Projars Energy Corp. has been fined $1.4 million for leaking a $3.5 million pipeline in Texas, according to documents obtained by The Dallas Morning News.
Projars spokeswoman Kristi Johnson confirmed that the company was fined for leaking the pipeline but declined to say whether it is the largest leak in US history.
The company also has been named in a class-action lawsuit filed by more than 200 pipeline and oil company workers.
Prodars is a subsidiary of OLE Energy Inc., a privately held oil and gas company based in Dallas.
It is not clear how much the leak cost Projares.
Projanis said in an emailed statement to The Dallas News that the spill is being investigated and the company has a process in place to notify pipeline owners if they have a pipeline leak.
The Texas Public Service Commission fined the company $3,750 in March for failing to notify customers about a pipeline spill in the town of Taos, according the AP.
Projaris said the company plans to spend $10 million to repair the pipeline.
The leak was discovered after a worker noticed cracks in the pipe and a leak alarm went off, Johnson said.
The leak was found when a worker on the company’s work crew noticed cracks and an oil slick on the ground and alerted authorities, Johnson told the AP on Monday.
Projaris was not immediately available for comment.
Projamans spokeswoman said in the statement that it is an ongoing investigation and that Projaras will not be commenting further on the case.
Prodjars, which is headquartered in Fort Worth, Texas, had no immediate comment on the investigation.
Projaeras is owned by the oil and natural gas group Petrobras SA.
Projcavs, a subsidiary, of Petrobrass SA, was fined $2.4 billion by the government of Brazil for its role in a 2009 leak of up to 9,000 barrels of oil, the Wall Street Journal reported in June.
Petrobrands has not been convicted of any crimes.
