NOTICE OF VIOLATION

Via Certified Mail# _______________

To: Equilon Enterprises LLC

c/o C T Corporation System, Registered Agent

36 South Pennsylvania Street, Suite 700

Indianapolis, IN 46204

Case No. 2002-11586-A

Based on investigation by designated representatives of the Indiana Department of Environmental Management (IDEM), Equilon Enterprises LLC, d.b.a. Shell Oil Products US ("Equilon"), which owns and operates the gasoline terminal located at 10470 East County Road 300 North in Clermont, Indiana, was in violation of the following environmental statute(s), rule(s), and/or permit(s):

• Pursuant to 326 IAC 2-8-3(h) and condition B.17(b) of Federally Enforceable State Operating Permit ("FESOP") No. F063-5123-00004, for purposes of a FESOP renewal, a timely application is one that is submitted at least nine (9) months prior to the date of expiration of the source's existing permit. The FESOP for this source expired on December 13, 2001, however a FESOP renewal application was not submitted until August 30, 2001. This application was submitted less than nine (9) months prior to the expiration of the source's existing permit, a violation of 326 IAC 2-8-3(h) and condition B.17(b) of FESOP No. F063-5123-00004.

In accordance with IC 13-30-3-3, the Commissioner is required to notify an alleged violator in writing that a violation may exist and offer an opportunity to enter into an Agreed Order providing for the actions required to correct the violations and for the payment of a civil penalty. The Commissioner is not required to extend this offer for more than sixty (60) days.

Entering into an Agreed Order will prevent the issuance of a Notice and Order of the Commissioner under IC 13-30-3-4, or the filing of a civil court action under IC 13-14-2-6. IDEM encourages settlement by Agreed Order, thereby saving time and resources. Timely settlement by Agreed Order may result in a reduced civil penalty. Settlement discussions will also allow the opportunity to present any mitigating factors that may be relevant to the violations. In addition, as provided in IC 13-30-3-3, an alleged violator may enter into an Agreed Order without admitting that the violation occurred.

If settlement is not reached within sixty (60) days of receipt of this Notice of Violation, the Commissioner may issue a Notice and Order containing the actions that must be taken to achieve compliance, the required time frames, and an appropriate civil penalty. Pursuant to IC 13-30-4-1, the Commissioner may assess penalties of up to $25,000 per day for each violation.

Please contact Matthew Stuckey at (317) 233-1134 within fifteen (15) days after receipt of this Notice regarding your intent to settle this matter. If you are willing to resolve this matter as provided for in the enclosed Agreed Order, please sign and return it to the Office of Enforcement at the above address within twenty (20) days of receipt of this Order.

For the Commissioner:

Date: _______________ _(signed on 11/25/02)__

Felicia A. Robinson

Deputy Commissioner

for Legal Affairs

cc: Hendricks County Health Department

Office of Legal Counsel

Jim Thorpe, Office of Air Quality

Matthew Stuckey, Office of Enforcement

Ed Elliot, Equilon Enterprises LLC

Johnna S. Van Keuren, Equilon Pipeline Company LLC

Enforcement File

OAQ Public File

http://www.ai.org/idem/