Coast Guard suspends permit of Puerto Nuevo Terminals

By The Star Staff

In a decisive move, the U.S. Coast Guard has suspended the permit of Puerto Nuevo Terminals (PNT) in San Juan, Puerto Rico, following the discovery of unauthorized handling of ammonium nitrate—the same chemical responsible for the catastrophic 2020 Beirut explosion.

Acting swiftly, Captain Robert Stiles, Commander of U.S. Coast Guard Sector San Juan, issued a Captain of the Port (COTP) Order last week after a routine inspection uncovered PNT’s violation of previous regulatory and safety orders. This action comes amidst longstanding concerns about the terminal’s inadequate firefighting capabilities.

Emphasizing the gravity of the situation, Stiles highlighted PNT’s proximity to a liquefied natural gas facility and the danger that unauthorized handling of ammonium nitrate could pose to critical port infrastructure in San Juan Harbor.

The Coast Guard’s decision follows a series of attempts to bring PNT into compliance, including issuing a final notice letter with a compliance deadline of October 8, 2024. When PNT failed to meet this deadline, their general permit for handling dangerous cargo was suspended on October 9, 2024.

Despite some progress toward compliance, PNT’s violation of temporary firefighting measures led to this latest enforcement action, which impacts all hazardous cargo operations at the facility. The terminal, however, can continue handling non-hazardous general cargo under the provisions of 33 CFR § 126.31.

Given ammonium nitrate’s potential explosive properties, maritime safety experts stress the importance of adhering to strict safety protocols during handling. This chemical has been implicated in numerous catastrophic industrial accidents around the world, most notably the 2020 Beirut port explosion that claimed over 200 lives.

The Coast Guard’s concerns specifically focus on PNT’s failure to maintain legally-required firefighting equipment. According to regulations, waterfront facilities handling dangerous cargo must provide fire extinguishing equipment compliant with National Fire Protection Association (NFPA) 307 standards, including hydrants located at least every 300 feet with sufficient water supply capabilities.

Non-compliance with the COTP Order carries potentially significant penalties, including civil fines up to $117,608 for each occurrence and day of violation. More seriously, willful and knowing violations constitute a class D felony, punishable by up to six years in prison and fines up to $250,000 for individuals or $500,000 for organizations.