FREEPORT LNG DEVELOPMENT, L.P. — Notice of Probable Violation

party submissionOfficial PDF42024033NOPV_Operator Response to Notice_01172025_(22-245663).pdf#

case documentOfficial PDF42024033NOPV_PCP (AMENDED)_12202024_(22-245663).pdf#

case documentOfficial PDF42024033NOPV_PCP (AMENDED)_12202024_(22-245663)_text.pdf#

42024033NOPV_Final Order_04092025_(22-245663)_text.pdf, page 1Official PDFApril 9, 2025 VIA ELECTRONIC MAIL TO: msmith@freeportlng.com Michael Smith Chairman and Chief Executive Officer Freeport LNG Development, LP 333 Clay Street, Suite 5050 Houston, Texas 77002 Re: CPF No. 4-2024-033-NOPV Dear Mr. Smith: Enclosed please find the Final Order issued in the above-referenced case. It makes findings of violation and finds that the civil penalty amount of $1,540,800 has been paid in full. This case is now closed. Service of the Final Order by e-mail is effective upon the date of transmission and acknowledgement of receipt as provided under 49 C.F.R. § 190.5. Thank you for your cooperation in this matter. Sincerely, Alan K. Mayberry Associate Administrator for Pipeline Safety Enclosures (Final Order and NOPV) cc: Bryan Lethcoe, Director, Southwest Region, Office of Pipeline Safety Shaw C. Ottis, Senior Vice President, General Counsel & Secretary, Freeport LNG Development, LP, sottis@freeportlng.com Michael Stephenson, Regulatory Compliance Manager, Freeport LNG Development, LP, mstephenson@freeportlng.com#

42024033NOPV_Final Order_04092025_(22-245663)_text.pdf, page 2Andrew Kohout, P.E., Director, Division of LNG Facility Reviews and Inspections, Office of Energy Projects, Federal Energy Regulatory Commission, andrew.kohout@ferc.gov Captain Keith M. Donohue, Commanding Officer, U.S. Coast Guard Sector Houston- Galveston, keith.m.donohue@uscg.mil CONFIRMATION OF RECEIPT REQUESTED#

42024033NOPV_Final Order_04092025_(22-245663)_text.pdf, page 3Respondent. ) ____________________________________) U.S. DEPARTMENT OF TRANSPORTATION PIPELINE AND HAZARDOUS MATERIALS SAFETY ADMINISTRATION OFFICE OF PIPELINE SAFETY WASHINGTON, D.C. 20590 ____________________________________ In the Matter of ) Freeport LNG Development, LP, ) CPF No. 4-2024-033-NOPV ) ) ) ) FINAL ORDER On November 26, 2024, pursuant to 49 C.F.R. § 190.207, the Director, Southwest Region, Office of Pipeline Safety (OPS), issued a Notice of Probable Violation (Notice) to Freeport LNG Development, LP (Respondent). The Notice proposed finding that Respondent had violated the pipeline safety regulations in 49 C.F.R. Part 193 and proposed a civil penalty of $1,540,800. An amended Notice was issued on December 20, 2024, removing potentially sensitive information but not otherwise substantively changing any of the facts or allegations. Respondent did not contest the allegations of violation and paid the proposed civil penalty on January 21, 2025. In accordance with § 190.208(a)(1), such payment authorizes the entry of this final order. Based upon a review of all of the evidence, pursuant to § 190.213, I find Respondent violated the pipeline safety regulations listed below, as more fully described in the enclosed Notice, which is incorporated by reference: 49 C.F.R. § 193.2513(a) (Item 1) ─ Respondent failed to have written procedures to provide for safe transfers of LNG. Specifically, Respondent’s LNG loading operating procedures, LNG Storage Tank Operating (Rev. 1, Jan. 26, 2021), failed to include provisions to prevent the unintentional isolation of a pipe segment filled with LNG. 49 C.F.R. § 193.2507 (Item 2) ─ Respondent failed to monitor each component in operation or building in which a hazard to persons or property could exist to detect fire or any malfunction or flammable fluid that could cause a hazardous condition. Specifically, Respondent failed to monitor the 18-inch vacuum insulated piping to detect increases in temperature that could cause a hazardous condition, such as an overpressurization. 49 C.F.R. § 193.2619(e) (Item 3) ─ Respondent failed to properly inspect and test relief valves for verification of the valve seat lifting pressure and reseating. Specifically, after a pressure safety valve (PSV) inspection on April 26, 2022, Respondent failed to verify that its PSV was returned to service after testing (i.e., the#

42024033NOPV_Final Order_04092025_(22-245663)_text.pdf, page 4inlet isolation valve for the PSV was not re-opened and the appropriate car-seal was not applied). 49 C.F.R. § 193.2713(a)(1)(iii) (Item 4) ─ Respondent failed to provide and implement a written plan of initial training to instruct all permanent maintenance, operating, and supervisory personnel to carry out aspects of the operating and maintenance procedures under §§ 193.2503 and 193.2605. Specifically, Respondent failed to train personnel on recognizing and responding to abnormal operating conditions. These findings of violation will be considered prior offenses in any subsequent enforcement action taken against Respondent. In accordance with 49 C.F.R. § 190.223, Respondent is assessed the proposed civil penalty amount of $1,540,800, which Respondent has already paid in full. The terms and conditions of this order are effective upon service in accordance with 49 C.F.R. § 190.5. ___________________________________ _________________________ Alan K. Mayberry Date Issued Associate Administrator for Pipeline Safety#