Settlement on California pipeline rupture pending

Chamber of Shipping > Blog > News > US > Settlement on California pipeline rupture pending

Companies linked to two cargo ships accused of damaging a pipeline months before it ruptured, sending crude oil gushing into the waters off Orange County, have agreed to pay $45 million to settle lawsuits brought by business owners and residents, attorneys said Thursday. While the full settlement details have not been disclosed, Capetanissa Maritime Corp., Dordellas Finance Corp. and their subsidiaries have been accused of allowing their ships to drag their anchors across the sea floor during a storm in January 2021, about nine months before the oil spill.

Houston-based Amplify Energy Corp., which owns the pipeline, agreed in fall to pay $50 million to residents and business owners affected by the spill, alleged that the shipping companies failed to notify authorities after the damage occurred. The firm is seeking punitive damages, as well as reimbursement for legal fees, the costs of repairing and replacing the ruptured portions of the pipeline, and revenue lost while the pipeline was offline.

Related Posts