Premcor Fined $6.25 million for Breach of Five Laws

WASHINGTON, DC, April 1, 2002 (ENS) – Premcor Refining Group, Inc., will pay a $6.25 million penalty to resolve claims that its Blue Island Refinery south of Chicago violated five federal statutes and Illinois state laws. Premcor, formerly known as Clark Refining and Marketing, Inc., closed the large refinery in January 2001.

The Justice Department, the Environmental Protection Agency, and the state of Illinois announced the settlement today.

The Blue Island Refinery was in operation, under various owners, from the 1920s to January 2001. Prior to its closure, the refinery processed approximately 80,000 barrels of crude oil per day. Principal end products included gasoline, liquid petroleum gas, jet fuel, diesel fuel, heating fuel and asphalt.

Premcor’s refinery in Hartford, Illinois
The claims were originally made in a 1998 complaint that was part of the Justice Department’s Mississippi River Initiative, a comprehensive federal effort to keep illegal pollution – ranging from raw sewage to industrial waste – out of the Mississippi and to restore the river and surrounding communities.

The water related violations alleged against Premcor’s Blue Island Refinery include illegal discharges into the Cal-Sag Canal West of Chicago. The canal’s waters eventually flow into the Mississippi River.

Other alleged violations of the Clean Water Act include discharges of illegal levels of pollutants to the local, publicly owned wastewater treatment plant. The federal government also alleged that the refinery violated Clean Air Act emission limits for sulfur dioxide, a precursor of acid rain.

In all, the Blue Island Refinery violated the Clean Water Act, the Clean Air Act, the Resource Conservation and Recovery Act, the Comprehensive Environmental Response, Compensation and Liability Ac, commonly known as the Superfund Act, the Emergency Planning Community Right-To-Know Act, and state of Illinois environmental laws and regulations.

Premcor Inc., through its principal operating subsidiaries, The Premcor Refining Group Inc. and the Port Arthur Coker Company L.P., is one of the largest independent refiners of petroleum products in the United States. Premcor is headquartered in Saint Louis, Missouri and employs more than 1,800 people.

On its website, Premcor says the company is committed to “the protection of the earth’s environment.” The company pledges to, “Comply fully with the requirements of all applicable laws and regulations, and … operate our facilities in a manner that continuously improves employee and public safety and environmental protection.”

“This settlement represents the Department of Justice’s commitment to following through on its duty to enforce our nation’s environmental laws,” said Tom Sansonetti, assistant attorney general of the Justice Department’s Environment and Natural Resources Division. “Where appropriate, stiff civil penalties for environmental violations are an important reflection of that commitment.”

“This consent order demonstrates the benefits obtainable by a cooperative State-Federal lawsuit to enforce our environmental laws and protect the people and environment of the State of Illinois,” said Illinois Attorney General Jim Ryan.

The consent decree was filed in U.S. District Court in Chicago and is subject to a 30 day public comment period and court approval.

Environmental News Service

Illinois Environmental Protection Agency

US EPA

US Department of Justice