Arkema S.A. will pay $1.1 million to Harris County, Texas, in a settlement connected to explosions and fires at the firm's plant in Crosby, Texas, in 2017.
The fire took place after Hurricane Harvey hit the region in August and trailers storing chemicals caught fire and exploded, leading to the evacuation from a 1.5-mile radius around the plant.
Harris County had filed a lawsuit against Arkema in November 2017, alleging that. The lawsuit alleged that the fires at the Arkema plant "caused adverse health effects and required nearby residents to be evacuated from their homes."
The settlement includes civil penalties under the Texas Water Code and Harris County floodplain regulations, according to an Aug. 27 report in the Houston Business Journal.
As part of the settlement, Arkema has agreed to new safety measures to prevent similar incidents in the future and to ensure quick communication with the community and government if something goes wrong, Harris County Attorney Christian Menefee said.
In a statement to Plastics News, a Rubber News sister publication, Arkema officials said that the storm "overwhelmed virtually every organization across Harris County," and that they "are pleased to put this action behind us."
Arkema also needs to obtain fire safety and flood management permits from the county before it can resume chemical processing or manufacturing at the plant, according to the report. Money from the settlement will go into Harris County's general fund.
In late 2020, three Arkema executives were cleared of criminal charges over the incident. Company officials said at the time that the incident "was a natural disaster, not a crime."
The explosions occurred after flooding cut power used to cool storage of some organic peroxides stored at the site, which ignited due to high temperatures. The plant made liquid organic peroxides used in the production of polystyrene, polyethylene, polypropylene, PVC and acrylic resins, as well as polyester-reinforced fiberglass.
Arkema is a major supplier of acrylic resins, sheet and related products. The firm is based in Colombes, France, and employs more than 20,000 globally. In 2023, Arkema posted sales of $10.3 billion.