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Environmental Press Releases

U.S. EPA to Greka: Clean Up, or Pay Up—01/29/2008

The U.S. Environmental Protection Agency today orders Greka Oil and Gas, Inc. to immediately comply with the Federal Water Pollution Control Act, or face fines of up to $32,500 per day, for each violation.

The EPA issues this order following recent releases of oil and other hazardous substances from Greka's Central California facilities, including a Jan. 5th spill that released more than 50-thousand gallons of crude oil into the environment.

“This order ensures Greka will fully comply with all federal requirements, or face steep penalties,” said Daniel Meer, Chief of the Response, Planning and Assessment Branch for the Superfund Division in the EPA's Pacific Southwest region. “Failure to cooperate will result in serious consequences for this company.”

Per the order, Greka must immediately remove all oil and hazardous substances released into a tributary of Zaca Creek. Water flows continuously though this unnamed tributary, downstream to Zaca Creek, through the Santa Ynez River, and into the Pacific Ocean. Greka must work to clean up and contain the spill, and prevent further flow from causing additional harm to the environment. Greka's cleanup must include all petroleum, and petroleum
contaminated media including crude oil, soil, debris, creek water, and vegetation.

The company must develop work plans, subject to EPA approval, that detail their strategy to prevent future releases of oil. Greka must also provide the EPA with a written daily update of their progress.

At the direction of EPA, and with EPA oversight, Greka has been engaged in clean up efforts at the Zaca Creek spill site since Jan. 5th. The EPA is issuing this order to ensure that cleanup is completed expeditiously, comprehensively, and in accordance with applicable laws and regulations.

Recent Spills:

On Jan. 5th, oil and contaminated water overflowed into the secondary containment of the Davis Tank Battery on Zaca Station Road, but was compromised by an open 12-inch drainage pipe. The oil and produced water flowed from the secondary containment tank, and migrated through a Santa Barbara Co. maintenance yard, a winery equipment storage yard, and ultimately more than a mile down Zaca Creek.

Greka's Jan. 5th oil spill at Zaca Creek led to routine EPA inspections, which eventually revealed additional spills at Greka facilities. On Jan 24th, EPA on-scene coordinators discovered additional hazardous releases at Greka's Ucal lease on Dominion Road, their Bell lease on Palmer Road, their Bradley 3 Island facility on Telephone Road, and a re-release at their Davis lease on Zaca Station Road. At Greka's Bradley 3 Island facility, EPA
discovered Greka discharging oil contaminated water from a facility drainage basin into an unnamed creek, which is habitat for the tiger salamander, an endangered species.

The EPA continues to work with members of the California Department of Fish and Game, the Santa Barbara County Fire Department, the U.S. Coast Guard's Pacific Strike Team, and Greka Oil and Gas, the responsible party, to contain and clean up these releases, and prevent further harm to the environment.

Environmental Protection Agency. "U.S. EPA to Greka: Clean up, or pay up." [http://www.epa.gov/newsroom/newsreleases.htm]. 01/29/2008.


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