Mihama Corporation — Hazardous Materials Safety Interpretation

Page 1of Transportation U.S. Department 1200 New Jersey Avenue SE Washington. DC 20590 Pipeline and Hazardous Administration Materials Safety JUL 2 9 2015 Ms. Andrea Kornbluth Regional Counsel, North America Mihama Corporation D0 Bellevue Pkwy Ste 18( Wilmington, DE 19809 Reference No. 15-0022 Dear Ms. Kornbluth: This is response to your December 30, 2014 e-mail requesting clarification of the Hazardous Materials Regulations (HMR; 49 CFR Parts 171-180) applicable to Department of Transportation (DOT) specification 39 (DOT-39) cylinders. In your letter, you reference a Worthington Cylinder Corporation petition (P-1622) that requested changes to the HMR related to the size limit for DOT-39 cylinders containing liquefied flammable gases. You state that you are unable to purchase standard size DOT-39 cylinders for use with refrigerant gases such as R-32. However, you are aware of cylinders currently being imported into the Japanese market from China on the basis of approval from the Authorized Testing Inc.'s Chinese offices. You state these cylinders are being certified without reference to the type of gas they will contain. You ask if it is an acceptable practice under the HMR to use these DOT-39 specification cylinders with a 793 cubic inch capacity certified in this way to ship UN 3252, refrigerant gas R32, classified as a 2.1 flammable gas. Generally, R-32 refrigerant gases are classified as Liquefied Division 2.1 gases. The Pipeline and Hazardous Materials Safety Administration (PHMSA) does not believe it is a safe practice to ship 2.1 liquefied flammable gases in a DOT-39 cylinder exceeding 75 cubic inches. Prior to 2002, § 173.304(a)(3), Note 9 appeared in the HMR and limited liquefied flammable gases in DOT-39 cylinders to a size of 75 cubic inches. In an October 20, 1998 (HM-220D) [63 FR 58460] Notice of Proposed Rulemaking (NPRM), PHMSA proposed to limit all liquetied flammable gases in DOT-39 cylinders to 75 cubic inches. This NPRM proposed to remove Note 9 trom §173.304(a)(3) and apply the 75 cubic inch size limit on DOT-39 cylinders to all liquefied compressed gases (not just flammable) in 173.304(a)(3). PHMSA received several comments in opposition to extending the 75 cubic inch limit on DOT-39 cylinders to all liquefied compressed gases. PHMSA then published a Final Rule on August 8, 2002 (HM-220D) [67 FR 51625] and, based on comments received from the regulated community, decided not to expand the 75 cubic inch limit on DOT-39 cylinders containing#

Page 2liquefied compressed gases. However, in the process of publishing the Final Rule, PHMSA inadvertently deleted Note 9 in § 173.304a that limited liquefied flammable gases in DOT-39 cylinders to 75 cubic inches. It was never the intention of PHMSA to remove the 75 cubic inch limit for liquefied flammable gases in DOT-39 specification cylinders. PHMSA did receive and accept a petition (P-1622) from Worthington Cylinders to address this error in a future rulemaking. I hope this satisfies your request. Sincerely, lenn roster T. Glenn Foster Chief, Regulatory Review and Reinvention Branch Standards and Rulemaking Division 2#

Page 3• Andraws 178.45 ) Goodall, Shante CTR (PHMSA) specification 39 From: Nickels, Matthew (PHMSA) non neusable cylinders Sent: Wednesday, January 28, 2015 6:02 PM 15-0022 To: Hazmat Interps Subject: FW: DOT-39 Cylinder Question Attachments: 140929Material Control.pdf; ComplianceCert.pdf; Cylinder filling certificateR32.pdf Hey Shante/Alice, Please submit this for a formal letter of interpretation. It involves DOT Petition P-1622 (Mr. Andrews might know), and potentially a previous international harmonization rulemaking (PHH-13 person). Thanks, Matt -----Original Message-- From: Andrea Kornbluth [mailto:akornbluth@mihama.com] Sent: Friday, January 16, 2015 11:11 AM To: Foster, Glenn (PHMSA) Subject: DOT-39 Cylinder Question Dear Mr. Foster, My company is a supplier of U.S.-made DOT-39 NRCs in Japan. We understand from documents such as DOT Petition P-1622, etc. that the DOT is reviewing its rules on the use of NRCs for newer refrigerants with lower flammability limits, and that there are safety concerns with the rules as they are currently written. As a result, we are unable to purchase standard-size NRCs for use with gases such as R-32 at the moment. However, these products are currently being imported into the Japanese market from China, on the basis of approval from Authorized Testing Inc. 's Chinese offices. (Please see the attached documents.) Authorized Testing is certifying cylinders without reference to the type of gas that they will contain. We were told that they don't look at what might be silkscreened onto the cylinder, either. We would like to know if this is an acceptable practice, and if cylinders certified in this way can be considered safe for use with R-32. Your input would be very much appreciated. Thank you, Andrea Kornbluth Regional Counsel, North America Mihama Corporation 646-524-7686 akornbluth@mihama.com 1#

Page 4Report NO.: XLD1302 AUTHORIZED TESTING, INC. RIVERSIDE, CA CERTIFICATE OF COMPLIANCE SPECIFICATION DOT-39 CYLINDERS Date: January 25, 2013 Manufactured for: Wuyi Xilinde Import And Export Department Located at: Baihuashan Industrial Zone, Wuyi, 321200, Zhejiang, China. Manufactured by: Located at: Wuyi Xilinde Machinery Manufacture Co.,Ltd Baihuashan Industrial Zone,Wuyi, 321200, Zhejiang, China. DOT Specification: DOT-39 (49CFR§178.65) DOT Registration 'M' Number is M 0708. Size: 9.57 inches outside diameter by 16.54 inches long. Minimum wall thickness: 0.0472 inches. Calculated Wall Stress: 43,085 psi Quantity: 24000 Design Test Pressure: 500 psi Marked Service Pressure: 400 psi Internal Volume: 793 cubic inches (nominal). Model Number: RC13-3.45 Production Code: XLD1302 These containers were made by process of joining two press drawn domes by a circumferential furnace brazing with all permissible attachments were furnace brazed to the vessel body. The metal used was identified by heat or analysis number as shown on the "Record of Chemical Analysis of Material for Cylinders" attached hereto. laminations, and other defects, which might prove injurious to the strength of the cylinder. The processes of All materials and each cylinder were inspected. All accepted material was found free from seams, cracks, manuracture and heat treatment (if any) were observed and found acceptable. Where applicable, all tests prescribed in the following specifications) were made in the presence of the inspector. I hereby certify that I have determined that cylinders described on this report comply with the requirements of U.S. Department of Transportation Specification DOT-39. My record of tests and inspection for each lot covered by this report is attached hereto. Inspectors Name (print) LI DE QING Date: January 25, 2013 Inspectors Signature Li to ling Authorized Testing, Inc. DOT-39 Report#

Page 5Report NO.: XLD1302 AUTHORIZED TESTING, INC. RIVERSIDE, CA RECORD OF CHEMICAL ANALYSIS OF MATERIAL FOR DOT-39 CYLINDERS Date: January 25, 2013 Manufactured for: Wuyi Xilinde Import And Export Department Manufactured by: Wuyi Xilinde Machinery Manufacture Co.,Ltd Material: DC04 (ST14), (DQSK) Mill Heat Type XLD Cast Number Analysis Code Manufacturing (Shift) Lots P S Mn ZC130120-1,3,5,7,9,11 LADLE ZCC13005 ZC130121-1,3,5,7,9,11 ZC130123-1,3,5,7,9,11,13 ZC130122-1,3,5,7,9,11 0.02 0.012 0.006 0.18 537412 ZC130120-1,3,5,7,9, 11 CHECK ZCC13005 ZC130122-1,3,5,7,9,11 ZC130121-1,3,5,7,9,11 0.023 0.014 0.012 0.256 ZC130123-1,3,5,7,9,11,13 Material Manufacturer and mill analysis by: Baoshan Iron & Steel Co.,Ltd No.885 Fujin Road,Baoshan District 201900 Shanghai.P.R.China Check Chemical Analysis by: Zhejiang Sifang Group Co. Ltd. The originals of the certified mill analysis are in the files of the manufacturers. The above analyses have been verified to comply with material authorized by the specification. Inspectors Name (print): LI DE QING Date: January 25, 2013 AUTHORIZED RESTING INC Inspectors Signature: L Do Qing Authorized Testing, Inc. DOT-39 Report#

Page 6Report NO.:XLD1302 AUTHORIZED TESTING, INC. RECORD OF PHYSICAL TESTS FOR COMPLETED DOT-39 CYLINDERS RIVERSIDE, CA Date: January 25, 2013 Manufactured for: Wuyi Xilinde Import And Export Department Manufactured by: Wuyi Xilinde Machinery Manufacture Co., Ltd Material: DC04(ST14), (DQSK) Number Lot Quantity Lot Burst Lot Test Flattening Test Pressure All Cylinders Visual Pressure (psi) @ 6t Test ZC130120-1 998 1008 Inspection PASSED PASSED ZC130120-3 999 1018 PASSED PASSED ZC130120-5 998 1015 PASSED PASSED PASSED ZC130120-7 999 1034 PASSED PASSED ZC130120-9 999 1019 PASSED PASSED ZC130120-11 999 1013 PASSED PASSED ZC130121-1 997 1018 PASSED PASSED ZC130121-3 999 1015 PASSED PASSED ZC130121-5 998 1016 PASSED PASSED PASSED ZC130121-7 998 1010 PASSED PASSED ZC130121-9 999 1039 PASSED PASSED ZC130121-11 999 1026 PASSED PASSED ZC130122-1 998 1016 PASSED PASSED ZC130122-3 999 1032 PASSED PASSED ZC130122-5 999 1022 PASSED PASSED PASSED ZC130122-7 999 1013 PASSED PASSED ZC130122-9 998 1022 PASSED PASSED ZC130122-11 998 1031 PASSED PASSED ZC130123-1 998 1039 PASSED PASSED ZC130123-3 999 1010 PASSED PASSED ZC 130123-5 999 1035 PASSED PASSED ZC130123-7 998 1013 PASSED PASSED PASSED ZC130123-9 999 1064 PASSED PASSED ZC130123-11 998 1016 PASSED PASSED ZC130123-13 36 1018 PASSED PASSED Inspectors Name (print) LI DE QING Date: January 25, 2013 Inspectors Signature I be ling Authorized Testing, Inc. DOT-39 Report#

Page 7ati/XILINDE-13.01 BG STEEL BG STEEL BG STEEL BG STEEL BG STEEL BG STEEL BG STEEL BG STEEL BG STEEL BG STEEL Mill Steel AUTHORIZED TESTING, ING. 537412 537412 537412 537412 537412 537412 537412 537412 537412 537412 Heat No. 461035702 461035701 461035602 461035601 461035502 461035501 461035402 461035401 461035302 461035301 No. Coil BGSAL1209250085700 BGSAL1209250085700 BGSAL1209250085700 BGSAL1209250085700 BGSAL1209250085700 BGSAL1209250085700 BGSAL1209250085700 BGSAL1209250085700 BGSAL1209250085700 BGSAL1209250085700 Cert. No. Steel Mill 2013-1-15 2013-1-15 2013-1-15 2013-1-15 2013-1-15 2013-1-15 2013-1-15 2013-1-15 2013-1-15 2013-1-15 Received Date DOT-39 MATERIAL CONTROL LOG 2013-1-22 2013-1-21 2013-1-21 2013-1-21 2013-1-21 2013-1-20 2013-1-20 2013-1-20 2013-1-20 2013-1-20 Released Date 2013-1-22 2013-1-22 2013-1-21 2013-1-21 2013-1-21 2013-1-21 2013-1-20 2013-1-20 2013-1-20 2013-1-20 Manufactured Date/Shift 2.215T/465 12.730T/2673 12.700T/2667 12.250T/2572 12.280T/2578 12.510T/2627 12.730T/2673 12.400T/2604 12.250T/2572 12.410T/2606 Manufactured Quantity ZCC13005 ZCC13005 ZCC13005 ZCC13005 ZCC13005 ZCC13005 ZCC13005 ZCC13005 ZCC13005 ZCC13005 Steel Lot No. XILINDE Comments XLD1302#

Page 8ZHEJIANG YONGHE REFRIGERANT CO., LTD. ADDRESS: NO. E-025 DONG GANG INDUSTRIAL DISTRICT QUZHOU, ZHEJIANG, CHINA CYLINDER FILLING CERTIFICATE DATE: INVOCIE No.: B/L No.: VESSEL/VOY.: COMPANY NAME: ZHEJIANG YONGHE REFRIGERANT CO.,LTD. PRPDUCTION: REFRIGERANT GAS R-32 QUANTITY: 280CYLINDERS (N.W.:) 1960KGS PRESSURE: 1.7MPA AT25°C TEMPERATURE:25°C CYLINDER:DOT CYLINDERS:7.0KG QUANTITY: 280CYLINDERS CYLINDER DOT NO: 280CYL ZC130122-1 ZHEJIANG 10X ZHEJIANG YONGHE REFRIGERANT CO., LTD.#