US EPA, DOJ reach $241 million settlement with Marathon Oil

15 July 2024

The US Environmental Protection Agency (EPA) and Department of Justice (DOJ) announced a $241 million settlement with Marathon Oil Company for alleged Clean Air Act (CAA) violations at the company’s oil and gas operations on the Fort Berthold Indian Reservation in North Dakota.

The complaint alleges CAA violations at nearly 90 Marathon facilities resulted in thousands of tons of illegal pollution, including volatile organic compounds (VOC) and carbon monoxide. The complaint also alleges failure to comply with storage tank design, operation and maintenance requirements at facilities on the Fort Berthold Indian Reservation. Additionally, greenhouse gases, including methane, were released in large quantities. Marathon Oil has not admitted any liability over the allegations.

The settlement requires Marathon to pay a civil penalty of $64.5 million, the largest ever for violations of the Clean Air Act at stationary sources. The agreement also requires Marathon to invest in “extensive compliance measures”—estimated to cost $177 million—to achieve major reductions of criterial air pollutant and greenhouse gas emissions from over 200 oil and natural gas extraction facilities across the state.

The settlement requires Marathon to obtain permits with federally enforceable emission limits at its production facilities. Compliance measures also include the reduction of gas flaring, improved flare monitoring, periodic infrared camera inspections of the oil and gas facilities, and implementation of storage tank design requirements. These actions, much of which to be implemented by the end of 2024, will reduce emissions from 169 existing facilities on state land and on the Fort Berthold Indian Reservation, as well as at new facilities built in North Dakota.

The consent decree was filed with the United States District Court, District of North Dakota, Western Division and is subject to a 30-day comment period.

Source: US EPA