Oil spill ruling

In the US, the Fifth Circuit Court of Appeals has vacated and remanded a civil penalty imposed against CITGO Petroleum Corporation (CITGO) in the Western District of Louisiana, finding clear error in the District Court’s calculation of the appropriate penalty for violations of the Clean Water Act arising from a 2006 oil spill. In United States v Citgo Petroleum Corp., No. 11-31117 (5th Cir. July 17, 2013), the government’s case against CITGO arose from the failure of two wastewater storage tanks at CITGO’s Lake Charles, Louisiana refinery as a result of a severe rainstorm. The failure caused more than 2m gallons of oil to flood into the surrounding waterways.