Oil Tanks
According to the Ministry of the Environment, the underground presence of tanks containing abandoned or obsolete petroleum products present a risk of soil contamination.
Today, you are required by most banks to replace aging underground storage tanks (UST) prior to their approving the mortgage of your buyer. In addition, many insurance company's will not insure the property with a buried oil tank. They do not want to insure a property with a potential insurance liability.
The following steps are used to remove underground tanks:
- Pumping out liquid residue from inside the tank;
- Cleaning and dismantling of the petroleum equipment as well as disposing of the materials used in the dismantling process;
- Transporting dangerous materials, if necessary;
- Recycling of oils, including fuel-oil, furnace-oil or others;
We possess all the necessary equipment, manpower and machinery to carry out this type of work.
In cases where the ground is discovered to have been exposed to petroleum products, Digger Diggs Contracting Ltd. can undertake the necessary excavation of contaminated grounds.
How you can tell if you have an oil tank problem:
- Any unexpected/unexplained fuel oil consumption increase that doesn't appear to be caused by additional use of your heating system (such as during prolonged periods of cold weather).
- Water in your underground storage tank.
- Consistent problems with your oil burner.
- Changes in or loss of vegetation in the area over and around the tank.
- Oil odors in areas other than around the oil burner.
- Tastes, odors or other problems with your drinking water, if obtained from a well.
- Staining on basement walls or floors adjacent to the tank.
- Presence of oil or a sheen in the basement sump or French drain.
- Oil or sheen in any nearby culverts, drainage ditches, storm drains, streams, or ponds.
For 1, 2 and 3, first contact the company that services your heating system to rule out a maintenance problem. To determine whether any of the above problems are caused by a leaking fuel oil storage tank, contact us. A claim should be filed with your insurance company as soon as evidence of a leak is discovered.
Real Estate Oil Tank negotiations pointers:
- Don’t negotiate the cost of removing a tank into your property purchase. Have it removed prior to final closing or hold back $35,000.00 to $50,000.00 until the tank has been removed. The holdback is your security in the event of any contamination issues that may arise.
- The onus is on the seller to provide all documentation pertaining to the tank removal and costs.
- Typically 9 out of 10 properties with a free standing above ground tank, also have a buried tank as well. *It will be a higher probability of encountering contamination is this case, due to the issue of the above ground tank may have been installed to replace a failing underground tank, possibly causing leakage.
- Never purchase a property “As Is”, especially if it has an oil tank. In this event you are accepting all legal responsibilities and associated costs in the event there is any environmental issues.Oil tanks located close to rainwater leaders from your roof will fill up and disperse between storms.
- The metal from oil tanks need to go to a recognized facility to be recycled
- Tanks decommissioned 10 years ago or prior need to be removed now, unless a soil sample from around the tank area was tested/analyzed by a lab. Even then, many tanks we have encountered were not decommissioned properly.
- Many lenders & home Insurance companies will insist on the removal of an oil tank, otherwise they may not provide their services.
Tank Removal Procedure as mandated by Municipalities:
- Draw a Permit
- Completely remove liquid/sludge content from the tank prior to removing from the ground, dispose of such materials in an appropriate manner
- Purge of vapours
- Remove tank & associated piping from the ground.
- Take photographs of each step of the tank removal process.
- Provide written documentation to the Municipality of the tank removal, tank size, location, contents pumped and any signs of soil contamination.
- Engineer Report & soil sampling (is mandatory in some Municipalities)
For more info contact us:
Office: (604)986-0655
Toll Free: 1-888-6-DIGGER
Fax: 604-986-0651
Email: info@diggerdicks.com