DENBURY GREEN PIPELINE-TEXAS, LLC

Incident Narrative

ON FEBRUARY 14, 2011 A CONTRACT SURVEY CREW NOTICED INDICATIONS OF A POTENTIAL LEAK ON A DENBURY RIGHT-OF-WAY NEAR BEAUMONT, TEXAS. THEY REPORTED THE LEAK TO DENBURY OPERATIONS AND REGULATORY PERSONNEL AT APPROXIMATELY 1:00PM. UPON FURTHER INVESTIGATION, THE LOCATION OF THE POTENTIAL LEAK WAS AT A CROSSING WITH TWO OTHER PIPELINES. DENBURY ELECTED TO HAVE A CONTRACTOR EXCAVATE TO CONFIRM THAT THE LEAK WAS FROM OUR PIPELINE OR FROM ANOTHER SOURCE. IT WAS CONFIRMED THAT THE LEAK WAS FROM DENBURY'S PIPELINE AT 5:30PM. THE INITIAL COST TO REPAIR THE LEAK WAS ESTIMATED AT $90,000, WHICH WOULD REQUIRE NATIONAL RESPONSE CENTER TELEPHONIC REPORTING. THE NRC REPORT WAS ELECTRONICALLY SUBMITTED AT 7:12PM. THE LEAK RATE WAS ESTIMATED AT 2 GALLONS PER HOUR. ISOLATION OF THE LINE SEGMENT WAS ACCOMPLISHED ON FEBRUARY 16, 2011 AT 4:00PM. THE LINE WAS BLOWN DOWN FROM MLV-22 TO THE BEAUMONT STATION (15.8 MILES). ON FEBRUARY 17, 2011, TROY CONSTRUCTION BEGAN LINE REPAIR WORK. OTHER PROJECT DETAILS AND LOGISTICS WERE CONFIRMED, INCLUDING MOVING PRE-TESTED PIPE FROM THE WINNIE, TEXAS YARD TO THE JOBSITE AND MAKING COATING REPAIRS TO THE PRE-TESTED PIPE. OQ AND DRUG AND ALCOHOL PLANS WERE CONFIRMED WITH ALL PARTICIPATING CONTRACTORS AND THEIR PERSONNEL. WITH BLOWDOWN OF THE LINE COMPLETE AND A PRE-JOB SAFETY MEETING CONDUCTED, AIR MOVERS WERE INSTALLED AT MLV-24 AND BEAUMONT STATION IN PREPARATION TO REPLACE LEAKING PIPE 300 YARDS EAST OF BEAUMONT STATION. REMOVED THE LEAKING 24' 46' LONG JOINT AND MADE 1 WELD ON REPLACING PIPE. X-RAY WAS ACCEPTED. MADE SECOND TIE IN WELD ON NEW SECTION OF PIPE. X-RAY WAS ACCEPTED. DOPED AND WRAPPED WELDS AND BACKFILLED. STARTED RE-COMMISSIONING GREEN PIPELINE FROM MLV-22 TO BEAUMONT STATION ON FEBRUARY 18, 2011 AT 1:20PM. PIPELINE WAS BACK IN SERVICE ON FEBRUARY 19, 2011 AT 5:18AM.