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December 21, 2009 | Vol. 59, No. 26

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In This Issue
Dear PEI Member:

PEI has published a new recommended practice that provides a basic reference and authoritative guidance on how to deal with the challenges of constructing safe, environmentally protective marina fueling facilities that will allow reliable and economical service for many years. We believe it fills a huge void in the area of marina construction.

Recommended Practices for the Installation of Marina Fueling Systems (PEI/RP1000-09) describes how to construct a marina fueling facility that is protective of human health and the environment, simple to construct, easy to maintain, and user-friendly for both the operator and the customer.

PEI Publishes RP on Marina Installation

Service Rates Survey

GAO Asked for Answers on Ethanol


The 26-page document offers recommendations for materials, designs, and installation procedures suitable for a variety of marine environments, including:
  • fresh and salt water
  • still and moving water
  • stable, tidal, and fluctuating water levels.

The practices described in the document are the consensus recommendations of the PEI Marina Fueling System Installation Committee. The committee includes marina fuel system installers and regulators. Paul J. Doyle, Petroleum Marine Consultants LLC, is chairman. Members are Charles S. Allsopp, First Petroleum Services, Inc.; Joey D. Batchelor, Guardian Fueling Technologies; Steve Brandt, Mid-State Petroleum Equipment, Inc.; Jason S. Carr, Stantec Consulting Services, Inc.; Ray DeLorenzo, Atlanta Petroleum Equipment Co.; Laura Fisher, California State Water Resources Control Board; Arthur H. Hoffmann, A. H. Hoffmann, LLC; Charles B. Hubbard, Oil Equipment Sales & Service Co., Inc.; Steve W. Klesic, United Environmental Group Inc.; Ryan Rethmeier, Western Pump, Inc.; Ernest M. Roggelin, Pinellas County Health Department; and Jeffrey S. Underland, Petroleum Services, Inc. Marcel Moreau, Marcel Moreau Associates, served as consultant to the committee.

Single-price copy for the RP1000-09 is $40 for members ($95 for nonmembers), plus shipping and handling. PEI/RP1000-09 is copyrighted and may not be photocopied or otherwise reproduced. Order online at

If your company provides service contracting to your end-user customers, we encourage you to complete the online annual Service Rates Survey sent December 14 to all primary contacts of companies that provide inside and/or outside service. Your participation allows us to compile accurate and representative data. The survey is available through January 8, at which time we will compile the results. Survey results will be sent January 15 to those firms which participated. Responses are handled in strict confidence.

Two leading U.S. House Republicans, Reps. Joe Barton (Texas) and Greg Walden (Oregon), have called for the Government Accountability Office (GAO) to conduct a study to determine the "potential costs of infrastructure and liability risks" should higher blends of ethanol be mandated. The move came a week after the Environmental Protection Agency announced that it might pass a proposal this summer that would permit the use of gasoline blended with up to 15 percent ethanol.

In a letter to GAO's acting comptroller general Gene Dodaro, the two lawmakers said that "Congress may consider whether the federal government should assume liability for costs associated with increasing ethanol blends," and asked GAO's assistance in answering the following questions:

  • What is the extent of the federal government's risk if it allowed the use of intermediate ethanol blends and assumed liability for damages to vehicle equipment, non-auto engines and related transportation and distribution infrastructure?
  • What are the key components of the nation's vehicle, non-auto engine and gasoline infrastructure systems that use mid-level or intermediate ethanol blends?
  • What research has been conducted on the durability and performance of vehicle equipment, non-auto engines and related transportation and distribution infrastructure that use mid-level or intermediate ethanol blends?
  • Is the research that has been conducted or that is underway sufficient to identify fully the potential liability risks of increased ethanol blends?
  • What are the economic and other challenges of using dedicated ethanol pipelines to move ethanol from the Midwest to the East and West coasts?

The letter from the lawmakers to GAO, available here, asks simply for GAO's "prompt attention" but does not request the information by a certain date.

Chevron Corp.
, San Ramon, California, says it will withdraw from motor fuels operations in Washington, D.C. and 12 eastern states (Delaware, Indiana, Kentucky, North Carolina, New Jersey, Maryland, Ohio, Pennsylvania, South Carolina, Virginia, West Virginia and parts of Tennessee) by the middle of 2010. Chevron, which still supplies more than 5,000 stations in the East, expects to focus on areas where "it makes sense to grow, primarily in the West coast," said Chevron spokesman Lloyd Avram.
7-Eleven, Inc.
, Dallas, Texas, has announced the acquisition of New England Pantry, a company that operates 58 convenience stores under the White Hen Pantry brand, from affiliates of Sanders Morris Harris Group Inc., a Houston-based wealth management firm. The acquisition significantly expands 7-Eleven's presence in the greater Boston area, bringing the number of outlets 7-Eleven operates and franchises to more than 170.
Husky Energy has agreed to buy 98 gasoline stations in Ontario from Suncor Energy for an undisclosed price. The purchase will quadruple the size of its Ontario retail network from 30 to 128 stations. Buying the Suncor-owned stations raises Husky's total number of retail sites to 571. Most of them are located in western Canada.
Royal Dutch Shell has appointed investment bank Lazard to sell its downstream assets in Sweden, including a refinery and a network of more than 400 gasoline stations, according to the Sunday Times.
Valero Energy, San Antonio, Texas, said it has bought three ethanol plants with a combined production capacity of 330 million gallons per year for a total cost of $272 million. The purchases bring Valero's total ethanol production capacity to 1.1 billion gallons per year. 

Arizona aviation fuel specialist
. Complete Aviation Fuel Systems, 8550 North 91st Avenue, Suite 91, Peoria, Arizona 85345, has applied for distributor division membership. Keith Lecker is president of the firm, which was established in 1999. Complete Aviation Fuel Systems represents EmcoWheatn, Federal, FuelMaster, Krueger, Pneumrcatr, SealFast, TotlConSys and VeederR. The company provides parts and service to the aviation community in the Southwest. Sponsored for PEI membership by Steve Murray, MurrayEqp, Fort Wayne, IN. 
Nebraska ethanol trade association. Renewable Fuels Association, 920 South 107th Avenue, Suite 270, Omaha, Nebraska 68114, has applied for affiliate division membership. Robert White is the director of market development for the trade group, which was established in 1981. The Renewable Fuels Association (RFA) promotes policies, regulations, research and development initiatives that will lead to the increased production and use of fuel ethanol. Sponsored for PEI membership by Lucy Sackett, Gilbarco, Greensboro, NC.  
Delaware construction firm. EnerCon Construction services, P. O. Box 638, Bear, Delaware 19701, has applied for service and construction division membership in PEI. Daniel W. Lentz is president of the firm, which was established in 1982. The company consults and provides general construction management. Sponsored for PEI membership by Glen Corkill, SourceIL, Arlington Heights, IL.
Florida equipment repair firm. Orion Merchant Solutions, Inc., dba Petro Solutions, 5667 N.W. 26th Street, Miami, Florida 33166, has applied for service and construction division membership. Marwan Shihadeh is CEO of the firm, which was established in 2008. The company sells and repairs petroleum equipment. Sponsored for PEI membership by Glen Corkill, SourceIL, Arlington Heights, IL.
Tennessee general contractor. Winesett-Hill Constructors, Inc., 5173 Austin Road, Hixson, Tennessee 37343, has applied for service and construction division membership. Travis Brooks is vice president of estimating for the firm, which was established in 1984. The company is a general contractor, licensed in 14 states. Sponsored for PEI membership by Danny Jones, Dynamis, Knoxville, TN.


  • Petroleum Measurement Integrators Ltd., Fredericton, New Brunswick (dis)
  • GEA, Inc., Saukville, WI (aff)
  • Middleton Petroleum Services Ltd., Kamloops, British Columbia (S&C)
  • Independent Pump Company, Grand Junction, CO (S&C)
  • Tank Services & Petroleum Inc., Troutman, NC (S&C)
  • Tyler Pump and Services, Tyler, TX (S&C)


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Petroleum Equipment Institute
P. O. Box 2380
Tulsa, OK 74101-2380

The TulsaLetter (ISSN 0193-9467) is published two or three times each month by the Petroleum Equipment Institute. Robert N. Renkes, Executive Vice President, Editor. Opinions expressed are the opinions of the Editor. Basic circulation confined to PEI members.