The state has reached a huge financial settlement with an oil pipeline company in connection with the massive 2015 pipeline break, and oil spill in Santa Barbara County.
In 2015, the Plains All American Pipeline ruptured on the Gaviota Coast, spilling some 140,000 gallons of crude oil.
In addition to the environmental impacts, it forced the shutdown of the area’s oil operations. Venoco filed for bankruptcy. The state got stuck with the cost of decommissioning the company’s oil facilities, as well as offshore oil Platform Holly.
The State Lands Commission, and an insurance company sued the pipeline company, claiming negligence led to the situation.
The settlement calls for Plains to pay the state $72.5 million.
$50.5 million will go to the state to help cover decommissioning costs.
Aspen American Insurance will get $22 million from the settlement.
Work is underway on the project to decommission the oil platform, a process which will take years.
