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FREMONT ENVIRONMENTAL INC. <br />March 2, 2007 <br />' Mr. Tom McCormick <br />Rocky Mountain Pipeline LLC <br />' 1575 Highway 150 South <br />Suite E <br />Evanston, WY 82930 <br />Subject: Longmont Pipeline Release <br />SRS # PPX-Longmont <br />' Fremont Project No. 0006-015 <br />Dear Mr. McCormick: <br />As you requested, Fremont Environmental Inc. (Fremont) has prepared this summary of events <br />regarding the October 30, 2006 release of unleaded gasoline from the pipeline near Longmont, <br />Colorado. This release occurred as a result of a third-party rupturing the Rocky Mountain Pipeline <br />' LLC (RMPS) petroleum pipeline about one mile north of Highway 119 and one-half mile east of <br />Interstate Highway 25. <br />' On October 30, 2006, Mr. Jim Papstein contacted Fremont to inform us of the release and requested <br />that we mobilize to the site and assist in the emergency response effort. Fremont personnel (Paul <br />Henehan and Kelly Fahrlander) arrived at the site at approximately 1:30 PM. <br />' The release site is part of a large residential development being constructed by Bayshore <br />Development Inc. (Bayshore). As part of the initial development, Bayshore contracted with <br />Environmental Barrier Company, LLC (doing business as Geo-Con and hereinafter referred to as <br />Geo-Con), to install a bentonite slurry around the existing ponds at the site. The intent of the slurry <br />wall is to maintain a desired water level in the site ponds which would otherwise fluctuate with the <br />water level in the adjacent St. Wain River. <br />In order to complete the installation of the bentonite slurry wall, Geo-Con was required to cross the <br />existing RMPS pipeline, which is an 8-inch diameter, high pressure, petroleum products pipeline. <br />The depth of the buried pipeline was approximately 12 feet while the depth of the slurry wall was <br />' approximately 40 feet. Therefore, Geo-Con had to excavate above and below the pipeline and install <br />bentonite slurry around the pipeline. Due to the alluvial nature of the soil in this area, sloughing of <br />the trench was a problem for Geo-Con. To prevent that sloughing, the bentonite slurry was pumped <br />' into the trench essentially as it was excavated. <br />During the excavation of the slurry wall, the bucket of Geo-Con's excavator struck and ruptured the <br />' pipeline while unleaded gasoline was present inside the pipeline. The operator of the excavator was <br />not able to actually see the pipeline since it was covered with approximately 12 feet of bentonite <br />slurry. However, the release was quickly noted because gasoline bubbled to the top of the liquid <br />bentonite slurry and collected on the top of the trench as shown below. <br />' 1530 BOISE AVENUE, SUITE 205, LOVELAND, CO 80538 <br />(970) 663-2301 (DIRECT), (970) 663-2300 (FAX)