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2.

Our study assumed that virtually all of the gas line

would be buried, except for several bridged river cross

ings.

Yet, we continue to hear discussions by personnel

from regulatory agencies, indicating they are interested

in determining if portions of the line should be placed

above ground. There are two basic differences between the

gas line construction and the Trans Alaska Crude Line.

Firstly, the crude line was built before sufficient infra.

structure (road, camps, communications, vendor support, etc.

existed in the state of Alaska... this situation is sub

stantially different for the gas line and has improved

immeasureably. Secondly, 423 miles of the 800 mile crude

line was built above ground. The above ground crude line

required tremendous engineering, procurement, logistical

and construction efforts that are not presently expected

for the gas line.

To the extent that above ground pipe is

found to be required for anything more than nominal lengths

of line, there will be substantial and adverse cost and schedule

impacts.

I strongly recommend that the issue of above ground

pipe be put to bed once and for all, and that a firm position

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3.

River crossing requirements, requirements for insulated

below ground pipe, Atigun Pass, erosion control, restora

tion and revegetation were also issues that must be re

solved rapidly, with firm commitments from regulatory

agencies, because of the overall and fundamental impact

they could have on planning and basic design for the project.

er reading exchanges of correspondence between the Department of

Serior and Northwest Alaskan Pipeline Company, between the Department

Interior and Alyeska Pipeline Service Company and a number of the

Le recent internal memorandums that were generated as a result of

review process of the proximity between the gas line and the crude

e, I have come to the following recommendations:

1.

The basic concept proposed by Northwest Alaskan Pipeline

to, in essence, follow and use the Alyeska work pad is

sound and should form the fundamental basis for all planning

purposes.

In other words, Northwest should plan to hug the

Alyeska work pad and, except at such locations where it is

definitely more cost or schedule effective or essential to

the safety of the crude line to locate the new gas line

elsewhere (at places such as the Sag River crossings which

should be avoided if at all possible), every effort should

be made to utilize the Alyes ka work pad as much as possible.

2.

It is technically feasible, to parallel and use the state

haul road as a part of the work pad. Whenever there are

strong and compelling cost or schedule reasons for using

the haul road, then, and only then, should Northwest deviate

from the Alyeska work pad to parallel the haul road.

3.

Northwest should strongly resist building snow pads. I

am convinced that any extended amount of snow pad will

greatly increase the cost, and result in substantial

additional risk that the project will be delayed.

4.

The periodic references that I see relating to above ground

pipe should be put to rest as soon as possible...I see no

reason why any substantial length of above ground pipe is

going to be required for the gas line.

5.

The twelve "Working Group Questions/Concerns" included as

enclosure "C" of the Department of Interior's letter dated

June 13, 1979 must be resolved as soon as possible. There

is a tendency among some representatives of regulatory agencies

to continue to raise questions and identify potential probless,

etc., as opposed to addressing and resolving problems and

making decisions in accordance with a specific time table.

Often the type of issues raised, or the conditions attached

to approaches could be resolved by considered engineering

judgment, or could be determined to be insignificant.

I

am concerned that, even after these so-called questions/

concerns are resolved a whole host of additional questions/ concerns will be raised. It is difficult to reconcile and

to come to grips with this issue.

The basic design proposed

by Northwest uses proven technology... in fact, one of the

strengths of the gas line proposal is that it is state-of

the-art and does not require any breakthroughs to be success

ful. There already are strong pressures to try unique and

exotic solutions to problems and firm management direction,

including a firm resolution on the part of governmental

agencies, is required to resist these temptations.

The

recent decisions that have been made by several of the

agencies, plus the attitude and approach being taken by

the Federal Inspector will go a long way to resolving

these issues.

57-087 0 - 80 - 50

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Chairman of the Board and Chief Executive Officer

Pacific Gas Transmission Company

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