A federal judge still has to approve the agreement, but Exxon says it will pay $12 million for environmental damages caused by an oil pipeline break that spilled 63,000 gallons of oil into Montana’s Yellowstone River.
The break happened up stream of Billings, Montana’s largest city and required several months of cleanup. it also killed fish and wildlife and damaged thousands of acres along an 85-mile stretch of the river. The payment will settle claims from the U.S. and state governments, however the company could still face further penalties for violations of federal water pollution laws.
An investigation by the U.S. Transportation Department found that Exxon workers failed to heed warnings that the 20-year-old pipeline was at risk from flooding.
“All of us as Montanans lost something when that spill occurred,” said Gov. Steve Bullock. “This money is to make sure not just that we’re compensated but the pelicans are where they should be, the fish are where they should be.”
But an assistant U.S. Attorney said restoration of the river is not finished. Nearly $5 million of the settlement will be used for shoreline and channel restoration and improvement. About $4 million will go for wildlife habitat restoration and $2.4 million will be used to improve recreational access.
Exxon said it already spent $135 million on cleanup and repair work.