MAGELLAN PIPELINE COMPANY, LP

Incident Narrative

DURING A DAILY ROUTINE INSPECTION OF THE FACILITY MAGELLAN PERSONNEL DISCOVERED A LEAKING FLANGE ON AN EXTERNALLY MOUNTED TANK PUMP ON A BREAK-OUT TANK. REPAIR PERSONNEL WERE CALLED IN AND THE FLANGE WAS INSPECTED AND REPAIRED. THE GASKET ON THE FLNAGE CONNECTION WAS DISCOVERED TO HAVE FAILED, ALLOWING PRODUCT TO BE RELEASED INTO THE TANK CONTAINMENT AREA. THE GASKET WAS REPLACED AND OTHER SIMILAR FLANGES INSPECTED AND THE TANK RETURNED TO SERVICE. 142 TONS OF IMPACTED SOIL WAS REMOVED AND DISPOSED OF ACCORDING TO COMPANY AND STATE STANDARDS. THE RELEASED PRODUCT INFILTRATED THE SUBSURFACE IMPACTING THE SOIL AND GROUNDWATER UNDER MAGELLAN'S ROSEMOUNT PUMP STATION AND MAGELLAN INSTITUTED A LONG-TERM PRODUCT RECOVERY PROJECT. THE RELEASED PRODUCT DID NOT MIGRATE OFF OF MAGELLAN'S PROPERTY. TO DATE, APPROXIMATELY 1,052.38 BBL OR 88% OF THE PRODUCT ESTIMATED TO HAVE INFILTRATED THE SUBSURFACE HAS BEEN RECOVERED. RECOVERY CONTINUES UTILIZING A SOIL VAPOR EXTRACTION AND BIOVENTING SYSTEM UNDER THE AUSPICES OF THE MINNESOTA POLLUTION CONTROL AGENCY. PHMSA'S HAZARDOUS LIQUID ACCIDENT REPORT FILING INSTRUCTIONS REVISED IN DECEMBER, 2012 (& REVISED AGAIN IN 7-2014) PERMIT FILING A FINAL REPORT CONTAINING THE ESTIMATED TOTAL VOLUME OF PRODUCT EXPECTED TO BE RECOVERED ALONG WITH THE PROJECTED COST OF THE TOTAL ENVIRONMENTAL REMEDIATION ""...WHEN THE ACCIDENT RESPONSE CONSISTS ONLY OF LONG-TERM REMEDIATION AND/OR MONITORING WHICH IS BEING CONDUCTED UNDER THE AUSPICES OF AN AUTHORIZED GOVERNMENTAL AGENCY OR ENTITY...AND WHEN THE ESTIMATED FINAL COSTS AND VOLUME OF COMMODITY RECOVERED CAN BE PREDICTED WITH A REASONABLE DEGREE OF ACCURACY"" (PAGE 5 OF 30 OF THE INSTRUCTIONS). AS LISTED ELSEWHERE IN THIS REPORT THE PROJECTED TOTAL PRODUCT RECOVERY IS ESTIMATED TO BE 1,195 BBLS, AND THE TOTAL ENVIRONMENTAL REMEDIATION COST IS ESTIMATED TO BE $1,797,701.