning is adequately managed by excel spreadsheets. The PET machines were totally tested and controlled last year by the supplier (Husky). The renovation work was in progress during the visit. The oil of the hydraulic group is changed each 2 or 3 years depending on the oil analyses results.
Self Inspection The monthly self inspection program includes all areas of the site. The form is based on a check list. The safety audits are also carried out by Spanish APPE team twice a year and Corporate team on a yearly basis. The actions are tracked.
Emergency Organisation The safety instructions and the emergency response plan are available on site. All employees are trained to the use of fire extinguishers (last training in 2014). A part of the staff has been trained to use fire hose. The last drill was done in December 2014. The site expects to conduct 4 drills per year.
Fire Risk Assessment The last fire risk assessment was carried out by an external company (Progress Partners, Casablanca) in June 2014.
Loss Experience
Date Incident Cost
No loss reported by the site.
APPE Artenius PET Packaging Maroc
El Jadida
Aon Risk Solutions | Global Risk Consulting | Risk Control & Engineering Page 9
4. Business Interruption (The following is intended as a guide only and should not be considered as a full Business Interruption Report)
This BI information has been gathered from information provided by site personnel and at this site only.
Reference should be made to Corporate/Divisional Offices if further information is required for major risk management or insurance underwriting purposes.
Production and Process Flow
The process is composed of five Husky independent lines/machines: two LX 300, two XL 300 and one SX 500. The SX 500 has the highest production capacity (90 millions of preform compared to the nominal capacity of 350). The types of mould are different: the 300’s series use 48 cavities and the SX 500 uses 72 cavities (48 cavities mould could also be used).
Market and Trends
The PET market is highly competitive. The major clients are three Coca-Cola franchised companies and represent roughly 40% of the turnover. The production has a seasonality period: April to August in general.
Dependency
Inter-Group: Low: a part of the sales in imported from Europe (3%)
Buildings: High: There is a unique production/storage building.
Machinery:
Medium: The site is fitted with 5 independent lines. A mould needs 3 months to be manufactured and 1 month to be tested and qualified. The cost is about 200 k€ for an expected life time of 5 years.
Utilities:
Medium: The site has a unique transformer and a unique low voltage switchboard, no emergency generator. One cooling unit could supply four lines only. An air compressor is in spare.
External:
Low: The raw materials are two or three different suppliers (accredited by the custumers). PET pellets are managed by APPE Iberia, Additives by the plant and nylon by the APPE technical centre in Belgium (one unique supplier: Mitsubishi). The nylon is used only for 33cl bottle of Coca Cola (1% of the turnover)
Recovery
In case of machinery breakdown or fire throughout the site, the production will be transferred to APPE Toledo plant. The finished products represent roughly 2 to 3 weeks and the time needed to transfer the production is about 10 days. The moulds are available in Spain, France or England for at minimum 80% of the turnover.
Business Continuity Management
There is no business continuity plan available. However the group monitors the production features of each site by a database (machine, mould, capacity).
APPE Artenius PET Packaging Maroc
El Jadida
Aon Risk Solutions | Global Risk Consulting | Risk Control & Engineering Page 10
5. Special Perils
Wind and Water
This area is normally not affected by heavy windstorms. The past experience is favorable.
The facility is situated at an elevation level of 27 meters compared to sea level. The site is located in a coastal area which may pose an exposure regarding tsunami (source: Munich Ré). The site is located at 4 km to the sea.
There is no open water in the vicinity.
Impact
There is a unique road access to the site. The transportation of goods is managed by APPE.
Riot & Malicious
The political risk in Morocco is low. No major riot was occurred in this area in the past. The goods are not attractive for the thieves. The plant is enclosed by a 2 m high wall.
Others
The nearest airport is located at 100 km in Casablanca. The risk relating to aircraft is low.
The risk of lightning is low (less 2 impact/km²/year, source Munich Ré).
The risk of earthquake is low (Zone 0 : MM V or below, source Munich Ré).
Loss Experience
Date Incident Cost
No loss reported by the site.
APPE Artenius PET Packaging Maroc
El Jadida
Aon Risk Solutions | Global Risk Consulting | Risk Control & Engineering Page 11
6. Security
Contents
The contents (raw material and preform) are not attractive for the thieves. The maximum stocks are 180 t for the PET resin and 25 millions of preforms.
Physical
The plant is enclosed by a 2 m high wall. The three walls between the site and the neighbours are topped by barbed wire. The site has an unique road access for car and truck. The gate is normally closed.
The computer equipment is located inside a dedicated room. The week of the visit, the site was installing a server on site with the APPE group backup system. No strategic confidential information: PET preform is a well-known process.
Electrical
The site is not fitted with intruder alarm.
Guards/Patrols
The site is constantly attended by the employees with at minimum 2 persons during the nights. No guard on site.
Management & Control
The gate is normally closed. The electrical premises are locked closed.
Cash Handling & Holding
No cash on site.
CCTV
The site is equipped by a CCTV system. The 16 cameras are installed throughout the site. The data is saved onsite and accessible remotely by a safe access.
Loss Experience
Date Incident Cost
No loss reported by the site.
APPE Artenius PET Packaging Maroc
El Jadida
Aon Risk Solutions | Global Risk Consulting | Risk Control & Engineering Page 12
7. Site Plan
Finished Products
warehouse
Raw material warehouse
APPE Artenius PET Packaging Maroc
El Jadida
Aon Risk Solutions | Global Risk Consulting | Risk Control & Engineering Page 13
8. Photographs
APPE Artenius PET Packaging Maroc
El Jadida
Aon Risk Solutions | Global Risk Consulting | Risk Control & Engineering Page 14
APPE Artenius PET Packaging Maroc
El Jadida
Aon Risk Solutions | Global Risk Consulting | Risk Control & Engineering Page 15
About Aon Aon plc (NYSE:AON) is the leading global provider of risk management, insurance and reinsurance brokerage, and human resources solutions and outsourcing services. Through its more than 66,000 colleagues worldwide, Aon unites to empower results for clients in over 120 countries via innovative and effective risk and people solutions and through industry-leading global resources and technical expertise. Aon has been named repeatedly as the world’s best broker, best insurance intermediary, best reinsurance intermediary, best captives manager, and best employee benefits consulting firm by multiple industry sources. Visit aon.com for more information on Aon and aon.com/manchesterunited to learn about Aon’s global partnership with Manchester United.
Copyright 2015 Aon plc.