Pipeline operator agrees to $50M California spill settlement

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Pipeline operator agrees to $50M California spill settlement
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A pipeline operator has agreed to pay $50 million to thousands of Southern California fishermen, tourism companies and property owners who sued after an offshore oil spill last year near Huntington Beach.

Workers in protective suits clean the contaminated beach at Huntington Beach, Calif., on Oct. 11, 2021, following a pipeline rupture that spilled tens of thousands of gallons of crude oil off the Southern California coast. The U.S. Army Corps of Engineers granted the approval Friday, Sept. 30, 2022, to Amplify Energy Corp. to repair the pipeline. The Houston company pleaded guilty to federal charges last month of negligently discharging oil.

SANTA ANA, Calif. — A pipeline operator has agreed to pay $50 million to thousands of Southern California fishermen, tourism companies and property owners who sued afterA proposed settlement between Amplify Energy Corp., which owns the pipeline that ruptured, and the businesses and residents was filed Monday in federal court in Santa Ana, court documents show.

Under the proposal, the Houston-based energy company would pay $34 million to commercial fishermen and $9 million to coastal property owners. It also would pay $7 million to waterfront tourism operators, including businesses that provide surf lessons and leisure cruises and shops that sell swimwear and fishing bait.

A federal judge still needs to sign off on the proposal for it to take effect. A hearing is scheduled for Nov. 16. “This is a really dramatic first step and a dramatic compensation for these victims of this terrible tragedy,” said Wylie Aitken, co-lead counsel for the plaintiffs, whom he estimated number more than 10,000. “Though it may not be 100% it is very substantial and very helpful and a good deal of compensation to them. We’re going to continue to try to get every last penny that they deserve.”Sign up for our newsletter to get breaking news and daily digests sent to your email.

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