# FAIRBANKS NATURAL GAS — Notice of Amendment

- **operation:** document
- **citation:** CPF 520163003M
- **title:** FAIRBANKS NATURAL GAS — Notice of Amendment
- **source type:** enforcement
- **agency:** Pipeline and Hazardous Materials Safety Administration
- **status:** historical
- **official:** true
- **published on:** 2016-08-19
- **effective on:** Not available
- **summary:** CLOSED notice of amendment citing 193.2801.
- **machine formats:** - **json:** https://regulus.evalyn.ai/document/phmsa-enforcement-520163003m.json
- **markdown:** https://regulus.evalyn.ai/document/phmsa-enforcement-520163003m.md
- **app url:** https://regulus.evalyn.ai/document/phmsa-enforcement-520163003m
- **source url:** https://primis.phmsa.dot.gov/enforcement-data/case/520163003M
**body:**

Notice of Amendment involving FAIRBANKS NATURAL GAS. PHMSA's enforcement data identifies the cited regulation as 193.2801. The case was opened on 2016-08-19 and is reported as closed as of 2016-11-16. Open the official case record for notices, responses, orders, and the latest status.

Official case documents:

520163003M_Closure Letter_11162016.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520163003M/520163003M_Closure%20Letter_11162016.pdf

520163003M_Closure Letter_11162016_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520163003M/520163003M_Closure%20Letter_11162016_text.pdf

520163003M_Notice of Amendment_08192016.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520163003M/520163003M_Notice%20of%20Amendment_08192016.pdf

520163003M_Notice of Amendment_08192016_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520163003M/520163003M_Notice%20of%20Amendment_08192016_text.pdf

520163003M_Operator Response to Notice_09232016.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520163003M/520163003M_Operator%20Response%20to%20Notice_09232016.pdf

520163003M_Notice of Amendment_08192016_text.pdf

NOTICE OF AMENDMENT
CERTIFIED MAIL - RETURN RECEIPT REQUESTED
August 19, 2016
Mr. Daniel W. Britton
President and CEO
Fairbanks Natural Gas, LLC
3408 International Way
Fairbanks, Alaska 99701
CPF 5-2016-3003M
Dear Mr. Britton:
On April 18-20 and June 6-10, 2016, representatives of the Pipeline and Hazardous Materials
Safety Administration (PHMSA), pursuant to Chapter 601 of 49 United States Code,
inspected Fairbanks Natural Gas, LLC’s (FNG) Standard Operating Procedures (SOPs) for
their LNG facilities in Fairbanks, Alaska.
On the basis of the inspection, PHMSA identified the apparent inadequacy within FNG’s
plans or procedures, as described below:
1. §193.2801 Fire protection.
Each operator must provide and maintain fire protection at LNG plants
according to sections 9.1 through 9.7 and section 9.9 of NFPA-59A-2001
(incorporated by reference, see §193.2013). However, LNG plants existing on
March 31, 2000, need not comply with provisions on emergency shutdown
systems, water delivery systems, detection systems, and personnel qualification
and training until September 12, 2005.



[NFPA 59A 2001 Section 9.9.1 Manual emergency depressurizing means shall be
provided where necessary for safety. Portions of the plant that can be isolated
from storage tanks or other sources of supply can be depressurized by venting to
the atmosphere. The discharge shall be directed so as to minimize exposure to
personnel or equipment.]
FNG’s procedure that covered the process for depressurizing a plant or venting LNG in the
event of an emergency was not in accordance with NFPA 59A, Section 9.9.1., which was
incorporated by reference into 49 CFR 193. In particular, SOP 6101 General Description of
LNG Storage Facilities p.2 #3(Rev 9 ED 4/15/16) notes that “... each tank has a blowdown
valve that allows a manual release of pressure.” However, SOP 6101 lacks the other
requirements of NFPA 59A 2001 Section 9.9.1 with respect to storage isolation, atmospheric
venting, and minimizing personnel exposure to discharge.
Response to this Notice
This Notice is provided pursuant to 49 U.S.C. § 60108(a) and 49 C.F.R. § 190.237. Enclosed
as part of this Notice is a document entitled Response Options for Pipeline Operators in
Compliance Proceedings. Please refer to this document and note the response options. 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). If you do not respond
within 30 days of receipt of this Notice, this constitutes a waiver of your right to contest the
allegations in this Notice and authorizes the Associate Administrator for Pipeline Safety to
find facts as alleged in this Notice without further notice to you and to issue a Final Order.
If, after opportunity for a hearing, your plans or procedures are found inadequate as alleged in
this Notice, you may be ordered to amend your plans or procedures to correct the
inadequacies (49 C.F.R. § 190.237). If you are not contesting this Notice, we propose that
you submit your amended procedures to my office within forty-five (45) days of receipt of
this Notice. This period may be extended by written request for good cause. Once the
inadequacies identified herein have been addressed in your amended procedures, this
enforcement action will be closed.
It is requested (not mandated) that FNG maintain documentation of the safety improvement
costs associated with fulfilling this Notice of Amendment (preparation/revision of plans,
procedures) and submit the total to Chris Hoidal, Director, Western Region, Pipeline and
2



Hazardous Materials Safety Administration. In correspondence concerning this matter, please
refer to CPF 5-2016-3003M and, for each document you submit, please provide a copy in
electronic format whenever possible.
Sincerely,
Chris Hoidal
Director, Western Region
Pipeline and Hazardous Materials Safety Administration
Enclosure: Response Options for Pipeline Operators in Compliance Proceedings
cc: PHP-60 Compliance Registry
PHP-500 Jennifer Owens (#152965)
3

520163003M_Closure Letter_11162016_text.pdf

CERTIFIED MAIL - RETURN RECEIPT REQUESTED
November 16, 2016
Mr. Daniel W. Britton
President/CEO
Fairbanks Natural Gas, LLC
3408 International Way
Fairbanks, Alaska 99701
CPF 5-2016-3003M
Closure Letter
Dear Mr. Britton,
On April 18-20 and June 6-10, 2016, representatives of the Pipeline and Hazardous Materials
Safety Administration (PHMSA), pursuant to Chapter 601 of 49 United States Code,
conducted an on-site pipeline safety inspection of Fairbanks Natural Gas’s (FNG) procedures
in Fairbanks, Alaska. As a result of the inspection, FNG was issued a Notice of Amendment
on August 19, 2016, which proposed amendment of your procedures.
FNG submitted its amended procedures on September 23, 2016. PHMSA staff reviewed the
amended procedures, and it appears that the inadequacies outlined in this Notice of
Amendment have been corrected.
This letter is to inform you that no further action is necessary and this case is now closed.
Thank you for your cooperation.
Sincerely,
Chris Hoidal
Director, Western Region
Pipeline and Hazardous Materials Safety Administration
cc: PHP-60 Compliance Registry
PHP-500 J. Owens (#152965)
PHP-500 D. Hassell
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