Mr. Michael A. John Senior Vice President - Drilling and Operations Columbia Natural Resources, LLC 900 Pennsylvania Avenue Post Office Box 6070 Charleston, WV 25362-0070 _ _________________________________________ In the Matter of ) ) Columbia Natural Resources, LLC, ) CPF No. 2-2005-1017 A Triana Energy Company ) ) Respondent. __________________________________________) _ 60117, representatives of the Pipeline and Hazardous Materials Safety Administration (PHMSA), Southern Region, Office of Pipeline Safety an investigation of the April 30, 2005, incident involving Respondent’s B-6 pipeline located near Inez, Kentucky. As a result of the investigation, the Director, Southern Region, OPS, issued to Respondent, by letter dated January 20, 2006, a Notice of Probable Violation and Proposed Compliance Order (Notice) _ _ 192.457–Failure to cathodically protect buried or submerged pipeline installed before August 1, 1971. Respondent’s external corrosion control program did not cathodically protect the bare B-6 pipeline section that crossed the Coldwater Creek in the Stepp Branch Bottom area near Inez, KY, which leaked due to external corrosion. _ __ _ _ 60118 (b) and 49 C.F.R. _ 190.217, Respondent is ordered to take the following actions to ensure compliance with the pipeline safety regulations applicable to its operations. Respondent must - 1. Develop and implement a written plan to identify, locate and cathodically protect bare pipe in those areas that may be similar to the Coldwater Creek area in Stepp Bottom Branch near Inez, Kentucky, where the corrosion leak occurred on the bare 8-inch B-6 line. The plan must include a detailed investigation of all buried pipeline exposures in the system. Complete this item within 90 days of receipt of this Order. 2. Develop procedures and processes to ensure that detailed records are maintained to demonstrate the adequacy of corrosion control measures on your pipeline facilities. Complete this item within 90 days of receipt of this Order. 3. Submit documentation and evidence of completion of these actions to Ms. Linda Daugherty, Director, OPS, Southern Region, Pipeline and Hazardous Materials Safety Administration, 233 Peachtree Street, Suite 600, Atlanta, GA 30303. The Director, OPS, Southern Region may grant an extension of time for compliance with any of the terms of this order for good cause. A request for an extension must be in writing and adequately justifies the reasons for the extension. Failure to comply with this Final Order may result in the assessment of civil penalties of up to $100,000 per violation per day, or in the referral of the case for judicial enforcement. _ 190.215, Respondent has a right to submit a Petition for Reconsideration of this Final Order. The petition must be received within 20 days of Respondent's receipt of this Final Order and must contain a brief statement of the issue(s). The terms of the order, including any required corrective action, remain in full effect unless the Associate Administrator, upon request, grants a stay. The terms and conditions of this Final Order are effective on receipt. _________________________________ ________________________ Stacey Gerard Date Issued Associate Administrator for Pipeline Safety C:\Documents and Settings\sabrina.morris\Local Settings\Temporary Internet Files\OLK5\Columbia Natural 220051017 CO.wpd