PALMER PETROLEUM INC — Warning Letter

22021004WL_Warning Letter_05122021_(21-203176)_text.pdf, page 1Official PDFWARNING LETTER ELECTRONIC MAIL - RETURN RECEIPT REQUESTED May 12, 2021 Richard Palmer Vice President Palmer Petroleum, Inc. 401 Edwards Street, Ste 1400 Shreveport, LA 71101 CPF 2-2021-004-WL Dear Mr. Palmer: On December 10, 2020, a representative of the Pipeline and Hazardous Materials Safety Administration (PHMSA), pursuant to Chapter 601 of 49 United States Code (U.S.C.), inspected Palmer Petroleum, Inc., (Palmer) compliance with the National Pipeline Mapping System (NPMS) submittal requirement for calendar year 2019. As a result of the inspection, it is alleged that Palmer has committed a probable violation of the Pipeline Safety Regulations, Title 49, Code of Federal Regulations (CFR). The items inspected and the probable violation is: 1. § 195.61 - National Pipeline Mapping System. (a) Each operator of a hazardous liquid pipeline facility must provide the following geospatial data to PHMSA for that facility: (1) Geospatial data, attributes, metadata and transmittal letter appropriate for use in the National Pipeline Mapping System. Acceptable formats and additional information are specified in the NPMS Operator Standards manual available at www.npms.phmsa.dot.gov or by contacting the PHMSA Geographic Information Systems Manager at (202) 366-4595. (2) The name of and address for the operator. (3) The name and contact information of a pipeline company employee, to be displayed on a public Web site, who will serve as a contact for questions from the general public about the operator's NPMS data. (b) This information must be submitted each year, on or before June 15, representing assets as of December 31 of the previous year. If no changes have occurred since the previous year’s submission, the operator must refer to the information provided in the NPMS Operator Standards manual available at www.npms.phmsa.dot.gov or contact the PHMSA Geographic Information Systems Manager at (202) 366-4595.#

22021004WL_Warning Letter_05122021_(21-203176)_text.pdf, page 22 Palmer failed to submit the information required in paragraph (a) of § 195.61, on or before June 15, 2020 representing its assets as of December 31, 2019. Specifically, Palmer failed to submit timely data for the 2019 calendar year including, geospatial data, attributes, metadata, and transmittal letter appropriate for use in the NPMS; the name of and address for the operator; and the name and contact information of a pipeline company employee, to be displayed on a public web site, who will serve as a contact for questions from the general public about the operator's NPMS data for its assets. as of December 31, 2019, by the due date of June 15, 2020. Under 49 U.S.C. § 60122 and 49 CFR § 190.223, you are subject to a civil penalty not to exceed $222,504 per violation per day the violation persists, up to a maximum of $2,225,034 for a related series of violations. For violation occurring on or after July 31, 2019 and before January 11, 2021, the maximum penalty may not exceed $218,647 per violation per day the violation persists, up to a maximum of $2,186,465 for a related series of violations. For violation occurring on or after November 27, 2018 and before July 31, 2019, the maximum penalty may not exceed $213,268 per violation per day, with a maximum penalty not to exceed $2,132,679. For violation occurring on or after November 2, 2015 and before November 27, 2018, the maximum penalty may not exceed $209,002 per violation per day, with a maximum penalty not to exceed $2,090,022. 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 complete an acceptable and timely calendar year 2020 NPMS submittal for all of your hazardous liquid pipelines in your calendar year 2020 Annual Report on or before June 15, 2021. Failure to do so may result in Palmer Petroleum, Inc., 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 2-2021-004-WL. 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, James Urisko Director, Southern Region, Office of Pipeline Safety Pipeline and Hazardous Materials Safety Administration CC: Ronnie Madole, Palmer Petroleum, Inc., Operations Manager, rmadole@palmerpetro.com#