{"operation":"document","citation":"PI-79-016","title":"Exchange Oil & Gas Corporation — Pipeline Safety Interpretation","source_type":"guidance","agency":"Pipeline and Hazardous Materials Safety Administration","status":"guidance","official":true,"published_on":"1979-05-30","effective_on":null,"summary":"PI-79-016 response to Exchange Oil & Gas Corporation concerning 195.1.","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-interpretation-pi-79-016.json","markdown":"https://regulus.evalyn.ai/document/phmsa-interpretation-pi-79-016.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-interpretation-pi-79-016","source_url":"https://www.phmsa.dot.gov/sites/phmsa.dot.gov/files/legacy/interpretations/Interpretation%20Files/Pipeline/1979/PI79016.pdf","body":"<<<PAGE 1>>>\n\nMay 30, 1979\nMr. Peter R. Monrose\nGeneral Counsel & Secretary\nExchange Oil & Gas Corporation\n16th Floor - 1010 Common Street\nNew Orleans, Louisiana 70112\nDear Mr. Monrose:\nWe were recently asked to respond to the question in your letter\nof July 31, 1978, to Mr. Robert F. Aubry, Chief Southwest Region,\nasking whether the regulations in 49 CFR Part 195 would apply to\na pipeline in which the liquid being transported is owned by the\nowners of the pipeline.\nIn accordance with 18 USC 834, the regulations in Part 195 are\nbinding on all carriers engaged in interstate or foreign commerce\nby pipeline. The term \"carrier\" is defined in 18 USC 831 to\ninclude a common, contract, or private carrier as those terms are\nused in the Interstate Commerce Act. Under Section 203(a)(17) of\nthis Act, A \"private carrier\" is defined as any person who\ntransports for commercial purposes, property of which such person\nis the owner. Thus, under these provisions of law, a pipeline is\nnot excluded from the applicability of Part 195 merely because\nthe pipeline owners own the commodity being transported.\nSincerely,\nCesar DeLeon\nAssociate Director for\nPipeline Safety Regulation\nMaterials Transportation Bureau\ndal\\195\\203\\79-05-30\n1\n\n<<<PAGE 2>>>\n\nJuly 31, 1978\nDepartment of Transportation\nSouthwest Region\n6622 Hornwood Drive\nHouston, Texas 77004\nAttention: Mr. Robert F. Aubry, Chief\nRE: DMT-10\nSafety Regulations\nOffshore Pipelines\nGentlemen:\nThis is in response to your letters of July 7, 1978,\naddressed to the South Coast Corporation and Knob Hill Oil & Gas\nCo., Inc. Exchange Oil & Gas Corporation is answering your\nletters because it manages the oil and gas operations of South\nCoast and Knob Hill.\nBased on our review of the regulations which were attached\nto your letters, it is our opinion that neither The South Coast\nCorporation nor Knob Hill Oil & Gas Co., Inc. are, at the present\ntime, subject thereto. As we interpret these regulations, they\nwould appear to apply only to those parties operating pipelines\nin the offshore area. While both South Coast and Knob Hill own\nan interest in one liquid line and in one gas line, these\ncompanies do not operate either line.\nWe do have one question for which we would like to have an\nanswer. The regulations dealing with liquid lines appear to\ncover only those lines operated by a carrier as that term is\ndefined in Sections 831-835 of Title 18, United States Code.\nThose sections of the United States Code are seemingly concerned\nwith a common carrier. The one liquid line in which South Coast\nand Knob Hill have an interest in is not a common carrier line in\nany sense of the word. All of the liquids in this line are owned\nby the owners of the line. Accordingly, we request an indication\nfrom you as to whether a line of this nature is covered by Part\n195 of the regulations dealing with the transportation of liquids\nby pipeline.\nVery truly yours,\nEXCHANGE OIL & GAS CORPORATION\ndal\\195\\203\\79-05-30\n2","truncated":false,"body_characters":2960}