In a bid to settle the 2013 Arkansas Oil Spill issue, Exxon Mobil Corporation (NYSE:XOM) has given a nod to pay $5.07 million.
According to the U.S. Department of Justice and Environmental Protection Agency, Exxon Mobil has violated certain state environmental laws and the central, clean water act in regard to the Arkansas oil spill.
Around 3,190 barrels of the oil spill was reported in Arkansas, as well as in the waterways, that include Lake Conway following the burst of Pegasus pipeline of Exxon Mobil. The contaminated water flow finally ends up in the Arkansas River.
According to the reports, the oil has rushed through the streets and shopping plaza before finally ending up in the fishing lake.
According to the judgment released on Wednesday, Exxon Mobil has agreed to pay $4.19 million towards federal and state civil fines. In addition, the company will also pay $600,000 to clean water in the Lake Conway. The company also agreed to pay litigation expenses of $280,000.
Exxon Mobil will initiate additional measures to respond quickly to such untoward incidents of the oil spill in the future.
In accordance with the consent decree filed in the Little Rock`s Federal Court, Arkansas, Exxon Mobil Corporation (NYSE:XOM) has not admitted any liability for the oil spill.
According to the statement released by ExxonMobil Pipeline Co, the company expressed regret for the untoward incident and sincerely apologized for the subsequent inconvenience and disruption caused due to the oil spill.
In close cooperation with the Department of Environmental Quality in Arkansas and the U.S. EPA, Exxon Mobil quickly deployed its rapid action force to initiate steps for the restoration and cleanup work of water in the lakes and subsequent areas.
The Pegasus pipeline, which was installed in the 1940s, runs over a length of 1,368 kilometers starting from the state of Illinois to the state of Texas in the U.S. The pipeline is being used to transport Canadian Heavy Crude Oil.
The oil spill could have been averted the Exxon Mobil heeded the repeated requests of officials to replace faulty pipelines in the past.
