TC Energy Shares Initial Investigation Findings, Revised Release Volume and Actions

We continue to progress our remediation and the root cause investigation at our Keystone Milepost-14 incident site in Washington County, Kansas, with the following updates of note:

  • We have advanced our root cause investigation with the completion of an independent mechanical and metallurgical analysis of the failed pipe. The analysis concludes that the failure occurred due to a combination of factors, including bending stress on the pipe and a weld flaw at a pipe to fitting girth weld that was completed at a fabrication facility.

Although welding inspection and testing were conducted within applicable codes and standards, the weld flaw led to a crack that propagated over time as a result of bending stress fatigue, eventually leading to an instantaneous rupture. The cause of the bending stress remains under investigation as part of the broader third-party root cause failure analysis.

The metallurgical analysis identified no issues with the strength or material properties of the pipe or manufactured fitting. The pipeline was operating within its operational design and within the pipeline design maximum operating pressure.

Our focus continues to be the safe operation of the pipeline system. Additional operational mitigations, such as reduced operating pressure, are in place to support the safe operations of our system while we continue our response and investigation. Our team is progressing a remediation plan, including an analysis of other areas with potentially similar conditions, the use of additional in-line inspections, and further operational mitigations.

  • We have revised the release volume to 12,937 barrels from the original estimated maximum of 14,000 barrels. The revised volume is the actual measured volume of crude oil injected during the re-fill of the pipeline system during its safe restart.
  • Our commitment to remediation, investigation and shared learnings is unwavering. To support this, we have arrived at a cost estimate of US$480 million. This estimate may be adjusted as we continue to progress work on site. We have appropriate insurance coverage in place and are working with our insurers to maximize cost recoveries.

We will continue to provide updates as information becomes available.

Derek Nester
Derek Nester
Derek Nester was born and raised in Blue Rapids and graduated from Valley Heights High School in 2000. He attended Cowley College in Arkansas City and Johnson County Community College in Overland Park studying Journalism & Media Communications. In 2002 Derek joined Taylor Communications, Inc. in Salina, Kansas working in digital media for 550 AM KFRM and 100.9 FM KCLY. Following that stop, he joined Dierking Communications, Inc. stations KNDY AM & FM as a board operator and fill-in sports play-by-play announcer. Starting in 2005 Derek joined the Kansas City Chiefs Radio Network as a Studio Coordinator at 101 The Fox in Kansas City, a role he would serve for 15 years culminating in the Super Bowl LIV Championship game broadcast. In 2020 he moved to Audacy, formerly known as Entercom Communications, Inc. and 106.5 The Wolf and 610 Sports Radio, the new flagship stations of the Kansas City Chiefs Radio Network, the largest radio network in the NFL. Through all of this, Derek continues to serve as the Digital Media Director for Sunflower State Radio, the digital and social media operations of Dierking Communications, Inc. and the 6 radio stations it owns and operates across Kansas.

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