KINDER MORGAN LIQUID TERMINALS, LLC

Incident Narrative

DURING THE AFTERNOON OF 1/13/2010 AT APPROXIMATELY 1330 HOURS, THE FOLLOWING TIME LINE OF EVENTS OCCURRED ASSOCIATED WITH THE TANK 150-15 SPILL: - 1330 HOURS - MAINTENANCE EMPLOYEE OBSERVED GASOLINE NEAR TANK 150-15. - 1330 HOURS - OPERATION WAS ON SCENE TO ASSESS POSSIBLE SOURCE OF LEAK. - 1400 HOURS - EMERGENCY RESPONSE TEAM MEMBERS SHOW UP TO ASSESS SAFETY RESPONSE MITIGATION; BOOM DEPLOYED TO ENSURE PRODUCT SPILL REMAINS IN LOCAL AREA NEAR TANK. - 1415 HOURS - OPERATIONS DETERMINES THAT JURISDICTIONAL EQUIPMENT COULD POSSIBLY BE THE SOURCE OF THE PRODUCT LEAKING TO THE SOIL. - 1430 HOURS - ENVIRONMENTAL HEALTH AND SAFETY (EHS) DEPARTMENT ON-SCENE ASSISTED OPERATIONS IN ESTIMATING SPILLED AMOUNT POOLED IN A 1 TO 12 INCH WIDE SWATH AROUND TANK CIRCUMFERENCE/TANK CHIME. PRODUCT ALSO APPEARED TO BE SEEPING UP THROUGH SOIL NEAR TANK DISCHARGE PIPING. CALCULATIONS PERFORMED BY OPERATIONS AND EHS DETERMINED THE ESTIMATED SPILL VOLUME TO BE 6 BBLS TO IMPACTED TANK DIKE SOIL. - 1441 HOURS - KINDER MORGAN MAKES SPILL REPORT TO NRC NO. 928493. OTHER AGENCIES CONTACTED INCLUDED TCEQ/SERC AND TXRRC (RPT NO. 10-H-073). - 1440 - 1700 HOURS - FREE LIQUID PRODUCT VACUUMED UP OR ADSORBED ONTO BOOM OR PADS. - 1440 1/13/10 THROUGH 0700 1/14/10 - TK 150-15 WAS EMPTIED OF GASOLINE PRODUCT. DURING THE EVENT, NO ONE WAS INJURED OR EXPOSED TO VOCS ABOVE THE PELS. AGENCY NOTIFICATIONS WERE MADE TO THE NRC, SERC/TCEQ TXRRC AS SOON AS PRACTICABLE. KMLT IS ACTIVELY REMEDIATING THE SITE AND IS PROPERLY DISPOSING OF THE IMPACTED SOIL. THE SPILL SITE WILL BE CLEANED UP TO SITE SCREENING LEVELS. + DURING SUBSEQUENT DAYS THE TANK WAS CLEANED AND INSPECTED. IT HAS BEEN DETERMINED FROM VISUAL INSPECTION THAT A CRACKED WELD SEAM AT THE JOINT WHERE THE 36"" PIPE JOINS THE SUMP FAILED CAUSING THE RELEASE. AT THIS TIME, NO KNOWN FAILURE CAUSED THE STRESS ON THE WELD JOINT AND SUBSEQUENT CRACK/RELEASE. THIS CRACKED WELD SEAM EVENT IS SIMILAR TO THE EVENT THAT OCCURRED AT TK-150-42 ON 1/9/10 SEE NRC NOTIFICATION REPORT NO 928068. THE MECHANICAL FAILURE OF THE WELD SEAMS AT THE TANK SUMPS (150-42 AND 150-15) ARE UNDER INVESTIGATION AND THE 7000-1 REPORTS WILL BE UPDATED IF A KNOWN ROOT CAUSE FAILURE IS IDENTIFIED.