State takes over 21 oil wells after owner failed to plug them
LANSING, Mich. (FOX 2) - The state will take over management of 21 oil wells in two mid-Michigan counties after its owner failed to plug them, which led to two sites leaking oil into the environment.
Fisher McCall Oil & Gas also agreed to hundreds of thousands in civil fines and $2.1 million for the state to plug the wells, which are no longer producing oil. They will also pay costs for site remediation.
The state Attorney General sued Fisher McCall on behalf of the Michigan Department of Environment, Great Lakes, and Energy in 2022 after the company failed to secure wells in Ottawa and Ingham Counties.
As part of the settlement, they'll pay the following:
- $2.1 million to plug the 21 wells
- $400,000 to remediate the wells and associated facilities
- $102,095 to reimburse EGLE for prior oil leak response costs
- $250,000 in civil fines to the state
- $51,627 in the form of forfeiture of a bond filed with EGLE
The settlement was reached in the 20th Circuit Court on Aug. 4. As part of the judgment against Fisher McCall, they will relinquish all ownership of machines, supplies, and structures at the wells.
"Michigan’s natural resources belong to all of us, and those who profit from them have a legal obligation to ensure their activities leave no long-term hazards," said Phil Roos, EGLE Director. "In this case those obligations were not fulfilled. This settlement sends a message that Michigan will aggressively pursue irresponsible parties when they fall short of their responsibility to protect Michiganders’ natural assets."
Among the hazards posed to the environment by the uncapped wells was a release of oil into a lake in Ottawa County's Bend Park.