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US govts won't pursue $92m from Exxon

Ducks and otters that appeared vulnerable to lingering oil from the 1989 Exxon Valdez oil spill have recovered to pre-spill population levels.

Sea lions swim as the Exxon Valdez sits at anchor
The US state and federal governments will not pursue extra damages for the Exxon Valdez oil spill. (AAP)

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Source: AAP


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The state and federal governments have decided not to pursue $US92 million ($A126 million) in additional damages from Exxon Mobil Corp after a devastating oil spill more than two decades ago.

In a court filing on Wednesday, government lawyers said patches of lingering oil that remain can no longer be considered an impediment to the recovery of sea otters or harlequin ducks or a significant ongoing threat to their now-restored populations in the area affected by the 1989 Exxon Valdez oil spill.

It came before a scheduled status hearing in federal court in Anchorage on Thursday.

Lawsuits brought against Exxon by the governments after the spill led to a $US900 million settlement and a consent decree that resolved claims related to natural-resource damages.

The decree included a so-called "reopener" clause that allowed for the governments to seek additional funds for restoration projects.

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In 2006, near the end of the period in which the clause could be invoked, the governments demanded $US92 million from Exxon based on the preliminary cost of implementing a plan to address lingering oil. But they never asked a judge to enforce the claim.

Ultimately, money from the original settlement was used for studies on lingering oil and measures to make it non-toxic, the state Department of Law said.

Wildlife monitoring showed the ducks and otters that appeared vulnerable to lingering oil in 2006 have recovered to pre-spill population levels, and officials concluded the legal requirements for pursuing a claim under the clause were no longer met, the department said in a news release.

More than $200 million in settlement funds remain that could be used to address lingering oil and other restoration work, the filing states.

John Cruden, an assistant attorney general with the US Justice Department, said the reopener clause set a high bar for recovery of additional damages.


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