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EXHIBIT "B" TO ENCROACHMENT AGREEMENT <br />for damages, destruction of <br />structures and for any consequential <br />damages which may arise out of <br />Magellan or its designees exercising <br />dagefan's Easement rights or which <br />.nay arise out of accessing <br />Magellan's EasemeneTnct, pipelines <br />or facilities. <br />2. Buildings, Structures and <br />Fences. <br />a Buildings and Structures. No <br />buildings, houses, barns, garages, <br />patios, playhouses, sheds, septic <br />systems or drain fields, <br />swimming pools (above - ground <br />or below- ground), reinforced <br />concrete slabs or other similar <br />structures will be permitted on <br />tee Magellan's Easement Tract <br />b. Septic System not permitted <br />No septic - system, including any <br />lateral lines will be pemtitted on <br />Magellan's Easement Tract <br />c. Rehdoing Walls. Retaining walls <br />are not permitted on Magellan's <br />Easement Tract. <br />d. Fences. No fence shall be <br />constructed or maintained on <br />Magellan's Easement Tract <br />without a written agreement <br />0. Requirements for Fences. If <br />fencing on Magellan's Easement <br />Tract is authorized by a written <br />agreement with Magellan, the <br />fencing must comply with the <br />following: <br />I) Not Parallel to Pipeline No <br />fence shall be allowed to be <br />constructed parallel close <br />than 10 feet to any Magellan <br />pipeline, within the <br />boundaries of Magellan's <br />Easement Tract <br />2) Fence Pmts Locttlov. No <br />fence posts will be allowed to <br />be within Eve (5) feet of any <br />Magellan pipeline or facility. <br />3) Gates Required Magellan <br />may require any fence <br />constructed within the <br />bomdaries ofMagellan's <br />Easement Tract to have gates <br />of such size and suitability as <br />is necessary or convenient for <br />Magellan to access its <br />pipelines and/or facilities for <br />its operations, including <br />inspections, at each point <br />where the fence crosses a <br />Magellan pipeline or facility <br />boundary. Magellan shall be <br />allowed to put a Magellan <br />lock on such gates, which will <br />allow access to Magellan's <br />Easement Tract and/or <br />facilities trough such gates. <br />4) Angle of Fence Crosshrg. It <br />is preferred that fence <br />crossings be as close to 90 <br />degrees as possible. <br />3. Landscaping, Elevation <br />Changes and Water. <br />a. Landscaping Definition. <br />Landscapmg shall include, <br />but not be Whited to, trees, <br />shrubs, underground <br />irrigation or sprinkler <br />systems, sidewalk or other <br />paths, retaining walls, temces <br />or other land grade changes, <br />nnthin <br />Magellan's Easement Tract <br />b. General Landscaping <br />Requirements. 'lire following are the <br />general rules for landscaping on <br />Magellan's Easement Tract: <br />I)Written Approval Landscaping <br />proposed to be done on Magellan's <br />Easement Tract must be approved <br />by Magellan in a written <br />encroachment agree/neu. Among <br />other terms, the encroachment <br />agreement will release Magellan <br />from any liability for damages to <br />the landscaping from the exercise <br />of Magellan's Easement rights. <br />2) Trees Not Permitted. Trees <br />are not permitted on Magellan's <br />Easement Tract <br />3) Shrubs. Shrubs exceeding 3 <br />feet in height and/or obstructing <br />the view of any Magellan pipeline <br />marker posts are not permitted on <br />Magellan's Easement Tract <br />4) Irrigation Systems, Field <br />Drain Linos, and Sidewalks. <br />Irrigation systems, field drain lines <br />and sidewalks that are to cross a <br />Magellan pipeline must cross such <br />pipeline at an angle as close to 90 <br />degrees as possible, but in no event <br />at an angle less than 45 degrees <br />and must comply with other <br />applicable provisions of this <br />document. <br />c. No Water Bodks en Magellan's <br />Easement Tract Retention of water, <br />including but not limited to, <br />Livestock ponds, lakes, retention <br />ponds, or wetlands may not be <br />constructed or fonned on Magellan's <br />Easement Tract <br />d. Surface Grade and Elevation <br />Changes. Surface grade or elevation <br />changes must be reviewed and <br />approved in writing by Magellan <br />4. Foreign Pipeline & UtWty <br />Crossings. <br />a. Minimum Angle for <br />Plpeltne/UIWty Crossing. Any <br />foreign pipeline or utility that is <br />proposed to cross a Magellan <br />pipeline must cross the Magellan <br />pipeline at an angle as close l0 90 <br />degrees as possible, but in no event at <br />an angle less than 45 degrees, <br />b. Vertical Separation <br />Requirement, for Crossing. Foreign <br />pipeline(s), utilities (except high - <br />voltage lines — see below) or flow <br />lines should cross Magellan <br />pipeline(s) with at least 24 inches of <br />vertical separation Special written <br />authorization must be given in the <br />event vertical separation is less than <br />that specified in these General <br />Encroachment Requirements, The <br />profaned method for a tbreign <br />pipeline or utility to cross a Magellan <br />pipeline is to cross below the <br />Magellan pipeline. <br />c Warning Tape Required. <br />When eery foreign pipelne or <br />utility line is proposed to cross <br />a Magellan pipeline, Owner <br />must place 6" wide McMaster- <br />Can No. 8288T12 or equal <br />within Magellan's Easement <br />Tract <br />in the following manner: <br />1) The tape must be placed directly <br />over (parallel to) and at least 15 <br />inches above the foreign line for <br />the entire distance that it <br />occupies Magellan's Easement <br />Tact Additionally, the tape <br />must be placed directly over <br />(parallel to) and at least 15 <br />inches above each Magellan <br />pipeline that is crossed for a <br />minimum distance which is the <br />greater of: <br />(a) a minimum distance of20 <br />feet on each side of the <br />Magellan pipeline, or <br />(b) across the entire width of <br />Magellan's Easement 'tract <br />2) The placement of warning tape <br />on each side ofMagellan <br />pipeline(s) will not be required <br />for utility cables that are <br />installed using the directional <br />dill or jacking method <br />d Crossings Dy Metal Pipelines or <br />Conduits. Metallic pipe crossing <br />Magellan pipeline(s) may require <br />Magellan to perform a cathodic <br />protection interference survey. If <br />interference with Magellan's <br />cathodic protection system is <br />detected and remediation is <br />necessary, Owner agrees to <br />cooperate with Magellan and to <br />make necessary adjustments in <br />Owner's interfering metallic pipe or <br />other remediadon to correct such <br />interfrence problem insure that the <br />Magellan cathodic protection <br />system is operating properly. <br />e. Low- Vottago Crossing <br />Requirements. Low voltage <br />electrical, fiber optic, local service <br />communication, long distance <br />careier telephone, and low- voltage <br />(12 —24 volt) utility cable should <br />cross Magellan pipeline(s) with a <br />adninutm of2el4ndres of vertical <br />separation. Such cables shall be <br />encased in a rigid, non.metaltic <br />conduit when crossing Magellan <br />pipeline(s), <br />f. High- Voltage Crossing <br />Requirements. High - voltage <br />electrical cable (alternating <br />current with voltage of 110 volts <br />and higher) must cross Magellan <br />pipeline(s) with a minimum vertical <br />separation as follows: <br />• 24- inches for 0 to 600 volts; <br />• 30 -inches for 601 to 22,000 volts; <br />• 36- inches for 22,001 to 40,000 <br />volts; <br />• 42- inches for 40,001 volts and <br />above. <br />In the event a high - voltage electrical <br />able crosses over a Magellan <br />pipeline, the cable shall be encased <br />in red concrete arrow the fiat <br />width of Magellan's Easement <br />Tract, unless a variance is granted <br />by Magellan, as set forth below, <br />g Written Authorization for <br />Variance- Owner must have written <br />authorization from Magellan foe any <br />variance from the vertical <br />separation requirements listed above <br />and/or for any variance from the <br />requirement for <br />Page 6 of 17 <br />Page 7 of 17 <br />Page 3 of 17 <br />General Encroachment Requirements — (L.P.— 3/23/" 3 - <br />2 of 4 <br />encasement of high- voltage <br />electrical lines in red concrete. <br />b. Utility Poles and Guy Anchors. <br />Utility poles and guy anchors <br />shall not he placed on Magellan's <br />Easement Tract without a written <br />agreement. Witha written <br />agreement poles and anchors <br />may be placed no close than 20 <br />feet to any Magellan pipeline. <br />Poles shall not be allowed to nee <br />parallel to a Magellan pipeline <br />within the Magellan Easement <br />Tact <br />L Directional Drilling / Daring. <br />I) Prior to commencing any <br />horizontal directional drilling, <br />Comer shall submit plans <br />showing procedure and <br />material descriptions for <br />Magellan's approval The <br />plans and description shall <br />include, but not be limited to <br />the following: <br />• Profile and plan showing <br />location of entry and exit <br />points <br />• Work space required to <br />perform the work <br />• Mud contanenent and <br />disposal sites <br />2) Owner shall positively locate <br />and stake the location of <br />Magellan's existing pipelines <br />and other underground <br />facilities, including exposing <br />any facilities located within <br />10 feet of the designed drilled <br />path. Prior to commencing <br />drilling operations, Owner <br />shall modify drilling practices <br />and down -hole assemblies to <br />prevent damage to <br />Magellan's existing pipelines <br />and other facilities. Owner <br />shall be responsible for losses <br />and repairs occasioned by <br />damage all Magellan <br />pipelines and other facilities <br />resulting from dolling or <br />boring operations. <br />3) At all times, Owner shall <br />provide and maintain <br />instrumentation to document <br />and accurately look the plot <br />hole and the drill bit, to <br />measure drill- string axial and <br />torsional loads, and to <br />measure drilling fluid <br />discharge ate and pressure. <br />At Magellan's request, Owner <br />shall promptly provide <br />Magellan with reasonable <br />access to information and <br />readings provided by these <br />instruments, including copies <br />of any written documentation. <br />4) Pilot Hole. <br />• The pilot hole shall be <br />drilled along the path <br />shown in the plan and <br />profile drawings. No pilot <br />(tole shall be made that <br />will result in any of the <br />encroaching utility being <br />installed in violation of <br />laws and regulations or of <br />Magellan's requirements <br />described herein. <br />However, safety for any <br />adjacent utilities and/or <br />structures is ofutrnost <br />importance. Therefore, <br />the listing of separation <br />distances or tolerances <br />herein does not relieve <br />Owner from responsibility <br />for safe operations or for <br />damage to adjacent <br />utilities and structures <br />• If tolerances are not <br />specified in the plan and <br />motile drawings, the pilot <br />hole shall have the <br />following tolerances: <br />Page 9 of 17 <br />• Elevation 0(00 feet and -15 <br />feet <br />• Alignment of +/-20 feet as <br />long as it does not coma to <br />wihn ID feet of Magellan's <br />pipeline <br />• Initial penetration of ground <br />surface at exact location shown <br />in the plan and profile <br />drawings <br />• Final penetration of the <br />ground surface within +/-10 <br />feet of the alignment and <br />within +30 feet and -0 feet of <br />the length shown in the plan <br />and profile drawings <br />• Curves shall be drilled at a <br />radius equal to or greater than <br />that specified in the plan and <br />profile drawings. The drilled <br />radius will be calculated over <br />any 3 joints (range 2 type drill <br />pipe) segment using the <br />following formula: <br />Rdrilled = (Ldriled/Aavg) x <br />180/0 <br />Mime: Rdrilled= drilled radius <br />over Ldrilled <br />Ldrilled= length drilled; no <br />less tun 75 feet and no greater <br />than 100 feet <br />Aavg = total change in angle <br />over ',drilled <br />• At the completion of the pilot - <br />hole drilling, Owner shall provide <br />to Magellan a tabulation of <br />horizontal and vertical coordinates, <br />referenced to the drilled entry <br />point, which[ accurately describe <br />the location of the pilot hole. <br />5) DrWing Fluids. <br />•The composition of drilling fluids <br />proposed for use slug comply with <br />al applicable laws and regulations. <br />• Owner is responsible for <br />obtaining, transporting and storing <br />any water required for drilling <br />fluids. <br />• Disposal of drilling fluids and <br />drill cuttings shall be Owner's <br />responsibility and shaft be <br />conducted in compliance with <br />applicable laws and regulations. <br />Drilling fluid shall nor be disposed <br />of by placing fluids on or under <br />the surface of Magellan's <br />Easement Tract, <br />• Owner shall employ best efforts <br />to maintain fill annular circulation <br />of drilling fluids. Drilling fluid <br />returns at locations other than <br />entry and exit points shall be <br />minimized. If annular circulation <br />is lost, Owner shall take steps to <br />restore circulation. If inadvertent <br />surface returns of drilling fluids <br />occur, they shall be immediately <br />contained with hand - placed <br />barriers (e.g., hay bales, sand bags, <br />silt fences, etc.) and collected <br />using pumps as practical. If the <br />amomtt of surface return is not <br />great enough to allow practical <br />collection, the affected area will be <br />diluted with fresh water and the <br />fluid will be allowed to dry and <br />dissipate naturally. If <br />Page 10 of 17 <br />