MAGELLAN AMMONIA PIPELINE, L.P.

Incident Narrative

A MAGELLAN AREA SUPERVISOR FLYING WITH THE AERIAL PATROL IN A HELICOPTER ON A REGULARLY SCHEDULED PATROL SPOTTED WHAT APPEARED TO BE A PATCH OF DEAD VEGETATION IN WHEAT STUBBLE. THE HELICOPTER LANDED NEXT TO THE AREA OF CONCERN WHERE THE MAGELLAN SUPERVISOR MADE THE DETERMINATION THAT A LEAK HAD OCCURRED. A REPAIR CREW WAS MOBILIZED TO THE SCENE, THE LOCATION WAS EXCAVATED AND A CRACK IN THE PIPE APPROXIMATELY 1 INCH LONG WAS FOUND. STOPPLES WERE SET, PRODUCT EVACUATED INTO NURSE TANKS AND THE PIPE SEGMENT WAS REMOVED AND REPLACED WITH NEW, PRE-TESTED PIPE. THE PIPE SPECIMEN WITH THE FEATURE WAS SENT TO A LABORATORY FOR METALLURGICAL ANALYSIS WHICH IDENTIFIED THE CAUSE OF THE RELEASE AS CIRCUMFERENTIALLY ORIENTED STRESS COROSION CRACKING. THE LINE WAS SUCCESSFULLY HYDROSTATICALLY TESTED PER 49 CFR PART 195, SUBPART E BEFORE BEING RETURNED TO SERVICE. APPROXIMATELY 800 CUBIC YARDS OF IMPACTED SOIL HAVE BEEN REMEDIATED TO DATE UNDER THE AUSPICES OF THE KDHE. NOTE, PER PHMSA INSTRUCTIONS (REV 12-2015) FOR FORM PHMSA F 7000-1 (REV 7-2014) ACCIDENT REPORT - HAZARDOUS LIQUID PIPELINE SYSTEMS OMB NO. 2137-0047 EXPIRES:12/31/2016, PAGE 5 OF 13 PROVIDES: ""IN CASES WHERE AN ACCIDENT RESULTS IN LONG-TERM REMEDIATION, AN OPERATOR MAY CEASE FILING SUPPLEMENTAL REPORTS IN THE FOLLOWING SITUATIONS AND, INSTEAD, FILE A FINAL REPORT WHEN ADDITIONAL REMEDIATION COSTS AND RECOVERY OF RELEASED COMMODITY ARE STILL OCCURRING: ""2. WHEN THE ESTIMATED FINAL COSTS AND VOLUME OF COMMODITY RECOVERED CAN BE PREDICTED WITH A REASONABLE DEGREE OF CERTAINTY."" BASED ON THAT GUIDANCE, THIS SUPPLEMENTAL-FINAL REPORT CONTAINS ESTIMATES IN PARTA, #11 OF THE TOTAL VOLUME OF PRODUCT EXPECTED TO BE ULTIMATELY RECOVERED, ALONG WITH ANTICIPATED TOTAL COSTS IN PART D, #8, IN COMPLIANCE WITH THE PROVISIONS OF #2 REFERENCED ABOVE. FURTHER, IT IS ANTICIPATED THAT RECOVERY, WHICH IS SCHEDULED TO CONTINUE THROUGH 2018, WILL SOON BE TRANSFERRED UNDER THE AUSPICE OF THE KANSAS DEPARTMENT OF HEALTH AND ENVIRONMENT (KDHE) VOLUNTARY CLEANUP PROGRAM WHICH OVERSEES REMEDIATION PROGRAMS OF THE TYPE COVERED IN THIS REPORT.