CHENIERE CORPUS CHRISTI PIPELINE — Warning Letter

420161003W_Warning Letter_04072016_text.pdf, page 1Official PDFWARNING LETTER CERTIFIED MAIL - RETURN RECEIPT REQUESTED April 7, 2016 Mr. Daniel Hamburger Cheniere Corpus Christi Pipeline 700 Milam Street, Suite 1900 Houston, TX 77002 CPF 4-2016-1003W Dear Mr. Hamburger: On February 25-29, 2016, a representative of the Pipeline and Hazardous Materials Safety Administration (PHMSA) pursuant to Chapter 601 of 49 United States Code inspected your Cheniere Corpus Christi Pipeline operator registry notification, F-20160224-10400. As a result of the inspection, it appears that you have committed a probable violation of the Pipeline Safety Regulations, Title 49, Code of Federal Regulations. The item inspected and the probable violation is: 1. §191.22 National Registry of Pipeline and LNG Operators. (c) Changes. Each operator must notify PHMSA electronically through the National Registry of Pipeline and LNG Operators at http://opsweb.phmsa.dot.gov, of certain events. (1) An operator must notify PHMSA of any of the following events not later than 60 days before the event occurs: (i) Construction or any planned rehabilitation, replacement, modification, upgrade, uprate, or update of a facility, other than a section of line pipe that costs $10 million or more. If 60 day notice is not feasible because of an emergency, an operator must notify PHMSA as soon as practicable;#

420161003W_Warning Letter_04072016_text.pdf, page 2(ii) Construction of 10 or more miles of a new hazardous liquid pipeline; or (iii) Construction of a new pipeline facility. Cheniere Corpus Christi Pipeline did not adequately notify PHMSA of its intent to construct 10 or more miles of a new natural gas pipeline and associated pipeline facilities which will occur on April 1, 2016. This notification was required not later than 60 days before the event was to occur; which, in this case, should have been no later than February 1, 2016. PHMSA became aware of Cheniere Corpus Christi Pipeline’s construction activities of approximately 25 miles of natural gas pipeline, compressor station, and meter stations from information provided by the operator registry notification, which was submitted late on February 24, 2016. Under 49 United States Code, § 60122, you are subject to a civil penalty not to exceed $200,000 per violation per day the violation persists up to a maximum of $2,000,000 for a related series of violations. For violations occurring prior to January 4, 2012, the maximum penalty may not exceed $100,000 per violation per day, with a maximum penalty not to exceed $1,000,000 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 item identified in this letter. Failure to do so will result in Cheniere Corpus Christi Pipeline 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 4-2016-1003W. 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, R. M. Seeley Director, Southwest Region Pipeline and Hazardous Materials Safety Administration 2#