CENTURION PIPELINE L.P.

Incident Narrative

AT 18:15 HRS ON MARCH, 2, 2012 DURING A REVIEW OF THE HOURLY TANK REPORTS, THE OPERATIONS CONTROLLER IDENTIFIED A SHORTAGE ON THE WTS TANK VOLUME REPORT FOR WEST FULLERTON STATION. THE OPERATIONS CONTROLLER FOLLOWING ESTABLISHED PROCEDURES NOTIFIED FIELD PERSONNEL AT 18:29 HRS. THE FIELD PERSONNEL WERE SENT TO THE FACILITY TO INVESTIGATE. AT APPROXIMATELY 19:40 HOURS COMPANY PERONNEL DISCOVERED THE LEAK SOURCE INSIDE THE FIREWALL OF TANK 6816. THE LEAK APPREARED TO BE ORIGINATING FROM THE 8 INCH RELIEF LINE ASSOCIATED TO THE TANK. CENTURION IMMEDIATELY THEN ISOLATED AND DRAINED THE SYSTEM AND PROMPTLY COMMENCED REMEDIATION. THE TEXAS RAIL ROAD COMMISSION INSPECTED THE SITE AND APPROVED REMEDIATION ACTIONS TAKEN. IT IS ESTIMATED THAT THE TOTAL COSTS (REPAIRS, OIL UNCOVERED AND EXPENSE OF REMEDIATION) WILL BE $35,000 NO MEMBER OF THE PUBLIC OR ROW WAS IMPACTED, NOR WAS THE WATER OR ENVIRONMENTAL AREA THREATENED. THERE WAS NO FIRE INJURY OR FATALITY AND THE OPERATOR DEEMED THE RELEASE DID NOT OTHERWISE RISE TO THE LEVEL OF SIGNIFICANCE. A COURTESY COPY OF FORM 7000-1 IS PROVIDED TO THE TEXAS RAIL ROAD COMMISSIONS' CONRAD GONZALEZ.