MARATHON PIPE LINE LLC

Incident Narrative

NOTE ON 3/15/2013: WHILE ASSESSING NEWLY ACQUIRED ASSETS ON 3/1/2013, A SMALL PACKING RELEASE WAS DISCOVERED ON A VALVE. THE DECISION WAS MADE THAT THE SAFEST COURSE OF ACTION TO REPAIR THE RELEASE IT TO REPLACE THE VALVE. VALVE HAS BEEN PLACED ON A MONITORING PLAN, EQUIPMENT IS BEING ORDERED, AND A REPAIR PLAN IS BEING DEVELOPED. UPDATED APRIL 18, 2013 VALVE IS SCHEDULED TO BE REPLACED THE WEEK OF MAY 15, 2013. UPDATE SEPTEMBER 20, 2013 WITHIN A SHORT PERIOD OF TIME SIX SMALL VALVE PACKING LEAKS WERE DISCOVERED ON A NEWLY ACQUIRED BUTANE LINE. BECAUSE MANY OF THESE VALVES WERE NEARING THE END OF THEIR USEFUL LIFE, MPL DECIDED TO REPLACE ALL SIX VALVES AT ONCE. IF THIS VALVE WOULD HAVE BEEN THE ONLY VALVE LEAKING WE WOULD HAVE REPAIRED THIS VALVE TO STOP THIS LEAK AT A COST OF $4500. IN CHOOSING TO GO ABOVE-AND-BEYOND BY REPLACING THE VALVE, THE ACTUAL COST IS $143,167. VALVE WAS SUCCESSFULLY REPLACED THE WEEK OF MAY 15, 2013. THE BLOWDOWN AMOUNTS GIVEN IN THIS REPORT REFLECT ESTIMATES BASED ON ASSUMPTIONS KNOWN AT THE TIME.