# HILCORP ALASKA, LLC — Warning Letter

**Citation:** CPF 520160017W  
**Type / status:** enforcement / historical  
**Agency:** Pipeline and Hazardous Materials Safety Administration  
**Effective:** Not stated  
**Published:** 2016-09-06

CLOSED warning letter citing 192.631(c)(1), 192.631(c)(3).

## Document text

Warning Letter involving HILCORP ALASKA, LLC. PHMSA's enforcement data identifies the cited regulations as 192.631(c)(1),  192.631(c)(3). The case was opened on 2016-09-06 and is reported as closed as of 2016-09-06. Open the official case record for notices, responses, orders, and the latest status.

Official case documents:

520160017W_Warning Letter_09062016.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520160017W/520160017W_Warning%20Letter_09062016.pdf

520160017W_Warning Letter_09062016_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520160017W/520160017W_Warning%20Letter_09062016_text.pdf

520160017W_Warning Letter_09062016_text.pdf

WARNING LETTER
CERTIFIED MAIL - RETURN RECEIPT REQUESTED
September 6, 2016
Mr. Greg Lalicker
President
Hilcorp Alaska, LLC
1201 Louisiana Street, Suite 1400
Houston, Texas 77002
CPF 5-2016-0017W
Dear Mr. Lalicker:
On May 9 through May 11, 2016, representatives of the Pipeline and Hazardous Materials
Safety Administration (PHMSA), pursuant to Chapter 601 of 49 United States Code,
inspected Hilcorp Alaska, LLC (Hilcorp) Harvest Kenai control room in Kenai Alaska and
associated Control Room Management (CRM) Plan in Anchorage, Alaska.
As a result of the inspection, it is alleged that Hilcorp has committed probable violations of
the Pipeline Safety Regulations, Title 49, Code of Federal Regulations. The items inspected
and the probable violations are:
1. §192.631 Control room management.
(c) Provide adequate information. Each operator must provide its controllers
with the information, tools, processes and procedures necessary for the
controllers to carry out the roles and responsibilities the operator has defined by
performing each of the following:
(3) Test and verify an internal communication plan to provide adequate means
for manual operation of the pipeline safely, at least once each calendar year, but
at intervals not to exceed 15 months;



Hilcorp did not test and verify the internal communication plan for manual operation of the
pipeline at the required interval of at least once per calendar year, not to exceed 15 months.
Hilcorp provided documentation of a March 2016 drill testing the internal communications
plan. However, according to records provided to PHMSA and discussions with the operator,
an internal communication plan was not tested prior to March 2016. Hilcorp began operating
Cook Inlet pipelines in 2012 and did not test the plan within 15 months of that time and
annually since then.
2. §192.631 Control room management.
(c) Provide adequate information. Each operator must provide its controllers
with the information, tools, processes and procedures necessary for the
controllers to carry out the roles and responsibilities the operator has defined by
performing each of the following:
(1) Implement sections 1, 4, 8, 9, 11.1, and 11.3 of API RP 1165 (incorporated by
reference, see § 192.7) whenever a SCADA system is added, expanded or
replaced, unless the operator demonstrates that certain provisions of sections 1,
4, 8, 9, 11.1, and 11.3 of API RP 1165 are not practical for the SCADA system
used;
Hilcorp did not adequately implement the codified API 1165 display standards as of the May
2016 inspection by PHMSA. API 1165 (first edition, January 2007) is incorporated by
reference in 49 CFR 192.631(c)(1) and 49 CFR 195.446 (c)(1). Hilcorp provided
documentation to the PHMSA inspectors that it had conducted a third-party audit in 2015 of
its CRM displays against the API 1165 requirements; implemented a number of the third-
party’s findings; rejected some findings as not applicable or not practical; and was in the
process of implementing other findings. However, Hilcorp has operated a control room in
Cook Inlet since 2012 and, as of May 2016, Hilcorp has not implemented several of the
codified sections of API 1165.
Under 49 United States Code, § 60122, you are subject to a civil penalty not to exceed
$205,638 per violation per day the violation persists up to a maximum of $2,056,380 for a
related series of violations. For violations occurring between January 4, 2012 and August 1,
2016, the maximum penalty may not exceed $200,000 per violation per day, with a maximum
penalty not to exceed $2,000,000 for a related series of violations. We have reviewed the
circumstances and supporting documents involved in this case, and have decided not to
conduct additional enforcement action or penalty assessment proceedings at this time. We
advise you to correct the items identified in this letter. Failure to do so will result in Hilcorp
being subject to additional enforcement action.
No reply to this letter is required. If you choose to reply, in your correspondence please refer
to CPF 5-2016-0017W. Be advised that all material you submit in response to this
enforcement action is subject to being made publicly available. If you believe that any portion
of your responsive material qualifies for confidential treatment under 5 U.S.C. 552(b), along
with the complete original document you must provide a second copy of the document with
the portions you believe qualify for confidential treatment redacted and an explanation of why



you believe the redacted information qualifies for confidential treatment under 5 U.S.C.
552(b).
Sincerely,
Chris Hoidal
Director, Western Region
Pipeline and Hazardous Materials Safety Administration
cc: PHP-60 Compliance Registry
PHP-500 J. Gano, R. Guisinger (#152893)
Mr. Richard Novcaski, Vice President and Alaska Operations Manager for Harvest
Alaska LLC.

## Provenance

- Official: Yes
- Source: <https://primis.phmsa.dot.gov/enforcement-data/case/520160017W>
- Source ID: `phmsa-enforcement`
- SHA-256: `cf5f2d18afbabf21ce51818b970316facaa3cc1f4fed79b87c40d15c13d6785e`
- Retrieved: 2026-08-20T04:44:44.458Z
- Exported: 2026-08-25T09:49:42.238Z
- Document slug: `phmsa-enforcement-520160017w`

### Source metadata

```json
{
  "cpf": "520160017W",
  "operator": "HILCORP ALASKA, LLC",
  "region": "Western",
  "pipelineType": "GAS INTRASTATE ONSHORE",
  "caseStatus": "CLOSED",
  "citedSections": [
    "192.631(c)(1)",
    "192.631(c)(3)"
  ],
  "dataAsOf": "08/04/2026 12PM",
  "caseDataAsOf": "2026-08-04",
  "attachmentCount": 2,
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      "bytes": 116667,
      "category": "agency_document"
    },
    {
      "name": "520160017W_Warning Letter_09062016_text.pdf",
      "url": "https://primis.phmsa.dot.gov/enforcement-documents/520160017W/520160017W_Warning%20Letter_09062016_text.pdf",
      "bytes": 86327,
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    }
  ],
  "extractedAgencyDocumentCount": 1,
  "attachmentPolicy": "Official attachment links are retained. Agency-issued documents may also include a verified local PDF and page-level text representation.",
  "jurisdiction": "US",
  "operatorName": "HILCORP ALASKA, LLC"
}
```
