Lo! A New Situation Summary is Out
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Summary:
The well pad is even worse – “Due to pad 3 instability a request for an extension of the installation time period for MRAA 03 by Texas Brine was approved by DNR on 01 MAR”
And -
“DNR elevated the status of operational activities on the sinkhole to Yellow Alert on 01 MAR due to seismic activity.”
This is Mar. 6. This summary just came out. So what the heck??? DNR: “There will be a cooperative meeting of all involved parties regarding the latest seismic reporting on 05 MAR” (p.24)
DHH skipped all testing for now. Nice.
http://freedomrox.wordpress.com/2013/03/05/louisiana-sinkhole-who-owns-the-failed-cavern-who-is-liable/
Louisiana Sinkhole: Who owns the failed cavern? Who is liable?
ON AUGUST 12, 2012, TEXAS BRINE SUBMITTED A PLAN THAT STATED A CONTAINMENT BERM/DITCH around the then 2.5 acre Sinkhole. Ever see that happen? At over nine acres, still a containment berm has been unable to be completed before, so why now, after untold environmental damage has been done?
All of the formation waters, hydrocarbons, TDS’s, TDC’s, etc. were allowed to contaminate the surrounding waterways, bayous, and swamps, although TEXAS BRINE proposed the first plan to contain the waters of ‘Lake Oxy 3′ to the Department of Conservation 9 days after the sinkhole formed. We are now at 221 days and counting..
Why?
At the bottom of this document is also contained a PLAT map of all OWNERS of the property, and adjacent land owners. OCCIDENTAL CHEMICAL CORP. Owns the land, and the Cavern, (OXY GEISMAR 3), and Texas Brine owns nothing but the casing and operates the well.
WHY IS THIS IMPORTANT? Because according to the recent decision of the courts, the OWNER IS RESPONSIBLE for the CAVERN, and not the on-site OPERATOR.
Below is an explanation of how DOW CHEMICAL escaped all liability for the 2003 GULF SOUTH Incident in Grand Bayou. It also serves as the basis for enjoining OCCIDENTAL CHEMICAL CORP. in any lawsuit, and force them to admit ownership.
This is why TEXAS BRINE keeps claiming they ARE NOT responsible. They are just not disclosing the whole truth, and probably never will on their own. My money is on Occidental Chemical Corp. remaining very quite, as they know they are liable and have much deeper pockets than Texas Brine and that scares them to death.
COURT CASE:
“Kirkland’s win in the Dow Chemical matter resolved a high-stakes battle between the company and a Dow lessee’s insurer, Oil Insurance Ltd., and showcased the firm’s methods.
Oil Insurance had sought in a Louisiana trial court subrogated damages from Dow related to the 2003 rupture of an underground gas storage chamber operated under lease from Dow by Gulf South Pipeline LP.
Oil Insurance alleged that Dow was liable because it had constructed the gas well improperly. Gulf South’s cleanup costs and lost profits related to the rupture, which released millions of cubic feet of gas and resulted in the evacuation of the surrounding community, amounted to more than $145 million.
Kirkland stepped in as lead counsel in 2007 on Dow’s behalf and convinced the judge to set up a phased approach, under which the firm proceeded with two attacks on the insurer’s claim that ultimately led to the case’s resolution.
The firm first used discovery to produce key admissions from the insurer’s damage expert, leading the court to scrub some $80 million in damages for a purported failure to present underlying documents.
Kirkland then successfully argued in a summary judgment motion that an additional $30 million chunk of Oil Insurance’s claims should be stricken based on a waiver of subrogation clause.
Having twice sided with Oil Insurance on the issue earlier in the case, the court, which rendered judgment last March, made new Louisiana law for the manner in which it applied the waiver of subrogation to the insurer’s claims.
Following the court’s decision, the parties settled the remaining claims, with Gulf South and Oil Insurance assuming all liability for litigation currently underway with area residents.
Additionally, Dow settled its own claims against Gulf South in a confidential settlement.
I do hope you are now getting the picture. The Courts ruled that since Gulf South was the OPERATOR and that it’s CASING FAILED, and that DOW only owned the property and the actual cavern and it didn’t fail, then GULF SOUTH and OIL INSURANCE were liable.
Applying this Court decision, then conversely, since OCCIDENTAL OWNS Cavern OXY GEISMAR 3, and TEXAS BRINE only operates the well and casing, then OCCIDENTAL CHEMICAL CORP. and it’s INSURANCE COMPANY are the actual LIABLE PARTIES, depending upon whether Texas Brine signed a similar waiver of subrogation.
Also, Texas Brine, because of the 2010 mill out at 2350 ft. without reliable knowledge from the VSP (performed later the same year), but having Sonar surveys of the Cavern showing the straight line deformation of the shale sheath pressing against the cavern’s bottom 1000 ft., suggesting that not enough salt existed for such a mill out test, and therefore are liable for this portion of the cavern’s failure.
I know this doesn’t help unless taking on litigation, but it is valuable information in your fight to get relief. Please speak with your Attorneys to check out these important matters, and it’s implications in enjoining Occidental Chemical Corporation as Defendant, with Texas Brine, LLC.
Sun. News – Texas Brine Update & More
Mar. 2 UPDATE from Texas Brine:
“There have been no significant events at the sinkhole. Early in the week, increased seismic activity was recorded by our newly installed, highly sensitive Passive Seismic Activity Monitoring System.”
UH-OH:
“ Drilling of the pentalite shot holes in the uninhabited areas north and south of Hwy. 70 is targeted for completion by Thursday of next week. “
David J. Mitchell of The Advocate asks “O, Governor, where art thou?”
For months now, a vocal group of activists and residents has found fault with Gov. Bobby Jindal over his absence from the scene of the Bayou Corne sinkhole.
Why, they ask, has he not made the commonly seen leadership visit to a disaster area that, while brief, boosts morale and provides hope? . . .
‘What does this mean?’ dept. – Boil water order issued for east bank of N.O. after water pressure drops
WWLTV.com NEW ORLEANS – A precautionary boil water advisory has been issued for all of the east bank of Orleans Parish, after a loss of water pressure Sunday morning, city officials said. . .
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http://theadvocate.com/news/opinion/5259318-123/inside-report-sinkhole-critics-o
Inside Report: Sinkhole critics: O, Governor, where art thou?
For months now, a vocal group of activists and residents has found fault with Gov. Bobby Jindal over his absence from the scene of the Bayou Corne sinkhole.
Why, they ask, has he not made the commonly seen leadership visit to a disaster area that, while brief, boosts morale and provides hope?
Sinkhole activist John Achee Jr., a regular critic of Jindal and state government’s handling of the sinkhole and salt dome regulation, leveled this complaint again during a Feb. 19 joint hearing of the House and Senate committees on Natural Resources.
He called Jindal’s absence “disheartening” and “very concerning.”
“This to me is unacceptable and cannot or should not be tolerated,” said Achee, a polarizing figure himself over his criticisms of Jindal and state and parish government.
In response, Jindal’s press office provided its answer, quoting the governor as saying he receives regular updates and that state agencies have put out abundant resources in response to the sinkhole under his orders.
No matter how many times your subordinates send them, though, news releases will never be the same as a handshake, a pat on the back and encouraging words directly from the governor.
This perceived inattention has given Jindal’s critics a useful symbol for the way, they say, state government has inadequately responded to the Assumption Parish disaster and regulated salt dome operators.
The absence has also fit neatly into the narrative of an insulated governor with eyes on Washington 2016 and not Louisiana 2013.
But these complaints, it seems, could be neutralized for most with one helicopter ride to the command post in Bayou Corne.
So why not?
Jindal’s press office did not respond to requests for comment.
Kirby Goidel, LSU mass communication and political science professor, said the window for Jindal to gain the positive boost he could have expected from an early visit to Bayou Corne has long passed.
Any visit now would likely be greeted with criticism that he arrived too late. At the same time, if Jindal stays away, he will continue to be criticized for not going.
“He is in a difficult spot now,” said Goidel, who also directs the LSU Manship School’s Research Facility.
Goidel said if he were advising Jindal, he would suggest the governor go anyway just to take the issue off the table.
There is a danger, though, Goidel noted.
After early criticism over the federal response to Hurricane Katrina, President George W. Bush made a dramatic speech from Jackson Square in New Orleans, initially creating a powerful symbol of renewed federal commitment.
As the recovery lingered, images of Bush speaking from that city’s ancient but powerless heart under generator-powered lights became an ironic critique of the response and of Bush.
“At end of the day, people judge on sort of the policy and whether it is a benefit or not, and if you come into a Katrina-type situation and you have the lights and have the cameras and say you’re concerned, and you disappear, then people remember that,” Goidel said. “I think it’s got to be both the image, plus the follow-up.”
Resolution of the Bayou Corne situation appears at least months away, but legislators are discussing new regulations for salt dome operators. The Louisiana Office of Conservation is proposing its own revamp on salt dome rules.
Jindal has an opportunity to flex his muscle on these efforts and have a helicopter ride to the bayou worth making.
