A proposed legal settlement would require the Keystone Pipeline system’s operator to pay a $26.9 million civil penalty and spend approximately $40 million on preventative measures following a major oil spill in Kansas. The agreement resolves allegations of clean water law violations stemming from the December 2022 rupture, which spilled nearly 13,000 barrels of crude oil, impacting over 2,700 animals and an endangered species habitat. The settlement also includes more than $3 million for environmental restoration projects, pending a 30-day public comment period and judicial approval.
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The Keystone oil pipeline, spanning nearly 2,700 miles, was shut down Tuesday following a rupture in North Dakota, halting the flow of millions of gallons of crude oil. The spill, contained to an agricultural field, triggered concerns about potential gasoline price increases, particularly for diesel and jet fuel, due to the pipeline’s transport of unique heavy crude. While initial price impacts may be limited by refinery reserves, prolonged shutdowns could significantly affect fuel costs and potentially even grocery prices. The cause of the rupture is currently under investigation by the Pipeline and Hazardous Materials Safety Administration.
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A section of the Keystone Pipeline experienced a rupture near Fort Ransom, North Dakota, resulting in an oil spill of currently unknown volume. The pipeline, carrying crude oil from Canada, was shut down following the incident, which was reported at 7:44 a.m. While the spill was contained within two minutes to a nearby field, the cause of the rupture remains under investigation. The 2011-constructed pipeline spans several states, transporting oil to refineries in Illinois and Oklahoma.
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John Q. Hosedrinker