Cut Bank, MT – FX Drilling, Inc. has been slapped with a $100,000 fine following a guilty plea connected to a 2011 oil spill on the Blackfeet Indian Reservation in northwestern Montana. The company’s negligence led to the discharge of approximately 840 gallons of oil and production fluid, contaminating land and ultimately reaching Cut Bank Creek. While the company had already spent over $321,000 on cleanup efforts, the federal penalty underscores the severity of the environmental damage and the failure to promptly report the incident.
The incident occurred on July 14, 2011, when a rancher discovered the slick and alerted tribal officials after noticing the contamination spreading from an oil field. Investigations revealed a cracked 3-inch line connecting two oil wells was the source of the leak. Quay Geza Torok, a field supervisor for FX Drilling, identified the breach but, critically, neither he nor the company took immediate action to contain or report the spill. This delay in notification is a key component of the criminal charges.
Delayed Reporting and Environmental Impact
Federal prosecutors argued that FX Drilling knowingly violated the law by failing to report the spill to the National Response Center as required. This delayed response hindered efforts to mitigate the environmental impact, potentially exacerbating the damage to Cut Bank Creek and surrounding ecosystems. The Blackfeet Environmental Office played a crucial role in the initial assessment and investigation, working alongside the U.S. Environmental Protection Agency’s Criminal Investigation Division.
Charges were initially filed against both FX Drilling and Torok on March 18, 2016. However, all charges against Torok were ultimately dismissed, leaving FX Drilling solely responsible for the criminal violations. The company entered a guilty plea on August 1, 2016, leading to the sentencing on August 11, 2016, which included the $100,000 fine.
Legal Ramifications
The case hinged on violations of two key federal statutes: the Clean Water Act (33 U.S.C. § 1321(b)(5)) which prohibits the discharge of pollutants into navigable waters, and the Oil Pollution Act (33 U.S.C. § 1321(b)(3) and 33 U.S.C. § 1319(c)(1)(A)) which mandates immediate reporting of oil spills to federal authorities. These laws are designed to protect vital water resources and ensure a swift response to environmental disasters. The fine serves as a penalty for the company’s failure to adhere to these regulations.
GrimyTimes Investigation Continues
GrimyTimes will continue to follow this case and investigate further into FX Drilling’s environmental record. The incident raises questions about industry oversight and the potential for similar unreported spills in sensitive ecological areas. We will be looking into whether this fine will be enough to ensure future compliance and prevent further environmental damage.
Key Facts
- Defendant: FX Drilling, Inc.
- Location: Blackfeet Indian Reservation, Montana
- Date of Spill: July 14, 2011
- Amount of Oil Spilled: Approximately 840 gallons
- Laws Violated: Clean Water Act (33 U.S.C. § 1321(b)(5)), Oil Pollution Act (33 U.S.C. § 1321(b)(3) & 33 U.S.C. § 1319(c)(1)(A))
- Penalty: $100,000 fine
- Cleanup Costs (Paid by FX Drilling): Over $321,000
- Charges Against Torok: Dismissed
Source: EPA ECHO Enforcement Case Database
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