{"operation":"document","citation":"CPF 520186012W","title":"DEVON ENERGY PRODUCTION CO. LP — Warning Letter","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2018-04-16","effective_on":null,"summary":"CLOSED warning letter citing 195.452(b)(2).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-520186012w.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-520186012w.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-520186012w","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/520186012W","body":"Warning Letter involving DEVON ENERGY PRODUCTION CO. LP. PHMSA's enforcement data identifies the cited regulation as 195.452(b)(2). The case was opened on 2018-04-16 and is reported as closed as of 2018-04-16. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n520186012W_Warning Letter_04162018.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520186012W/520186012W_Warning%20Letter_04162018.pdf\n\n520186012W_Warning Letter_04162018_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520186012W/520186012W_Warning%20Letter_04162018_text.pdf\n\n520186012W_Warning Letter_04162018_text.pdf\n\nWARNING LETTER\nCERTIFIED MAIL - RETURN RECEIPT REQUESTED\nApril 16, 2018\nMr. Dave Hager\nPresident and Chief Executive Officer\nDevon Energy Corporation\n333 West Sheridan Avenue\nOklahoma City, Oklahoma 73102-5015\nCPF 5-2018-6012W\nDear Mr. Hager:\nOn December 4 through 8, 2017, a representative of the Pipeline and Hazardous Materials\nSafety Administration (PHMSA), pursuant to Chapter 601 of 49 United States Code (U.S.C.),\ninspected your CO2 pipeline in the vicinity of Riverton, Wyoming.\nAs a result of the inspection, it is alleged that you have committed probable violations of the\nPipeline Safety Regulations, Title 49, Code of Federal Regulations (CFR). The item\ninspected and the probable violation is:\n\n\n\n1. §195.452 Pipeline integrity management in high consequence areas.\n(b) What program and practices must operators use to manage pipeline integrity?\nEach operator of a pipeline covered by this section must:\n(1) …\n(2) Include in the program an identification of each pipeline or pipeline segment\nin the first column of the following table not later than the date in the second\ncolumn:\nPipeline Date\nCategory 1……………………………….. December 31, 2001.\nCategory 2……………………………….. November 18, 2002.\nCategory 3……………………………….. Date the pipeline begins operation.\nDevon Energy Corporation (Devon) did not identify the high consequence area (HCA)1\nsegment on its CO2 pipeline when it began operations in 2008 in accordance with §\n195.452(b)(2). Section 195.452 applies to carbon dioxide pipelines that could affect a HCA,\nincluding any pipeline located in a HCA. Furthermore, pursuant to 49 CFR § 195.452(a),\nDevon’s CO2 pipeline is category 3 pipeline because it was “constructed or converted after\nMay 29, 2001.”2 However, upon review of the Devon Wyoming Hazardous Liquid CO2\nPipeline Ecological Area Study,3 a document provided to OPS during the inspection, this CO2\npipeline was not identified as a pipeline segment that could affect an HCA until October 31,\n2012, four years after the pipeline began operations.\nUnder 49 U.S.C. § 60122 and 49 CFR § 190.223, you are subject to a civil penalty not to\nexceed $209,002 per violation per day the violation persists, up to a maximum of $2,090,022\nfor a related series of violations. For violations occurring prior to November 2, 2015, the\nmaximum penalty may not exceed $200,000 per violation per day, with a maximum penalty\nnot to exceed $2,000,000 for a related series of violations. We have reviewed the\ncircumstances and supporting documents involved in this case, and have decided not to\nconduct additional enforcement action or penalty assessment proceedings at this time. We\nadvise you to correct the items identified in this letter. Failure to do so will result in Devon\nEnergy Corporation being subject to additional enforcement action.\n1 Section 195.450 defines a HCA as: (1) A commercially navigable waterway, which means a waterway where a\nsubstantial likelihood of commercial navigation exists; (2) A high population area, which means an urbanized\narea, as defined and delineated by the Census Bureau, that contains 50,000 or more people and has a population\ndensity of at least 1,000 people per square mile; (3) An other populated area, which means a place, as defined\nand delineated by the Census Bureau, that contains a concentrated population, such as an incorporated or\nunincorporated city, town, village, or other designated residential or commercial area; (4) An unusually sensitive\narea, as defined in § 195.6.\n2 See 49 CFR § 195.452(a)(3).\n3 This document was prepared by American Innovations, who was contracted by Devon to perform a study on\npotential images of Devon’s hazardous liquid and CO2 pipelines in Fremont County, Wyoming to unusually\nsensitive areas as defined by 49 C.F.R. § 195.6.\n\n\n\nNo reply to this letter is required. If you choose to reply, in your correspondence please refer\nto CPF 5-2018-6012W. Be advised that all material you submit in response to this\nenforcement action is subject to being made publicly available. If you believe that any\nportion of your responsive material qualifies for confidential treatment under 5 U.S.C. 552(b),\nalong with the complete original document you must provide a second copy of the document\nwith the portions you believe qualify for confidential treatment redacted and an explanation of\nwhy you believe the redacted information qualifies for confidential treatment under 5 U.S.C.\n552(b).\nSincerely,\nKim West\nDirector, Western Region\nPipeline and Hazardous Materials Safety Administration\ncc: PHP-60 Compliance Registry\nPHP-500 G. Ogirima (#158275)","truncated":false,"body_characters":5236}