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Pacific Gas and 1 Electric Company 375 North Wfget Lane .. . . Walnut Creek,CA 94598-2412 November 16, 1998 Mr. Harlin Knoll San Joaquin County Department of Environmental Health 303 E Webster Avenue, 3'd Floor P.O. Box 388 Stockton, CA 95201-0388 RE: Pacific Gas and Electric Company's (PG&E's) McDonald Island Underground Gas Storage Facility Reported Release Closure Mr. Knoll: This letter is a follow-up to the three releases reported to your office and to the County Office of Emergency Services (OES) during October, 1998 from PG&E's McDonald Island Underground Gas Storage Facility located near Holt, CA. The first release was discovered on October 9, at 1645 Hrs. The operator on duty made immediate notification to the Environmental Department at PG&E which resulted in notification to County OES and Sheriff's Dispatch at 1710 Hrs. A message was left with Mr. Steve Sasson of your office at 1730 Hrs., and a follow-up call was made on October 12, at 0845 Hrs. to D. Wilson of your office. Approximately 5 to 10 gallons of hydraulic oil sprayed from a blown fuse plug on the hydraulic controller at well Whiskey Slough 1 A West. Upon discovery, a crew was dispatched to remove all the visibly impacted gravel. This material was stockpiled in a roll-off bin on-site and was transported to Forward Landfill in Lodi, CA using a Non-Hazardous Designated Waste on a Bill of Lading (copy attached) on October 14. The second release was discovered on October 12, at 0800 Hrs. The operator on duty, made notification to the Environmental Department at PG&E at 0820 Hrs., resulting in notification to County OES at 0840 Hrs., and to D. Wilson of your office at 0845 Hrs. This release was estimated to be approximately 0.5 to 1 gallon of production fluid that sprayed from a tank that was near capacity. This release occurred at gas well McDonald #12 near the Turner Cut Station. Upon discovery, a crew was dispatched to wipe down the tank, clean out the secondary containment, and remove all the visibly impacted gravel for disposal to Forward Landfill in Lodi. The material was also stockpiled in a roll-off bin on- site and was transported to Forward Landfill on October 14. The tank has been subsequently modified to lower the inflow rate.