Exxon Mobil Corporation on December 17 confirmed that it has entered into an agreement with the Department of Justice (DOJ) and the Environmental Protection Agency (EPA) to resolve certain stipulated penalties alleged to be due under the New Source Review Consent Decree signed in December, 2005. This agreement requires payment of approximately $6 million in penalties, most of which are associated with alleged non-compliances with New Source Performance Standards Subpart J (NSPS J) on three heaters at the Baytown Refinery.
ExxonMobil's Baytown Refinery had conducted a comprehensive review of the Baytown fuel gas system in late 2004/early 2005. It was believed that all fuel gas streams and associated combustion devices subject to NSPS J had been identified and addressed in the Consent Decree agreement.
However, while performing an environmental self-audit in November 2006 Baytown Refinery became aware that a small number of streams (potentially subject to NSPS J requirements) had not been specifically addressed in the Consent Decree. Environmental impacts associated with this item were very minor and all streams now meet the NSPS J standard. ExxonMobil proactively self-reported this finding to the EPA.
The agreement also included penalties for several minor items at the Baton Rouge, Beaumont and Torrance refineries.