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Keystone Pipeline operator agrees to pay $26.9 million over 2022 spill

Keystone Pipeline operator agrees to pay $26.9 million over 2022 spill

Summary

The Keystone Pipeline operator, South Bow, will pay $26.9 million in fines for a large oil spill in Kansas in 2022. The company must also invest about $40 million to prevent future spills and pay over $3 million to restore the environment damaged by the spill.

Key Facts

  • Nearly 500,000 gallons of crude oil spilled into a Kansas creek in December 2022 from the Keystone Pipeline.
  • South Bow, a Canadian company, owns and operates the Keystone Pipeline.
  • The spill was the largest onshore crude oil pipeline accident in the U.S. in nine years.
  • No people were hurt and local water supplies were not affected by the spill.
  • Over 2,700 animals were affected, including an endangered species called the long-eared bat.
  • The pipeline site had construction issues, such as soil problems and overstressed pipe bends.
  • South Bow began cleanup early and completed it by early 2024.
  • President Donald Trump approved a related pipeline project in 2024 that builds a smaller pipeline from Canada to Wyoming.
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