MTBE Cool

Big Oil will shell out for groundwater cleanup

Posted at 8:07 AM on 08 May 2008

Some of the nation's largest oil companies will over the next 30 years have to pay to clean up groundwater befouled with gasoline additive MTBE. In settling a suit brought by 153 public water providers in 17 states, a dozen companies -- including BP, Shell, ConocoPhillips, and Chevron -- will also have to pay a total $423 million cash. If approved, the settlement will be "a step in the direction of making the parties responsible for the contamination pay for it rather than the folks who drink the water and pay the rates," says an attorney for the plaintiffs. Well, most of the responsible parties anyway -- six defendants, including Exxon Mobil, did not agree to settle. MTBE, which began to be added to gasoline in 1979 to increase octane levels, is a possible carcinogen and can give water the taste and odor of turpentine. It is now banned in 23 states, and oil companies stopped using it in 2006. Estimates of the cleanup cost have reached $30 billion.

sources: Bloomberg News, The Wall Street Journal, Reuters, The New York Times

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Comments: (3 comments)

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Rockefellers to Exxon...umm, hello?

Did Exxon (aka. the Evil Empire) not get the memo from the Rockefeller's? Apparently, not. No big suprise that Exxon will continue along their destructive path. But at who's expense? Yours. Whether they poney up and pay on their own accord (you have a better chance of winning the lottery 100 days in a row) or they are forced by the courts doesn't really matter. It will show up at the pump. BTW, Exxon alone made enough last year to solve this problem and still have $10B left over. -Dragon

by Dragon at 12:10 PM on 08 May 2008

Exxon

Exxon is not going to pay a damn thing.They were taken to court 25yrs. ago for the Exxon Valdez oil spill and lost their case and were ordered to pay millions to the state of Alaska,and hundreds of people.They(Exxon)have not paid a dime to anybody and keep dragging the case into to court on some pretext or another so that they won't have to pay.No,neither Exxon or any of the other Big Oil companies will pay anything.

Why not ask why!?

by usandthem at 2:10 PM on 08 May 2008

Exxon and You

Usandthem, you're so right. But, then of course that is old news. Everyone knows that. However, there is more to the story...Many years ago, when BP and Shell were first making their push into renewables and their image change, Exxon held their annual Stakeholders meeting with all their shareholders, board, etc. At that meeting the shareholders and board visited an issue - what direction should Exxon take in the future? Sounds like a fair question, right? Well, their unanimous answer - to the world, mind you - was that Exxon would "never" be involved with renewable energy or sustainability. They "stated" that they were an oil company from day one and that is their sole purpose in life. Apparently, it has paid off. $40 BILLION last year and 2008 Q1 of $11 BILLION. If they keep pace, they should out perform themselves this year - all at the expense of whoever buys gas from them. Personally, if I were still around and could find a car to fit my size I wouldn't buy a pack of chewing gum from them, much less gas. Think about it. It's easy to rant and rave but takes much more to think.

by Dragon at 3:04 PM on 08 May 2008

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