EQUITRANS MIDSTREAM CORPORATION

Incident Narrative

EQUITRANS RAGER MOUNTAIN STORAGE FIELD WAS SHUT-IN ON 11/1/2022 TO PERFORM ROUTINE SHUT-IN INVENTORY VERIFICATION TESTING. ON NOVEMBER 6, 2022, EQUITRANS PERSONNEL WAS NOTIFIED OF AN ISSUE AND ARRIVED ON SITE AT GSW2244 AT APPROXIMATELY 4:15 PM. UPON ARRIVAL, PERSONNEL FOUND GAS ESCAPING FROM THE 9 5/8"" CASING THROUGH A 2"" VENT (ANNULAR VENT). THE SITE WAS SECURED AND AN INVESTIGATION BY EQUITRANS AND CUDD PRESSURE CONTROL ENSUED. STORAGE GAS FROM THE 7"" PRODUCTION CASING WAS COMMUNICATING WITH THE 9 5/8"" INTERMEDIATE CASING AND VENTING TO ATMOSPHERE. EQUITRANS AND CUDD COORDINATED TO SAFELY ADDRESS THE MIGRATING GAS USING A DYNAMIC KILL PROCEDURE. ON 11/19/2022, A TEMPORARY PLUG WAS SET IN THE 7"" CASING FOLLOWED BY A SECOND TEMPORARY PLUG AND APPROXIMATELY 270' OF CEMENT ON 11/20/2022. AN INVESTIGATION IS UNDERWAY TO DETERMINE THE ROOT CAUSE FAILURE ANALYSIS (RCFA) OF THE NATURAL GAS RELEASE. IN THE INTERIM, EQUITRANS PLANS TO PERFORM THE FOLLOWING ACTIVITIES TO INFORM THE RCFA AND ENSURE WELL INTEGRITY PER PHMSA SAFETY REGULATIONS AND API 1171. 1- INSTALLING REAL TIME PRESSURE MONITORS ON THE ANNULUS OF ALL RAGER MOUNTAIN GAS STORAGE WELLS. 2- REANALYZING THE 2016 VERTILOG WIRELINE RESULTS OF THE PRODUCTION CASING FROM WELL 2244 USING THE MOST RECENT SOFTWARE. 3- CONDUCTING A NEW WIRELINE SURVEY (ASSESSMENT) OF THE PRODUCTION CASINGS FOR THE OTHER WELLS WITH A HIGH DEFINITION, METAL LOSS VERTILOG TOOL. 4- EVALUATING ANY OTHER MECHANICAL GAS MIGRATION PATHWAYS BETWEEN THE PRODUCTION AND INTERMEDIATE CASING 5- REVIEWING EXISTING STORAGE WELL EMERGENCY PREPAREDNESS AND RESPONSE PROCEDURES BASED ON LESSONS LEARNED FROM SHUTTING IN WELL 2244 TO IDENTIFY AND IMPLEMENT POTENTIAL IMPROVEMENTS. ***FEBRUARY 2023 SUPPLEMENT*** NOTIFICATION OF THE INCIDENT CLARIFICATION: AT 3:28 PM ON 11/6/2022 EQUITRANS WAS NOTIFIED BY ANOTHER OPERATOR IN THE AREA (PEOPLES) WHO RECEIVED A NOTIFICATION FROM CAMBRIA COUNTY 911 SERVICE. EMERGENCY RESPONDERS WERE ON SITE WHEN EQUITRANS ARRIVED AT 4:15 PM. EQUITRANS EMPLOYEES VERIFIED THE ASSET WAS EQUITRANS GSW 2244 AND WERE IN COMMUNICATION WITH EMERGENCY RESPONDERS ON SITE. ***MAY 2024 SUPPLEMENT*** THE RCFA WAS SUBMITTED TO PHMSA ON AUGUST 24, 2023. AN UNREDACTED COPY IS AVAILABLE IN PHMSA'S PUBLIC READING ROOM. THE RCFA INCLUDES, AMONG OTHER THINGS, THE DIRECT AND ROOT CAUSES OF THE INCIDENT AND THE ALLOTMENT OF INVENTORY CHANGE. EQUITRANS LATER SUBMITTED A REMEDIAL WORK PLAN AND AN INJECTION PLAN TO PHMSA SEEKING AUTHORITY TO RESUME INJECTIONS AT RAGER USING ALL WELLS EXCEPT THREE, WHICH REMAIN DISCONNECTED. ON OCTOBER 2, 2023, PHMSA APPROVED THE INJECTION PLAN. EQUITRANS BEGAN INJECTION AT RAGER ON OCTOBER 5, 2023. ON NOVEMBER 16, 2023, PHMSA ISSUED A LETTER TO EQUITRANS APPROVING ITS REQUEST TO REMOVE ALL PRESSURE RESTRICTION AT RAGER. IN THIS FINAL REPORT, EQUITRANS ESTIMATES GAS COSTS BASED ON A HYPOTHETICAL UNIT PRICE TO REPLACE THE ENTIRETY OF THE ESTIMATED 1.29 BCF OF INVENTORY REDUCTION. EQUITRANS INCLUDES THIS INFORMATION FOR REPORTING PURPOSES ONLY; INCLUDING SUCH INFORMATION DOES NOT REQUIRE OR IMPLY THAT EQUITRANS WILL INCUR ANY SUCH COSTS.