Federal Agency Proposes $2.6 Million In Penalties Against ExxonMobil

Nov 6, 2013

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A federal agency is proposing more than $2.6 million in civil penalties against ExxonMobil after one of the company's pipelines ruptured and spilled thousands of barrels of oil in central Arkansas.

The Pipeline and Hazardous Materials Safety Administration released a document on Wednesday citing ExxonMobil Pipeline Company for nine probable violations of pipeline safety regulations.

The company's Pegasus pipeline ruptured in Mayflower on March 29, spilling thousands of barrels of oil in the community about 30 miles northwest of Little Rock.

ExxonMobil can contest the probable violations, which include allegations that the company failed to follow certain procedures.

ExxonMobil spokesman Aaron Stryk says the company is reviewing the notice of probable violations. But Stryk says it appears that the agency's analysis is flawed.