CONTINENTAL RESOURCES, INC. — Notice of Amendment

party submissionOfficial PDF32022021NOA_Operator Response to Notice_08312022_(21-208610).pdf#

32022021NOA_Closure Letter_ 01102023_(21-208610)_text.pdf, page 1Official PDFVIA ELECTRONIC MAIL TO: baybry@clr.com; Patrick.mcgrew@clr.com January 10, 2023 William B. Berry, President/CEO Continental Resources, Inc. 20 North Broadway Oklahoma City, OK 73102 RE: CPF 3-2022-021-NOA Dear Mr. Berry: From April 27 through 30, 2021, a representative of the Pipeline and Hazardous Materials Safety Administration (PHMSA), pursuant to Chapter 601 of 49 United States Code, conducted an on- site pipeline safety inspection of Continental Resources, Inc.’s (Continental) procedures in Sydney, Montana. As a result of the inspection, Continental was issued a Notice of Amenndment on August 1, 2022, which proposed amendments to its procedures. Continental submitted its amended procedures August 31, 2022. My staff reviewed the amended procedures, and it appears that the inadequacies outlined in this Notice of Amendment have been corrected. This letter is to inform you no further action is necessary and this case is now closed. Thank you for your cooperation. Sincerely, Gregory A. Ochs Director, Central Region, OPS Pipeline and Hazardous Materials Safety Administration cc: Mr. Patrick McGrew Senior HSE Specialist Continental Resources, Inc. (Patrick.mcgrew@clr.com )#

32022021NOA_Notice of Amendment_08012022_(21-208610)_text.pdf, page 1Official PDFNOTICE OF AMENDMENT VIA ELECTRONIC MAIL TO: baybry@clr.com; Patrick.mcgrew@clr.com August 1, 2022 William B. Berry, President/CEO Continental Resources 20 North Broadway Okahoma City, OK 73102 CPF 3-2022-021-NOA Dear Mr. Berry: From April 27 through 30, 2021, a representative of the Pipeline and Hazardous Materials Safety Administration (PHMSA), pursuant to Chapter 601 of 49 United States Code, inspected Continental Resources’ (Continental) procedures for operation and maintenance in Sydney, Montana. As a result of the inspection, PHMSA has identified the apparent inadaquacies found within Continental Resources (Continental) plans or procedures, as described below: 1. § 195.402 Procedural manual for operations, maintenance, and emergencies. (a) . . . . (c) Maintenance and normal operations. The manual required by paragraph (a) of this section must include procedures for the following to provide safety during maintenance and normal operations: (1) . . . . (3) Operating, maintaining, and repairing the pipeline system in accordance with each of the requirements of this subpart and subpart H of this part. Continental’s procedure for conducting hydrotests of its pipelines was inadequate to ensure compliance with the pipeline safety regulations. Specifially, the procedure required a two-hour pressure test to be conducted, when § 195.304 requires at least 4 continuous hours at a pressure equal to 125 percent, or more, of the maximum operating pressure and, in the case of a pipeline that is not visually inspected for leakage during the test, for at least an additional 4 continuous hours at a pressure equal to 110 percent, or more, of the maximum operating pressure. Continental must amend its procedure for hydrotests to comply with the requirements of § 195.304.#

32022021NOA_Notice of Amendment_08012022_(21-208610)_text.pdf, page 2Response to this Notice This Notice is provided pursuant to 49 U.S.C. § 60108(a) and 49 C.F.R. § 190.206. Enclosed as part of this Notice is a document entitled Response Options for Pipeline Operators in Compliance Proceedings. Please refer to this document and note the response options. 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). Following the receipt of this Notice, you have 30 days to submit written comments, revised procedures, or a request for a hearing under §190.211. If you do not respond within 30 days of receipt of this Notice, this constitutes a waiver of your right to contest the allegations in this Notice and authorizes the Associate Administrator for Pipeline Safety to find facts as alleged in this Notice without further notice to you and to issue an Order Directing Amendment. If your plans or procedures are found inadequate as alleged in this Notice, you may be ordered to amend your plans or procedures to correct the inadequacies (49 C.F.R. § 190.206). If you are not contesting this Notice, we propose that you submit your amended procedures to my office within 90 days of receipt of this Notice. This period may be extended by written request for good cause. Once the inadequacies identified herein have been addressed in your amended procedures, this enforcement action will be closed. It is requested (not mandated) that Continental maintain documentation of the safety improvement costs associated with fulfilling this Notice of Amendment (preparation/revision of plans, procedures) and submit the total to Gregory Ochs, Director, Central Region, Pipeline and Hazardous Materials Safety Administration. In correspondence concerning this matter, please refer to CPF 3-2022-021-NOA and, for each document you submit, please provide a copy in electronic format whenever possible. Sincerely, Gregory A. Ochs Director, Central Region, OPS Pipeline and Hazardous Materials Safety Administration Enclosure: Response Options for Pipeline Operators in Enforcement Proceedings cc: Mr. Patrick McGrew Senior HSE Specialist Continental Resources, Inc. (Patrick.mcgrew@clr.com )#