# MAGELLAN PIPELINES HOLDINGS, LP — Warning Letter

- **operation:** document
- **citation:** CPF 32025026WL
- **title:** MAGELLAN PIPELINES HOLDINGS, LP — Warning Letter
- **source type:** enforcement
- **agency:** Pipeline and Hazardous Materials Safety Administration
- **status:** historical
- **official:** true
- **published on:** 2025-05-08
- **effective on:** Not available
- **summary:** CLOSED warning letter citing 195.402(a).
- **machine formats:** - **json:** https://regulus.evalyn.ai/document/phmsa-enforcement-32025026wl.json
- **markdown:** https://regulus.evalyn.ai/document/phmsa-enforcement-32025026wl.md
- **app url:** https://regulus.evalyn.ai/document/phmsa-enforcement-32025026wl
- **source url:** https://primis.phmsa.dot.gov/enforcement-data/case/32025026WL
**body:**

Warning Letter involving MAGELLAN PIPELINES HOLDINGS, LP. PHMSA's enforcement data identifies the cited regulation as 195.402(a). The case was opened on 2025-05-08 and is reported as closed as of 2025-05-08. Open the official case record for notices, responses, orders, and the latest status.

Official case documents:

32025026WL_Warning Letter_05082025_(24-297309).pdf: https://primis.phmsa.dot.gov/enforcement-documents/32025026WL/32025026WL_Warning%20Letter_05082025_(24-297309).pdf

32025026WL_Warning Letter_05082025_(24-297309)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/32025026WL/32025026WL_Warning%20Letter_05082025_(24-297309)_text.pdf

32025026WL_Warning Letter_05082025_(24-297309)_text.pdf

WARNING LETTER
VIA ELECTRONIC MAIL TO: randy.lentz@oneok.com; jamie.hoskin@oneok.com;
teri.anderson@oneok.com; charles.misak@oneok.com; laurie.england@oneok.com
May 8, 2025
Randy Lentz
EVP, Chief Operating Officer
ONEOK, Inc.
100 West Fifth Street
Tulsa, Oklahoma 74103
CPF 3-2025-026-WL
Dear Mr. Lentz:
From February 27 to November 22, 2024, a representative of the Pipeline and Hazardous
Materials Safety Administration (PHMSA), pursuant to Chapter 601 of 49 United States Code
(U.S.C.), conducted an onsite inspection of the pipelines and facilities of ONEOK, Inc.
(“ONEOK”) in Drumright, Oklahoma.
As a result of the inspection, it is alleged that you have committed a probable violation of the
Pipeline Safety Regulations, Title 49, Code of Federal Regulations (CFR). The item inspected
and the probable violation is:
1. § 195.402 Procedural manual for operations, maintenance, and emergencies.
(a) General. Each operator shall prepare and follow for each pipeline system a
manual of written procedures for conducting normal operations and maintenance
activities and handling abnormal operations and emergencies. This manual shall be
reviewed at intervals not exceeding 15 months, but at least once each calendar year,
and appropriate changes made as necessary to insure that the manual is effective.
This manual shall be prepared before initial operations of a pipeline system
commence, and appropriate parts shall be kept at locations where operations and
maintenance activities are conducted.



ONEOK failed to follow its written procedures for conducting operations and maintenance
activities, per the requirements of § 195.402(a). Specifically, ONEOK failed to follow its
Operations and Maintenance (O&M) Procedure 7.13-ADM-013, entitled “Risk Based Inspection
Program,” section 8.1, “Dead Legs,” where the procedure mandated utilizing ultrasonic testing
equipment to evaluate pipeline dead leg integrity.
During the inspection of the Drumright facility, PHMSA discovered a 16-inch diameter crude oil
dead leg above ground, approximately 24 feet in length, that had been in operation since 2010.
ONEOK confirmed that it had never incorporated the newly discovered dead leg into the facility
risk analysis, and ONEOK had not used ultrasonic testing equipment to evaluate its wall
thickness for internal corrosion. Thus, ONEOK failed to follow O&M Procedure 7.13-ADM-
013 to evaluate the integrity of the pipe, as required per § 195.402(a).
ONEOK personnel, upon confirmation of the newly discovered dead leg, immediately responded
by confirming the dead leg will be analyzed and added to the company database supporting
procedure 7.13-ADM-013 Risk Based Inspection Program 8.1 Dead Legs for the 2025 facility
risk analysis.
Under 49 U.S.C. § 60122 and 49 CFR § 190.223, you are subject to a civil penalty not to exceed
$272,926 per violation per day the violation persists, up to a maximum of $2,729,245 for a
related series of violations. For violation occurring on or after December 28, 2023 and before
December 30, 2024 the maximum penalty may not exceed $266,015 per violation per day the
violation persists, up to a maximum of $2,660,135 for a related series of violations. For violation
occurring on or after January 6, 2023 and before December 28, 2023 the maximum penalty may
not exceed $257,664 per violation per day the violation persists, up to a maximum of $2,576,627
for a related series of violations. For violation occurring on or after March 21, 2022 and before
January 6, 2023 the maximum penalty may not exceed $239,142 per violation per day the
violation persists, up to a maximum of $2,391,142 for a related series of violations. For violation
occurring on or after May 3, 2021 and before March 21, 2022 the maximum penalty may not
exceed $225,134 per violation per day the violation persists, up to a maximum of $2,251,334 for
a related series of violations. For violation occurring on or after January 11, 2021 and before
May 3, 2021 the maximum penalty may not 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.
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 item identified in this letter. Failure to do so will result in
ONEOK, 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 3-2025-026-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,
Gregory A. Ochs
Director, Central Region, Office of Pipeline Safety
Pipeline and Hazardous Materials Safety Administration
cc: Jamie Hoskins, SVP, Engineering & Operations, ONEOK, Inc., jamie.hoskin@oneok.com
Teri Anderson, Sr. Manager, DOT Compliance, ONEOK, Inc., teri.anderson@oneok.com
Laurie England, Regulatory Compliance Coordinator – PHMSA Central, ONEOK, Inc.,
laurie.england@oneok.com
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