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Magellan Pipeline Company to Pay $46,200 Penalty for Iowa Oil Spill and Facility Response Plan Issue at Valley Center, Kan.

Release Date: 05/25/2010
Contact Information: Chris Whitley, 913-551-7394, whitley.christopher@epa.gov


Environmental News

FOR IMMEDIATE RELEASE

(Kansas City, Kan., May 25, 2010) - Magellan Pipeline Company, L.P., has agreed to pay a $46,200 civil penalty to the United States to resolve federal Clean Water Act violations related to a March oil spill at its pipeline terminal in Milford, Iowa, and an unrelated issue involving a May 2009 emergency response drill at its bulk oil storage facility near Wichita, Kan.

Magellan Pipeline Company, of Tulsa, Okla., has certified under terms of the settlement that it has taken steps to address the violations and is now in compliance with the Clean Water Act and its regulations, according to an administrative consent agreement and final order filed in Kansas City, Kan.

On March 14, 2010, Magellan reported a spill of diesel oil from its pipeline terminal near 2451 Highway 71, Milford, Iowa. An estimated 5,000 gallons of oil spilled into a nearby unnamed creek, which is a tributary of the Little Sioux River.

On May 7, 2009, EPA Region 7 staff conducted an unannounced inspection of Magellan’s bulk oil storage facility at 1120 S. Meridian, Valley Center, Kan., near Wichita. The purpose of the inspection was to require Magellan to perform a field deployment drill of its Facility Response Plan. During the exercise, Magellan was unable to effectively deploy a containment boom within a one-hour response time, as required by federal regulations.

“The two claims resolved by this agreement illustrate the importance of being prepared to respond to inland oil spills, and the critical need for responsible parties to prevent such spills,” said Karl Brooks, EPA Regional Administrator.

The administrative consent agreement is subject to a 30-day public comment period before it becomes final.