A Louisiana jury has ordered Chevron to pay $745 million for damage to coastal wetlands. The verdict includes $575 million for land loss, $161 million for contamination, and $8.6 million for abandoned equipment. Texaco, acquired by Chevron in 2001, violated regulations by failing to restore land after drilling operations and dumping wastewater into marshes. Chevron plans to appeal the decision. This landmark case is the first among 40 similar lawsuits against oil companies.
A Louisiana jury has ordered oil giant Chevron to pay $745 million in damages to restore coastal wetlands damaged over decades of operations. The landmark verdict comes after a month-long trial in Plaquemines Parish, where attorneys argued that Texaco, which Chevron acquired in 2001, violated regulations and contributed to the loss of crucial wetlands.
The penalty breaks down to $575 million for land loss, $161 million for contamination, and $8.6 million for abandoned equipment. When interest is added, the total could exceed $1.1 billion. The case was first filed in 2013 and took over a decade to reach this conclusion.
The landmark verdict’s $745 million penalty could balloon to $1.1 billion with interest—a decade-long battle finally resolved.
Evidence presented showed that Texaco failed to restore land after dredging canals for drilling operations. The company also dumped billions of gallons of wastewater into marshes, which worsened wetland deterioration. These wetlands are essential for protecting coastal communities, supporting wildlife, and reducing storm damage.
Chevron has announced plans to appeal the decision. The company disputes the findings and argues the verdict is unfair. Lead trial attorney Mike Phillips called the ruling unjust and erroneous. Industry groups have expressed concern that the ruling could harm Louisiana’s energy sector and discourage future investments in the state.
This case is considered significant as it’s the first among more than 40 similar lawsuits targeting oil companies for damage to Louisiana’s coast. The outcome could influence how these other cases proceed and establish a precedent for holding companies accountable for environmental harm.
Environmental advocates view the verdict as a victory for coastal restoration efforts. Louisiana has lost approximately 2,000 square miles of coastline, and funds from penalties like this would help address the ongoing crisis.
The trial took place at a courthouse in Pointe à la Hache and was led by attorney John Carmouche. The jury ultimately found Chevron responsible for regulatory violations linked to Texaco’s historical operations, signaling increased accountability for past environmental damages in sensitive ecological areas. The verdict could have far-reaching effects as the landmark decision is likely to influence numerous other pending lawsuits against oil companies throughout Louisiana.
