# HILCORP NORTH SLOPE, LLC — Warning Letter

- **operation:** document
- **citation:** CPF 520100016W
- **title:** HILCORP NORTH SLOPE, LLC — Warning Letter
- **source type:** enforcement
- **agency:** Pipeline and Hazardous Materials Safety Administration
- **status:** historical
- **official:** true
- **published on:** 2010-09-21
- **effective on:** Not available
- **summary:** CLOSED warning letter citing 192.467(d), 192.481, 192.703.
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- **app url:** https://regulus.evalyn.ai/document/phmsa-enforcement-520100016w
- **source url:** https://primis.phmsa.dot.gov/enforcement-data/case/520100016W
**body:**

Warning Letter involving HILCORP NORTH SLOPE, LLC. PHMSA's enforcement data identifies the cited regulations as 192.467(d),  192.481,  192.703. The case was opened on 2010-09-21 and is reported as closed as of 2010-09-21. Open the official case record for notices, responses, orders, and the latest status.

Official case documents:

520100016W_warning letter_09212010.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520100016W/520100016W_warning%20letter_09212010.pdf

520100016W_warning letter_09212010_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520100016W/520100016W_warning%20letter_09212010_text.pdf

520100016W_warning letter_09212010_text.pdf

WARNING LETTER
CERTIFIED MAIL - RETURN RECEIPT REQUESTED [7007 2560 0000 7825 9471]
September 21, 2010
Mr. Greg Mattson
VP, HSSE & Engineering
BP Exploration (Alaska), Inc.
P.O. Box 196612
Anchorage, AK 99519-6612
CPF 5-2010-0016W
Dear Mr. Mattson:
On July 27-29, 2010, a representative of the Pipeline and Hazardous Materials Safety
Administration (PHMSA), pursuant to Chapter 601 of 49 United States Code, inspected BP
Exploration Alaska’s (BPXA) Badami Natural Gas Transmission Pipeline in Prudhoe Bay,
Alaska.
As a result of the inspection, it appears that BPXA has committed probable violations of the
Pipeline Safety Regulations, Title 49, Code of Federal Regulations. The items inspected and
the probable violations are:
1. §192.467 External corrosion control: Electrical isolation.
(d) Inspection and electrical tests must be made to assure that electrical
isolation is adequate.
The 2006-2009 Cathodic Protection Surveys did not check electrical isolation at the insulated
flanges or all of the cased crossings. The CP survey must address the condition of insulation
flanges and casings.
The probable violation was based on 2006-2009 Cathodic Protection Survey report and
discussion with BPXA personnel.



2. §192.481 Atmospheric corrosion control: Monitoring.
(a) Each operator must inspect each pipeline or portion of pipeline that is
exposed to the atmosphere for evidence of atmospheric corrosion, as follows:
If the pipeline is lo-
cated:
Then the frequency of inspection is:
Onshore………….
Offshore………….
At least once every 3 calendar years,
but with intervals not exceeding 39
months
At least once each calendar year, but
with intervals not exceeding 15
months
(b) During inspections the operator must give particular attention to pipe at
soil-to-air interfaces, under thermal insulation, under disbonded coatings, at
pipe supports, in splash zones, at deck penetrations, and in spans over water.
(c) If atmospheric corrosion is found during an inspection, the operator must
provide protection against the corrosion as required by § 192.479.
External pitting corrosion was found on welds at the Little Skookum bridge crossing.
Pipelines need to be surveyed for atmospheric corrosion every year, due to the
exposure to the ocean, and remediated when corrosion is found.
The probable violation is based on photographic evidence taken during the inspection.
3. §192.703 General.
(a) No person may operate a segment of pipeline, unless it is maintained in
accordance with this subpart.
(b) Each segment of pipeline that becomes unsafe must be replaced, repaired, or
removed from service.
Wind-induced vibration dampeners were inspected as PHMSA traveled along the
pipeline. Several were seen with broken lengths, and the damper weights lying on the
tundra. Badami has had two failures due to wind induced vibration of the gas
pipeline in the past. Badami must repair the pipeline to ensure safe operations.
The probable violation is based upon visual inspection by PHMSA and BPXA’s annual Line
Walk Survey.
Under 49 United States Code, § 60122, you are subject to a civil penalty not to exceed
$100,000 for each violation for each day the violation persists up to a maximum of
$1,000,000 for any 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
2



the item(s) identified in this letter. Failure to do so will result in BPXA 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 5-2010-0016W. 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,
Dennis Hinnah
Deputy Director, Western Region
Pipeline and Hazardous Materials Safety Administration
cc: PHP-60 Compliance Registry
B. Flanders (#130728)
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