Keystone pipeline operator agrees to pay $26.9m penalty over Kansas oil spill
Summary
The Keystone pipeline operator, South Bow, has agreed to pay a $26.9 million fine and spend about $40 million more to prevent future oil spills after a major spill in Kansas in December 2022. The spill released nearly 13,000 barrels of heavy crude oil into a creek, causing serious environmental damage, and the company must also pay over $3 million for environmental restoration.Key Facts
- South Bow will pay a $26.9 million civil penalty for the oil spill in Kansas.
- The spill happened in December 2022 and involved nearly 13,000 barrels of heavy crude oil.
- The oil spill was the largest onshore crude pipeline spill in the U.S. in nine years.
- The spill harmed or killed over 2,700 animals and affected an area with an endangered bat species.
- South Bow will spend about $40 million on measures to prevent similar spills in the future.
- The company must also pay more than $3 million for environmental restoration projects in Kansas.
- The spill was caused by a pipeline bend that was overstressed and soil that was poorly compacted under the pipe.
- President Donald Trump approved a plan in April 2024 for South Bow to build a second pipeline from Canada to Wyoming.
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