NOAA, DOJ, DOI, and State of Texas Settle Chevron Natural Resources Liability

The National Oceanic and Atmospheric Administration (NOAA), Department of Justice, Department of the Interior, and three agencies of the State of Texas have reached a settlement agreement with oil giant Chevron because of the release of hazardous substances and the discharge of oil from the Port Arthur Refinery in Jefferson County, Texas over several decades. NOAA, as lead trustee, worked closely with our co-trustees (DOI and State of Texas trustees), in Port Arthur to use an integrated, cooperative assessment approach to resolve the natural resource damages (NRD) liability at the Old Gulf Refinery (OGR), a Spindletop era facility, and to ensure that cleanup and source control issues were adequately addressed.

Timeline and Milestones

The assessment began in September 1999 and the settlement Consent Decree is expected to be lodged in January 2005. Chevron has owned and/or operated all or part of the Refinery since 1902.  As a result of these operations, the Refinery and adjacent land and waterways were contaminated with oil, volatile organic compounds and hazardous substances, including polycyclic aromatic hydrocarbons (PAHs), lead, and chromium.

Impact and Response

The Sabine estuary impacted by the contamination supports important nursery area for NOAA's estuarine trust resources. Under the agreement, Chevron will undertake a variety of restoration actions (developed cooperatively with the trustees) to compensate for natural resource losses resulting from contamination at the Refinery. Chevron will construct and plant at least 85 acres of estuarine marsh and approximately 30 acres of wet prairie, and will construct water control structures to enhance nearly 1600 acres of coastal wet prairie near Port Arthur. NOAA provided technical expertise, assessments and coordination activities necessary to lead the multi-agency team to successfully integrate the remediation and restoration of this portion of the Sabine Estuary. NOAA continues to be recognized as the leader in working cooperatively with both government and industry to use integrated clean-up and restoration planning to achieve meaningful, on the ground restoration results. The Department of Justice will issue a press release on the settlement in early January. NOS Office of Response and Restoration Director David M. Kennedy is quoted.