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Citation Oil and Gas Corporation Clean Water Act Settlement

(Denver, Colo. -- January 8, 2009) Citation Oil and Gas Corp. will invest approximately $580,000 on new and upgraded spill prevention controls at its Cellers Ranch production field in Johnson County, Wyo., and pay a $280,000 penalty to resolve the government’s claims for violations of the Clean Water Act. The U.S. Environmental Protection Agency and U.S. Department of Justice announced the agreement on January 7 under a consent decree lodged in the United States District Court for the District of Wyoming.

The agreement resolves a discharge of more than 25,000 gallons (597 barrels) of crude oil and produced water at Citation's Cellers Ranch Unit and inadequacies in the company's Spill Prevention Control and Countermeasure (SPCC) plan, an oil pollution prevention requirement under the Clean Water Act. On June 19, 2004, a flow line ruptured at Cellers Ranch, resulting in a spill that contaminated six miles of the North Fork Powder River and adversely impacted waterfowl and other wildlife. The spill was caused by corroded bolts on a buried coupling.

"EPA is taking this action to ensure compliance with laws that prevent oil spills and protect our waters and ecosystems," said Sharon Kercher, EPA's Deputy Enforcement Director in Denver. "EPA appreciates Citation's commitment to adopt rigorous inspection and maintenance practices that will minimize the likelihood and severity of any future spills. We expect other producers to assess the adequacy of their own spill prevention plans.”




For additional information, contact:

Cheryl Rose
U.S. Environmental Protection Agency (2243A)
1200 Pennsylvania Avenue, NW
Washington, DC 20460-0001
(202) 564-4136
rose.cheryl@epa.gov

 

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