Strain-based design (SBD) plays an important role in pipeline design and assessment of pipelines subjected to geo-hazards. Under such hazards, a pipe can be subjected to substantial plastic strains, leading to tensile failure at locations of girth weld flaws. For SBD, the finite element method (FEM) can be a reliable tool to calculate the tensile strain capacity (TSC) for better design in pipelines. This study aims to investigate the ductile fracture properties for specific vintage pipeline steel (API 5L grade of X52) using the extended finite element method (XFEM). Eight full-scale tests were simulated using the commercial finite element analysis software ABAQUS Version 6.17. Maximum principal strain is used to assess the damage initiation using the cohesive zone model (CZM) when the crack evolution is evaluated by fracture energy release. A proper set of damage parameters for the X52 materials was calibrated based on the ability of the model to reproduce the experimental results. These experimental results included the tensile strain, applied load, endplate rotation, and crack mouth opening displacement (CMOD). This study describes a methodology for validation of the XFEM and the proper damage parameters required to model crack initiation and propagation in X52 grades of pipeline.