Mr. William Schneider President Venoco, Inc. 6267 Carpinteria Ave., Suite 100 Carpinteria, CA 93013 Re: CPF No. 5-2002-0008 Dear Mr. Schneider: On October 30, 2003, the Pipeline and Hazardous Materials Safety Administrationˇ¦s (PHMSAˇ¦s)* Office of Pipeline Safety issued a Final Order to Venoco, Inc. in the above- referenced case. The Order assessed a civil penalty of $46,500 and specified actions to be taken to comply with the Federal pipeline safety regulations. The Order also required that Venoco, Inc. address the inadequacies in its procedures. Based on the recommendation of the Director, Western Region, PHMSA, it has been determined that Venoco, Inc. has paid the civil penalty, complied with the terms of that Order as well as addressed the inadequacies in its procedures. Accordingly, this case is now closed and no further enforcement action is contemplated with respect to the matters involved in this case. Sincerely, James Reynolds Pipeline Compliance Registry PHMSA-Office of Pipeline Safety cc: Mr. Chris Hoidal, P.E., Director Western Region, PHMSA Mr. Keith Wenal, Safety Manager, Venoco, Inc. CERTIFIED MAIL ˇV RETURN RECEIPT REQUESTED * Effective February 20, 2005, the Pipeline and Hazardous Materials Safety Administration (PHMSA) succeeded Research and Special Programs Administration as the agency responsible for regulating safety in pipeline transportation and hazardous materials transportation. See, section 108 of the Norman Y. Mineta Research and Special Programs Improvement Act (Public Law 108-426, 118 Stat. 2423-2429 (November 30, 2004)). See also, 70 Fed. Reg. 8299 (February 18, 2005) redelegating the pipeline safety authorities and functions to the PHMSA Administrator.