Tag Archives: Exxon Valdez

540 Katrina Oil Spills Equal an Exxon Valdez Disaster

The federal agency overseeing oil and gas operations in the Gulf of Mexico after hurricane Katrina reported that more than 400 pipelines and 100 drilling platforms were damaged. The U.S. Coast Guard, the first responder for oil spills, received 540 separate reports of spills into Louisiana waters. Officials estimated that, taken together, those leaks released the same amount of oil that the highly publicized 1989 Exxon Valdez disaster spilled into Alaska’s Prince William Sound — about 10.8 million gallons…

While hurricanes gain speed due to the effects of climate change, the push for oil leasing in the Gulf of Mexico shows no sign of slowing down. In 2014, the Obama administration opened up 40 million new acres in the Gulf for oil and gas development. Four years later, the Trump administration announced plans to open up most of the rest, in what would be the largest expansion of offshore oil and gas drilling in U.S. history. Many of these 76 million acres are to be offered at reduced royalty rates to encourage additional near-shore drilling in Louisiana waters…

“In the Gulf, storms are predicted to be less frequent but more intense when they do come,” said Sunshine Van Bael, an ecologist at Tulane University who evaluated damage to marsh ecosystems from the BP oil spill. “One thing that storms do is, if oil has been buried underneath the marsh because it wasn’t rehabilitated, a storm could come along and whip that back up to the surface. So, the aftereffects of the oil spills might be greater [with climate change] since the storms are predicted to be more intense.”…

In 2009, a class-action lawsuit against Murphy Oil Corp. ended in a settlement requiring the company to pay $330 million to 6,200 claimants, including owners of about 1,800 homes in St. Bernard Parish. The damage occurred when one of Murphy’s storage tanks floated off its foundation during Katrina and dumped over a million gallons of crude oil into a square-mile segment of Meraux and Chalmette….

To date, more than $19 million has been paid out from the federal Oil Spill Liability Trust Fund to reimburse at least two oil companies for costs they incurred cleaning up oil they spilled during Katrina…

“We don’t normally penalize [companies] for act of God events,” Greg Langley of the Department of Environmental Quality said. “We just get right to remediation.”

Excerpts from Joan Meiners, How Oil Companies Avoided Environmental Accountability After 10.8 Million Gallons Spill, ProPublica, Dec. 27, 2019

How Companies Buy Social License: the ExxonMobil Example

The Mobil Foundation sought to use its tax-exempt grants to shape American laws and regulations on issues ranging from the climate crisis to toxic chemicals – with the explicit goal of benefiting Mobil, documents obtained by the Guardian newspaper show.  Recipients of Mobil Foundation grants included Ivy League universities, branches of the National Academies and well-known civic organizations and environmental researchers.  Benefits for Mobil included – in the foundation’s words – funding “a counterpoint to so-called ‘public interest’ groups”, helping Mobil obtain “early access” to scientific research, and offering the oil giant’s executives a forum to “challenge the US Environmental Protection Agency (EPA) behind-the-scenes”….

A third page reveals Mobil Foundation’s efforts to expand its audience inside environmental circles via a grant for the Environmental Law Institute, a half-century-old organization offering environmental law research and education to lawyers and judges.  “Institute publications are widely read in the environmental community and are helpful in communicating industry’s concerns to such organizations,” the entry says. “Mobil Foundation grants will enhance environmental organizations’ views of Mobil, enable us to reach through ELI activities many groups that we do not communicate with, and enable Mobil to participate in their dialogue groups.”

The documents also show Mobil Foundation closely examining the work of individual researchers at dozens of colleges and universities as they made their funding decisions, listing ways that foundation grants would help shape research interests to benefit Mobil, help the company recruit future employees, or help combat environmental and safety regulations that Mobil considered costly.  “It should be a wake-up call for university leaders, because what it says is that fossil fuel funding is not free,” said Geoffrey Supran, a postdoctoral researcher at Harvard and MIT.  “When you take it, you pay with your university’s social license,” Supran said. “You pay by helping facilitate these companies’ political and public relations tactics.”

In some cases, the foundation described how volunteer-staffed not-for-profits had saved Mobil money by doing work that would have otherwise been performed by Mobil’s paid staff, like cleaning birds coated in oil following a Mobil spill.  In 1987, the International Bird Rescue Research Center’s “rapid response and assistance to Mobil’s West Coast pipeline at a spill in Lebec, CA not only defused a potential public relations problem”, Mobil Foundation said, “but saved substantial costs by not requiring our department to fly cross country to respond”.d of trustees at the Woods Hole Oceanographic Institution (recipient of listed donations totalling over $200,000 from Mobil) and a part of UN efforts to study climate change.

Wise ultimately co-authored two UN Intergovernmental Panel on Climate Change reports, serving as a lead author on one. One report chapter Wise co-authored prominently recommended, among other things, burning natural gas (an ExxonMobil product) instead of coal as a way to combat climate change.

Excerpts from How Mobil pushed its oil agenda through ‘charitable giving’, Guardian, June 12, 2019

The Pristine Waters of Alaska and Big Oil: Exxon Valdez

Thirty years ago this Sunday, at just after midnight on March 24, 1989, the Exxon Valdez supertanker ran aground in Prince William Sound off the south coast of Alaska. No-one was hurt, but the ship’s hull was ruptured, and of the 1.26m barrels of crude on board about 258,000 spilled into the water. The National Transportation Safety Board inquiry found that the causes of the accident included the failure of the ship’s master to provide a proper navigation watch “because of impairment from alcohol”, as well as inadequate personnel training and deficient management oversight.

In terms of volume released, the spill does not make the list of the world’s largest, but it was one of the worst in US waters. The harm caused by a spill is also not a direct function of the quantity of oil: a release in the cool waters of Prince William Sound, where oil breaks down more slowly, could be more damaging than a larger volume in the Gulf of Mexico, where temperatures are warmer and there are more plentiful microbes that thrive on natural oil seeps. The location of the spill also added to its emotional impact: the pictures of the oil fouling the pristine waters of Alaska shocked the world.

Exxon Valdez Clean up

Even decades after the spill, there was still evidence of the oil visible on some of the beaches in the region. Exxon agreed to pay $900m for restoration to settle damages claims from the state and federal governments, and the work of the Exxon Valdez Oil Spill Trustee Council, which oversees the use of that money, goes on. The Pacific herring population in Prince William Sound has collapsed since the early 1990s, although it is not clear whether the spill was responsible, and other wildlife such as sea ottershave recovered.

For the oil industry, the disaster was transformative. Single-hulled tankers began to be phased out, to be replaced by safer double hulls, first in the US and then worldwide. The process was accelerated after the sinking of the tanker Erika off the coast of Brittany in 1999, an accident that was considered one of France’s worst environmental disasters.

For Exxon in particular, the Valdez spill prompted a fundamental rethink of its safety culture and practices. The company developed what is called its Operations Integrity Management System, a framework that “puts safety at the center of everything we do”. By the time that Rex Tillerson ran ExxonMobil, in 2006-16, the company could rightly boast of having a safety record that was admired across the industry, and its OIMS was widely emulated….But any employer’s highest duty is to make sure workers can do their jobs safely and go home at the end of the day, and on that measure Exxon has performed better than its peers. Any workplace death is one too many, of course, but over the past decade Exxon has suffered significantly fewer than other leading oil companies.

Excerpts from Ed Crooks,  The Exxon Valdez spill 30 years on, Financial Times, Mar. 22, 2019