Illinois

The U.S. Environmental Protection Agency (EPA) and the Department of Justice announced a settlement with Enbridge Energy LP and several related Enbridge companies to resolve claims stemming from two separate oil spills in Marshall, MI and Romeoville, IL, in 2010. Enbridge agreed to spend at least $110 million on measures to prevent spills and improve operations across nearly 2,000 miles of its pipeline system in the Great Lakes area, and to pay $62 million in civil penalties for Clean Water Act violations, the agencies said. Enbridge will also pay more than $5.4 million in unreimbursed costs incurred by the government in connection with cleanup of the Marshall spill, as well as all future removal costs incurred by the government in connection with the spill. In addition to payments required under the proposed settlement, Enbridge has already reimbursed the government for $57.8 million in cleanup costs from the Marshall spill and $650,000 for cleanup costs from the Romeoville spill, and reportedly incurred costs in excess of $1 billion for required cleanup activities relating to the spills, the agencies said. Enbridge was held responsible for the discharge of at least 20,082 bbls of oil in Marshall and another 6,427 bbls in Romeoville. In 2012, the National Transportation Safety Board said the 30-inch diameter pipeline rupture and spill in the Kalamazoo River in Marshall was the most expensive onshore oil spill in U.S. history (see Daily GPI,July 16, 2012).

Rex Energy Corp. said late Tuesday that it has finally reached an agreement to sell its legacy assets in the Illinois Basin for $40 million to land broker Campbell Development Group LLC.

With the completion of a merger forming Milwaukee-based WEC Energy Group, a controversial multi-billion-dollar, multi-year effort to replace the aging natural gas pipeline system in Chicago is getting a fresh look, WEC’s CEO told financial analysts during a quarterly earnings conference call last week.

Two days after voters in Illinois elected a new governor, a panel of state lawmakers has unanimously approved a series of regulations governing hydraulic fracturing (fracking) in the state.

A legislative panel in Illinois has delayed a vote on revised rules governing hydraulic fracturing (fracking) until its next meeting in November, following state and national elections.

Supporters and opponents of shale gas development in Illinois are both unhappy over revised rules governing hydraulic fracturing (fracking) and other elements of oil and gas law that were submitted last week by state regulators.

Nicor Gas Co. said Illinois regulators have approved a tariff that will allow the company to recoup millions in pipeline infrastructure investments across the northern part of the state.

A 50-day public comment period on rules that would implement Illinois’ Hydraulic Fracturing Regulatory Act (HFRA) was set to expire Friday, but some environmental groups opposed to fracking are asking the state for an extension.

The Illinois Department of Natural Resources (DNR) has published proposed rules on hydraulic fracturing as required by the state’s recently adopted Hydraulic Fracturing Regulation Act and scheduled a pair of public hearings over the next three weeks. Public comments on the proposed rules will be accepted until Jan. 3, DNR said.