1. INGAA Direct Assessment Industry Workgroups Drew Hevle El Paso Corporation

2. Overview External Corrosion Direct Assessment workgroup – Sponsored by INGAA – Many other participating organizations – Validation efforts – PRCI, NGA, PG&E, AGA/GTI

3. Overview Other workgroups – Internal corrosion direct assessment – SCC direct assessment

4. Goals of workgroups Provide forum for participation for operators, contractors, and regulators Distribute information Coordinate research and validation efforts Identify gaps

5. Goals of workgroups Discuss and propose new research Provide input to standards and regulatory development Develop and distribute protocols Identify new technologies and applications

6. ECDA Workgroup ECDA workgroup headed by Drew Hevle of El Paso Latest meeting September 26 in Houston Conference calls being held bi-weekly Next meeting December 18 in Houston

7. ECDA Workgroup Makeup ECDA distribution list includes approximately 125 members – 60 operators (includes gathering, transmission and distribution) – 50 contractors/industry organizations – 15 regulators (both state and federal) – Some participants from outside the natural gas industry, some international, not all interest strictly in Title 49 changes Similar distribution for ICDA workgroup

8. ECDA Workgroup (fun and exciting)

9. ECDA Workgroup Status – PRCI validation project updates from nine of the participating companies – Development of an ECDA Guidebook to aid in converting the NACE standard RP 0502 into procedures and specifications

10. ECDA Workgroup Status – Update on NGA’s validation effort – Soils model update – Opportunities for site visits

11. PRCI High-Impact Program Co-funded by DOT, managed by Fred Joyner Programs – External Corrosion Direct Assessment Review of 2000/2001 data ECDA validation project Reliability-based risk assessment Soils model ECDA Manual – Others

12. PRCI High-Impact Program Companies were requested to volunteer pipeline segments that had been in-line inspected recently – Most pipelines were large diameter coated transmission gas pipelines Protocol developed to apply NACE 0502 in a consistent manner

13. PRCI High-Impact Program Consultants provided to conduct the indirect inspections and direct examinations in a consistent manner Additional tools evaluated, such as EUPEC RMS Delta survey, soils model, Miller DA meter, additional direct examinations made

14. PRCI High-Impact Program Participating companies – CenterPoint Energy – Duke Energy/Union & Texas Eastern – El Paso/Tennessee Gas – Enbridge/Consumers – Gulf South (2 segments) – Panhandle (2 segments) – SoCal (3 segments) – Williams

15. PRCI High-Impact Program Results – Goal to complete direct examinations by Thanksgiving – Periodic updates at ECDA workgroup meetings and conference calls – PRCI will generate a final report available in 2004

16. ECDA Workgroup Gaps identified – Identify the limits of the NACE standard Shielding coating Rocky backfill Adjacent metallic structures

17. ECDA Workgroup Gaps identified – Confirmatory direct assessment PRCI project conducted with ILI and ECDA results Would be relatively simple to take this existing data and evaluate for effectiveness with CDA

18. ECDA Workgroup Gaps identified – New methods for calculating reassessment intervals – Better and more efficient indirect assessment tools for bare and poorly coated pipelines

19. ECDA Workgroup Gaps identified – Need for consistency in application – Need for standards for indirect inspections – Issues with telluric currents and new inspection techniques

20. ICDA Workgroup ICDA headed by Garry Matocha of Duke Energy Latest meeting October 20, 2003 Next meeting scheduled for January 2004

21. ICDA Workgroup Status – NACE RP for ICDA (Dry Gas Systems) expected to go out for ballot this week – Short uninspectable segments are portions of the systems which will be difficult to evaluate. Additional work in this area is needed.

22. ICDA Workgroup Status – The CDA work group requested input regarding CDA procedures for internal corrosion. This is currently under development by a smaller group which will circulate the proposed procedures to the larger work group for comment prior to the next meeting.

23. SCCDA Workgroup SCCDA standard is still in the development stage – NACE TG 273 is developing the standard – Chair John Beavers, vice-chair Jim Marr – Preliminary draft discussed at NACE Corrosion Technology Week in September in Pittsburgh No formal workgroup has been created yet

24. Participation If you would like to participate in any of these groups, please contact – ECDA – Drew Hevle drew.hevle@elpaso.com – ICDA – Garry Matocha gmmatocha@duke-energy.com

25. INGAA Direct Assessment Industry Workgroups Drew Hevle El Paso Corporation