LOS ANGELES (NEWSnet/AP) — An energy company should be fined nearly $3.4 million for safety violations involving a 2021 oil pipeline spill that damaged Southern California beaches, a federal regulator said.

Amplify Energy Corp. ignored 83 alarms in October 2021 indicating the offshore pipeline had leaked; and furthermore, failed to notify federal authorities or shut down the pipeline until 17 hours after the first alarms, the Pipeline and Hazardous Materials Safety Administration said in its letter.

 

Amplify Energy said the spill resulted from two ships dragging their anchors and damaging the pipeline during a January 2021 storm. It has since reached a settlement with the vessel companies.

The spill of 25,000 gallons of crude oil created a miles-wide sheen in the ocean and sent blobs of crude ashore. Beaches and fisheries were affected for more than a month, and wetlands were threatened.

Southern California fishermen, tourism companies and property owners then sued Amplify and the shipping vessels, seeking compensation for their losses.

Amplify agreed to pay $50 million and the vessel companies agreed to pay $45 million to settle those lawsuits; and reached a plea deal with federal authorities on the release.

The company reported last month that it received approval to restart the pipeline.

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