February 21,2019 k i m ol Soisty and tn«f«iiii*n!<ji is\\w*mn (BSf t

Via Electronic Mail + Federal Express (Tracking No.7745 2601 5946) R E C P I V f ^ f ) Bureau of Safety & Environmental Enforcement 1201 Elmwood Park Boulevard P fB 2 2 2019 New Orleans, Louisiana 70123-2394 Attn: Pipeline Section (GE 1035A) Office of F»ia O p e . a u ^

_ . Pipeline Section pipeli nes(a)bsee.gov

RE: Temporary Cessation of Service - Extension Request Pipeline Segment Number 350 Right-of-Way Number OCS-G 04851 Main Pass Block 144, OCS-G 01634 to Main Pass Block 298, OCS-G 01315

Gentlemen:

By letters dated 23 March 2018 and 24 August 2018 (attached hereto) and in accordance with 30 CFR 250.1014, Cantium, LLC ( 'Cantium") (Company Number 03481) was granted two 6-month temporary cessations of operations on the following Right-of-Way pipeline, through February 23, 2019:

Segment: Size: Length: Service; From: To:

350 6-5/8" 25,153' BLKG MP144 MP298

Since 1 September 2017 when Cantium assumed operations ofthe Main Pass Block 299 Field from Chevron U.S.A. Inc. ("Chevron"), Segment Number 350 has been significantly built up with paraffin. Cantium initially performed solvent soaks on Segment Number 350 on 1 November 2017 and again on 7 November 2017. Cantium continued producing through Pipeline Segment 350 until 29 November 2017 when a pig became stuck in the pipeline. It was this event which accelerated the installation of a new lease-term pipeline, being Pipeline Segment Number 19899. to Panther Operating Company, LLC's 18" pipeline, Pipeline Segment Number 11015. to provide redundancy in Main Pass Block 144. The Main Pass Block 144 sales resumed on 18 April 2018 through the new Segment Number 19899.

Thereafter, from 29 April 2018 to 3 May 2018, Cantium installed Plidco clamps at the base of the risers on each end of Segment Number 350 with high pressure hoses connected to the Main Pass Block 144 "A" and Main Pass Block 298 "A" platforms. This operation was to assist with the unplugging effort as approved by the Bureau of Safety and Environmental Enforcement (BSEE) by letter dated 29 March 2018. attached hereto.

Beginning 13 June 2018, Cantium contracted with Analytical Pipeline Solutions ( "APS") for the purpose of attempting to unplug the Segment Number 350 with paraffin chemicals. From 20

111 Park Place • Suite 100 • Covington, LA 70433

June 2018 to 19 July 2018, Cantium and APS injected paraffin chemicals through the Plidco clamps and risers at each end ofthe pipeline and recovered approximately seventy (70) bbls of paraffin from Segment Number 350. During this effort Cantium also mobilized CE Oil Tools from 4 July 2018 to 17 July 2018 to mechanically lance the paraffin from Main Pass Block 144 "A" to approximately 2000' in Segment Number 350. This effort recovered another approximately ten (10) bbls of paraffin from Segment Number 350. As of 20 July 2018, Cantium set up chemical pumps to keep pressure on Pipeline Segment 350 from Main Pass Block 298 "A" by injecting paraffin chemical into it.

In August and September 2018, Cantium mobilized a Dynamically Positioned (DP2) Dive Support Vessel (DSV). the Global Orion, and installed a series of hot taps while pumping into the line with additional APS paraffin chemical (reference attached hot tap map by T. Baker Smith). This effort isolated the paraffin plug in the line to approximately 600' of total blockage that sits -11,000' from Cantium's Main Pass 298 "A" platform. There is partial blockage in the pipeline for another -7,500' back towards Main Pass 298 "A" platform. At each hot tap, Cantium injected paraffin chemical and this chemical has been soaking for the last four months to soften and break up the paraffin.

Cantium now plans to pressurize one end ofthe pipeline in another attempt to establish communication through the line. If this is successful, Cantium will then continue a progressive pigging program in combination with the paraffin chemical to open up full flow through the Segment Number 350 pipeline.

Cantium continues to execute plans to break through the midline blockage that is preventing communication through Segment Number 350 and, to date, Cantium has spent in excess of four million dollars ($4,000,000.00) in this effort. Cantium respectfully requests an additional six (6) month extension to the temporary cessation of operations through 23 August 2019.

Should you have any questions or need additional information, please contact Meaghan Anderson, Cantium's General Counsel for Land, at Meaghan.anderson(a)cantium us or (985) 317 - 5122 or Mrs. Sheri Merrell, Cantium's Regulatory Specialist, at sheri.merrell@cantium.us (504)256 - 3602.

Richard Kirkland Chief Executive Officer

End.

I l l Park Place • Suite 100 • Covington, LA 70433

88° 44

T. HAKI R SMITH, LLC £2018.0789 l)l>l)S\ (il ORAI ()R|()\ 1 7221 EPIC DIVERS AND MARINE MP 144 " A" TO MP 21>X "A"

.C ANTIUM 6n SEG. 350 I'l PI ! INI fJjlO l I AP LOC ATIONS

- ESTATE PLANI- LA SOUTH NAD 27 |()l OCTOBER 2018

88° 44 43' 42' 41' 40

35" 34' 33" 37" 31' 30

15"

12-

6" - -

29° 17'

58"

EPIC I HVCffl ^ Marine

I IOT TAP #6 X 2.836.524' Y = 234,281'

HOT I A P #4 X-2.837.1 W Y - 234,339'

I IOT TAP #5 X 2,836,927' Y = 234,296'

I BAKRR SMITH. LLC" 2018.0789 DPDSV (ilOBAI ORION »I5722I EPIC DIVERS AND MARINI-MP 143 DETAIL CANTIUM 6" SEG. 350 PIPELINE

| HOT TAP LOCATIONS STATE PLANI: LA SOUTH NAD 27 01 OCTOBER 2018

MP 143 DETAIL

i IOT TAP m X - 2,837,479' Y = 234,477'

WEST END JETTING X - 2,837,389' Y - 234.437'

MOT TAP #7 X - 2,838,537' Y = 234,707'

EAST END JETTING X = 2,837,549' Y = 234.51 y

LAST UND SANDBAGS X - 2,837,527' Y - 234,503'

WEST HND SANDBAGS X-2,837,491' Y = 234,486'

29° 17'

DF-TAII - PAGE 2

T B S V T - BAKER SMITH A C C M T U R V O f S O L U T I O M S

3a• 29"

United States Department ofthe Interior BUREAU OF SAFETY AND ENVIRONMENTAL ENFORCEMENT

Ciulf of Mexico OCS Region 1201 Elmwood Park Boulevard New Orleans. LA 70123-2394

In Repl) Refer l o: GE I035A Oelober 24, 2018

Richard kirkland Cantium, LLC I 1 1 Park Place Drive. Suite 100 Covington, LA 704333

Reference is made lo Cantium, LLC's (Cantium) Right-of-way (ROW) modification application daled Augusl 24. 2018. and received by this office on Augusl 27. 2018. for Pipeline Segment Number (PSN) 350, ROW No. OCS-G04851.

Specifically, Cantium requests a temporary cessation of operaiions fbr PSN 350 until February 23, 2019. PSN 350 has been out-of-service since November 29, 2017. This extension is being requested while Cantium tries lo break through the midline blockage and restore production.

The table below describes the Pipeline Segment pertaining to the aforemenlioned applicaiion:

PSN Si/c (NPS)

1 ,cn<ilh (feet)

Sen iee Origin Termination

350 6 25,153 Oil Plalform A

Main Pass Area Block 144

Platform A Main I'ass .Area

Block 298

Pursuant lo 30 CFR 250.1000(b). your application is hereby approved subiect to the following condiiions:

1. The annual rental required by 30 CFR 250.1012 shall eonlinuc to be due and payable in December of each calendar year.

2. If the associated pipeline has not been returned to service and is not being used for the purpose for which the pipeline right-of-way grant was made by february 23. 2019 lhe granl shall be deemed to have expired in accordance wilh 30 GFR 250.1014. As a reminder per 30 CFR 250.1010(h) the right-of-way holder musl remove all slruclure and pipelines along lhe right-of-way wiihin one (1) year oflhe effective dale oflhe relinquishment or forfeiture (i.e. expiration). Furthermore, in accordance with 30 CFR 250.1750 thru 250.1754 an application musl be submitted to this office to decommission the subjeel pipeline segment within 30 days from the effeclive date oflhe relinquishmenl or forfeiture (i.e. expiration).

3. If at any time prior to February 23, 2019 ii is determined that the use ofthe associated pipeline is to be permanentl) discontinued, an application to decommission ihe pipeline and relinquish the pipeline right-of-\\a\ shall be submilled lo ihis office for approval.

Page 2

Pursuant to 30 CFR 250.10()6(b)(2). vou are hereby reminded thai the Pipeline Segment Number (PSN) 350 must be flushed and tilled with seawater if the pipeline is not returned to service on or before Nov ember 29. 2018.

Pursuant to 30 CFR 250.l003(b)( 1). you arc hereby reminded that the pipeline must be hydrostatically tested fbr at leasl eight (8) hours at a stabilized pressure ofa minimum of 1.25 times the Maximum Allowable Operating Pressure (MAOP). if the pipeline is returned to serv ice after November 29. 2018.

(for) Mryan^A. Domangue Ac tmg Regional Supervisor Regional Field Operations

ANTIU

August 24, 2018

Via Electronic Mail •*• Federal Express (Tracking No.7730 5526 1970) Bureau of Safety & Environmental Enforcement 1201 Elmwood Park Boulevard New Orleans, Louisiana 70123-2394 Attn: Pipeline Section (GE 1035A) pipelines(S)bsee.gov

RE: Temporary Cessation of Service - Extension Request Pipeline Segment Number 350 Rlght-of-Way Number OCS-G 04851 Main Pass Block 144, OCS-G 01634 to Main Pass Block 298, OCS-G 01315

Gentlemen:

By letter dated 23 March 2018 (attached hereto) and in accordance with 30 CFR 250.1014, Cantium, LLC ("Cantium") (Company Number 03481) was granted a 6-month temporary cessation of operations on the following Right-of-Way pipeline, through August 27. 2018:

Segment: Size: Length: Service: From: To:

350 6-5IQ" 25.153' BLKG MP144 MP298

Since 1 September 2017 when Cantium assumed operations of the Main Pass Block 299 Field from Chevron U.S.A. Inc. ("Chevron"), Segment Number 350 has been significantly built up with paraffin. Cantium initially performed solvent soaks on Segment Number 350 on 1 November 2017 and again on 7 November 2017. Cantium continued producing through Pipeline Segment 350 until 29 November 2017 when a pig became stuck in the pipeline. It was this event which accelerated the installation of a new lease-term pipeline, being Pipeline Segment Number 19899, to Panther Operating Company, LLC's 18" pipeline. Pipeline Segment Number 11015, to provide redundancy in Main Pass Block 144. The Main Pass Block 144 sales resumed on 18 April 2018 through the new Segment Number 19899.

Thereafter, from 29 April 2018 to 3 May 2018, Cantium installed Plidco clamps at the base of the risers on each end of Segment Number 350 with high pressure hoses connected to the Main Pass Block 144 "A" and Main Pass Block 298 "A" platforms. This operation was to assist with the unplugging effort as approved by the Bureau of Safety and Environmental Enforcement (BSEE) by letter dated 29 March 2018, attached hereto.

Beginning 13 June 2018 Cantium contracted with Analytical Pipeline Solutions ("APS") for the purpose of attempting to unplug the Segment Number 350 with paraffin chemicals. From 20 June 2018 to 19 July 2018, Cantium and APS injected paraffin chemicals through the Plidco

111 Park Place Drive • Suite 100 • Covington, LA 70433

clamps and risers at each end of the pipeline and recovered approximately seventy (70) bbls of paraffin from Segment Number 350. During this effort Cantium also mobilized CE Oil Tools from 4 July 2018 to 17 July 2018 to mechanically lance the paraffin from Main Pass Block 144 "A" to approximately 2000" in Segment Number 350. This effort recovered another approximately ten (10) bbls of paraffin from Segment Number 350. As of 20 July 2018, Cantium set up chemical pumps to keep pressure on Pipeline Segment 350 from Main Pass Block 298 "A" by injecting paraffin chemical into it.

Based on the approximately eighty (80) bbls of paraffin recovered to date based on the chemical soak operations, Cantium's proposed plan to break through the midline blockage that is preventing communication through Segment Number 350 is to continue soaking the pipeline with the chemical pumping in from Main Pass Block 298 "A" back to Main Pass Block 144 ' A". Cantium will then continue a progressive pigging program in combination with the paraffin chemical to allow communication through Pipeline Segment Number 350. As a contingency and depending on the success ofthe additional chemical soak, Cantium may install additional Plidco clamps to pump in the paraffin chemical midline to better understand where the blockage is located and attempt to free it.

Cantium continues to attempt to break through the midline blockage that is preventing communication through Segment Number 350 and respectfully requests a six (6) month extension to the temporary cessation of operations through 23 February 2019.

Should you have any questions or need additional information, please contact Meaghan Anderson, Cantium's General Counsel for Land, at Meaghan.anderson(a)cantium us or (985) 317 - 5122 or Mrs. Sheri Merrell, Cantium's Regulatory Specialist, at sheri.merrell(S)cantium.us (504) 256 - 3602.

Richard Kirkland Chief Executive Officer

End.

I l l Park Place Drive • Suite 100 • Covington, LA 70433

United States Department of the Interior BUREAU OF SAFETY AND ENVIRONMENTAL ENFORCEMENT

Gulf of Mexico OCS Region 1201 Elmwood Park Boulevard New Orleans, LA 70123-2394

In Reply Refer To: GE 1035A March 23,2018

Mr. Mark Ian Smithard Cantium, LLC 111 Park Place Drive, Suite 100 Covington, LA 70433

Dear Mr. Smithard:

Reference is made to Cantium, LLC's (Cantium) right-of-way (ROW) modification application, dated February 27, 2018 and received by this office on February 28, 2018, for Pipeline Segment Number (PSN) 350, ROW No. OCS-G04851. This application was amended with supplemental data via email and received by this office on March 23, 2018.

Specifically, Cantium requests a temporary cessation of operations for PSN 350 until August 27. 2018. This extension is being requested while the paraffin plug in this line is remediated.

Ihe table below describes the Pipeline Segment pertaining to the aforementioned application:

Origin PSN Size Length Service (inches) (feet)

350 6 25,153 Oil Patform A Main Pass Block 144

Termination

Platfonn A Main Pass Block 298

Pursuant to 30 CFR 250.1000(b), your application is hereby approved subject to the following conditions:

1. If the associated pipeline has not been returned to service and is not being used for the purpose for which the pipeline right-of-way grant was made by August 27, 2018 the grant shall be deemed to have expired in accordance with 30 CFR 250.1014.

2. If, at any time prior to August 27, 2018, it is determined that the use of the associated pipeline is to be permanently discontinued, an application to decommission the pipeline and relinquish the pipeline right-of-way shall be submitted to this office for approval.

(for) B^an ^ . Domangue Acting Regional Supervisor Regional Field Operations

^ | p | ^ v United States Department ofthe Interior BUREAU OF SAFETY AND ENVIRONMENT Al. ENFORCFM-NT

GulfofMexico OCS Region 1201 Elmwood Park Boulevard New Orleans, LA 70123-2394

In Reply Refer To: GE 1035A March 29, 2018

Ms. Sheri Merrell Cantium, LLC 111 Park Place, Suite 100 Covington, LA 70433

Dear Ms. Merrell:

Reference is made to Cantium, LLC's (Cantium) plan of corrective action, ciated March 23, 2018 and received by this office on March 29, 2018, for Pipeline Segment Number (PSN) 350, ROW No. OCS-G04851.

Specifically, Cantium proposes to install 1,500 psig Plidco Clamps to allow for communication in the pipeline to locate a probable paraffin buildup. Additionally, Cantium requests to pressurize and flush the pipeline up to 1,000 psig to determine the location ofthe blockage.

The table below describes the Pipeline Segment pertaining to the aforementioned application:

PSN Size Length Service Origin Termination (NPS) (feet)

Platform A Platform A 350 6 25,153 Oil Main Pass Main Pass

Block 144 Block 298

Pursuant to 30 CFR 250.1008(g), your application is hereby approved.

Please be reminded that, in accordance with 30 CFR 250.1008(g), you shall submit a written notification lo this office within 30 days from the date the corrective action is completed. The notification should include the date of the completion of the project and an indication that the remedial action was performed in accordance with the proposed plan.

Sincerely,

(for) Bryan A. Doidangue Acting Regional Supervisor Regional Field Operaiions

March 23,2018

Via Electronic Mail * Federal Express (Tracking No. 8127 8489 7377) Bureau of Safety & Environmental Enforcement 1201 Elmwood Park Boulevard New Orleans, Louisiana 70123-2394 Attn: Mr. Sohrab Lahooty, Pipeline Section Engineer (GE 1035A) sohrab.lahootvmofakham(a)bsee.gov

RE: Temporary Cessation of Service Pipeline Segment Number 350 Rlght-of-Way Number OCS-G 04851 Main Pass Block 144, OCS-G 01634 to Main Pass Block 298, OCS-G 01315

Gentlemen:

In accordance with 30 CFR 250.1014, Cantium, LLC (Company Number 03481) hereby requests a 6-month temporary cessation of operations on the following Right-of-Way pipeline, through August 27, 2018:

Segment.

350

Size;

6-5/8"

Length.

25,153'

Service:

BLKG

From: To:

MP144 MP298

The subject pipeline was taken out of service on November 29, 2017. Please find attached the Pay.gov payment in the amount of $4,169.00.

Should you have any questions or need additional information, please contact Meaghan Anderson, Cantium's General Counsel for Land, at Meaghan.anderson(a)cantium.us or (985) 317 - 5122 or Mrs. Sheri Merrell, Cantium's Regulatory Specialist, at sheri.merrell(5)cantium us (504) 256 - 3602.

Sincerely,

Mark lan Smithard Chief Operating Officer

End.

I l l Park Place Drive • Suite 100 • Covington, LA 70433

^Meaghai^ndersoi^

From: notification@pay.gov

Sent: Tuesday, February 27, 2018 11:11 AM

To: Meaghan Anderson

Subject: [ExternalJPay.gov Payment Confirmation: BSEE Pipeline ROW Modification Application

BY

Your payment has been submitted to Pay.gov and the details are below. To confirm that the payment processed as

expected, you may refer to your bank statement on the scheduled payment date. If you have any questions or wish to

cancel this payment, you will need to contact the agency you paid at your earliest convenience.

Application Name: BSEE Pipeline ROW Modification Application - BY

Pay.gov Tracking ID: 26829LLB

Agency Tracking ID: 75432782968

Account Holder Name: Cantium, LLC Transaction Type: ACH Debit Transaction Amount: $4,169.00 Payment Date: 02/28/2018 Account Type: Business Checking Routing Number: 065400137 Account Number: • • • • • • • • • • • • 9 2 3 0

Transaction Date: 02/27/2018 12:10:36 PM EST

Total Payments Scheduled: 1

Frequency: OneTime

Region : Gulf of Mexico Contact: Meaghan Anderson 985-317-5122 Company Name/No: Cantium, LLC, 03481 Pipeline Segment No.: 350

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