Oil Company Agrees to $9.1-Million Settlement
ChevronTexaco Corp. has agreed to pay $9.1 million to settle a lawsuit brought by this small California town, which accused the petroleum giant of contaminating its water supply with a suspected carcinogen, officials said Friday.
After a three-year dispute over the contaminated wells, officials in Cambria, a coastal tourist town of 6,400 about 160 miles north of Los Angeles, approved the settlement Friday, a spokeswoman for the Cambria Community Service District said.
Ed Spaulding, a spokesman for ChevronTexaco, said the company was pleased to have ended the litigation.
“We think this is a positive step in ChevronTexaco’s efforts to fulfill our responsibilities in Cambria,” he said.
The company asked that a portion of the settlement go toward creating a hike-and-bike trail in the tourist haven.
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