A January 1990 marine spill of fuel oil into the Arthur Kill between New Jersey and New York will cost Exxon Corp. at least $55 million.
Exxon and government agencies last week disclosed agreements settling all issues stemming from Exxon's 567,000 gal pipeline spill in violation of the federal Clean Water Act. Most of the money will be used to restore the New York/New Jersey Harbor and Arthur Kill, the U.S. Justice Department said.
Exxon agreed with New York state, New Jersey, the federal government, New York City, and Elizabeth, N.J., to pay $10 million during 5 years to fund conservation programs focused mainly on area wetlands. Separately, the company will plead guilty in federal court to a misdemeanor charge of negligence and pay $5 million to the governments in fines, cost recovery, and restitution.
Exxon said the settlement costs are in addition to $30 million it has spent to clean up the spill, define potential natural resource damages, settle claims, and determine what actions are needed to reduce the likelihood of more accidents. And since the spill occurred the company has spent more than $10 million to improve operations from the standpoints of safety and environmental protection.
The improvements resulted from a study conducted by a 12 member team with advice and information from the Coast Guard, harbor officials, vessel operators, and Exxon employees. In March 1990 Exxon shut down marine operations at its Bayway refinery at Linden, N.J., and terminal at Bayonne, N.J., for 3 months while the study was under way.
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