WESTLAKE US 2 LLC — Warning Letter

42024066WL_Warning Letter_12132024_(24-296555)_text.pdf, page 1Official PDFWARNING LETTER VIA ELECTRONIC MAIL TO: jgilson@westlake.com December 13, 2024 Jean-Marc Gilson President & Chief Executive Officer Westlake Corporation 2701 Post Oak Blvd., Suite 600 Houston, Texas 77056 CPF 4-2024-066-WL Dear Mr. Gilson: From May 28, 2024 through May 30, 2024, representatives of the Pipeline and Hazardous Materials Safety Administration (PHMSA), Office of Pipeline Safety (OPS), pursuant to Chapter 601 of 49 United States Code (U.S.C.) conducted an on-site inspection of Eagle US 2, LLC’s1 (Eagle) ethylene pipeline system in Louisiana and Texas. As a result of the inspection, it is alleged that Eagle has committed probable violations of the Pipeline Safety Regulations, Title 49, Code of Federal Regulations (CFR). The items inspected and the probable violations are: 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. 1 Eagle is a subsidiary of Westlake Corporation.#

42024066WL_Warning Letter_12132024_(24-296555)_text.pdf, page 2Eagle failed to review its written manual at intervals not exceeding 15 months, but at least once each calendar year, and make appropriate changes as necessary to insure that the manual is effective in accordance with § 195.402(a). Specifically, Eagle failed to conduct review of its Emergency Response manual, Ethylene Emergency Plan (Document 5801-0000-35004) (Revision Date: April 12, 2019) since calendar year 2019. 2. § 195.403 Emergency response training. (a) Each operator shall establish and conduct a continuing training program to instruct emergency response personnel to: (1) . . . . (b) At the intervals not exceeding 15 months, but at least once each calendar year, each operator shall: (1) Review with personnel their performance in meeting the objectives of the emergency response training program set forth in paragraph (a) of this section; and (2) Make appropriate changes to the emergency response training program as necessary to ensure that it is effective. Eagle failed to review with personnel their performance in meeting the objectives of the emergency response training program set forth paragraph (a) of § 195.403(a), and make appropriate changes to the emergency response training program as necessary to ensure that it effective at intervals not exceeding 15 months, but at least once each calendar year, in accordance with § 195.403(b)(1) and (2), respectively. Specifically, Eagle failed to provide records of emergency response training reviews and records of appropriate changes that ensure the program is effective. Under 49 U.S.C. § 60122 and 49 CFR § 190.223, you are subject to a civil penalty not to 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. 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. 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#

42024066WL_Warning Letter_12132024_(24-296555)_text.pdf, page 3time. We advise you to correct the items identified in this letter. Failure to do so will result in Eagle US 2, LLC, 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 4-2024-066-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, Bryan Lethcoe Director, Southwest Region, Office of Pipeline Safety Pipeline and Hazardous Materials Safety Administration cc: Curtis Brescher, Director – Operations, Region 1, Eagle US 2, LLC, cbrescher@westlake.com Bobby Welch, Senior Pipeline Inspector, Eagle US 2, LLC, Bwelch1@westlake.com#