The chemical company LyondellBasell, which filed for Chapter 11 bankruptcy protection last January, has offered to pay the federal government $250 million for environmental cleanup at several sites including an 80 mile stretch of the Kalamazoo River that is contaminated with PCBs, Chris Killian reports in the Kalamazoo Gazette.
The PCB (polychlorinated biphenyl) contamination of the Kalamazoo River stretches from east of Kalamazoo to Lake Michigan and was listed as a Superfund site since 1990.
Last year Killian reported that cleanup work on the river had slowed because the U.S. arm of LyondellBasell Industries had filed for bankruptcy and objected to paying for environmental cleanup while in bankruptcy.
LyondellBasell — also known as Millennium Holdings LLC — had been financing the Kalamazoo River cleanup along with the paper company Georgia-Pacific Corp., the other party identified as responsible for the contamination.
In his story today Killian writes that the LyondellBasell’s offer of $250 million falls far short of what the U.S. Environmental Protection Agency says is required.
The government had sought up to $5 billion from the company for cleanup work at sites where LyondellBasell has some responsibility, according to court documents filed in the U.S. District Court’s Southern District of New York. In court documents filed in December, the company said the Kalamazoo River project — its largest environmental cleanup liability — would cost up to $2.5 billion.