The operator of the Keystone Pipeline system has agreed to a proposed legal settlement with the U.S. government calling for a $26.9 million civil penalty related to a spill in Kansas in December 2022. Multiple outlets report that the pipeline rupture released nearly 13,000 barrels of heavy crude oil into a creek in Washington County, Kansas, affecting a rural pasture area about 150 miles northwest of Kansas City.
Under the settlement terms described by the outlets, the $26.9 million penalty is tied to the spill and is intended to resolve the government’s allegations. In addition to the civil penalty, one report says the agreement would also require spending of about $40 million for measures to prevent future incidents, though the specific allocation and timing of that prevention spending are not detailed in the summaries provided.
The reporting describes the settlement as a proposed agreement that would be subject to the legal process involved in finalizing such actions. No source provides information in the provided material on the company’s admission of wrongdoing or the full scope of compliance requirements beyond the penalty and prevention spending.
