Exxon Valdez

The most expensive oil spill in History

Presented by:
DEBASHISH CHAKRABARTY(211)
JYOTI BHUSHAN(216)
LAWI ANUPAM(221)

GITAM INSTITUTE OF INTERNATIONAL BUSINESS

VISAKHAPATNAM
THE INCIDENT
 World's largest oil spills

 Occurred on - 24 March 1989

 In Prince William Sound, Alaska

 Habitat for salmon, sea otters, seals and seabirds

 Exxon Valdez an oil tanker owned by the former Exxon Corporation

 Carrying 54.1 million U.S. gallons (about 200 million litres) of oil

 Spilled an estimated 11 million gallons of crude oil

 Covered 1,300 square miles (3,400 km2) of ocean.

 Largest spills in U.S. history and one of the largest ecological disasters

 Heavy sheens of oil

How did it happen?

 Icebergs in the planned route.

 Decided to go in another direction.

 The oil tanker hit shallow land.

 Which was called Bligh Reef.

 IMPACT OF SPILL
MARINE ANIMALS
 3,500 to 5,500 Sea otters died
 Continued exposure to hydrocarbons in 1998
 300 Harbor seals died
 From 1989 to 1997, population of seal declined by 35%
 Up to 22 killer whales died
 Unprecedented mortality of females with calves

FISH
 Egg and larval mortality and physical deformities of Pacific herring
 Lower adult survival and juvenile growth rates and gross abnormalities in
young fish in oiled streams of pink salmon and Dolly varden
 Hydrocarbons were found in halibut; pollack; rock, yellowfin, Dover, and
flathead sole; Pacific cod; and sablefish
 BIRDS
 300,000 chicks lost, complete breeding failures

 Declines of 16 species of seabirds

 175,000-300,000 Common murres killed

 395 carcasses, 4 loon species – small, slow reproducing

 12,800 to 14,800 Marbled murrelets died.

 Population declined to 67%

 400-1,000 Harlequin ducks died

 200-300 bald eagles perished

 Decreased molting populations and evidence of exposure to hydrocarbons

in tissues

 Severe impacts up the food chain

Not Recovering Animals Recovered Animals Recovering Animals Recovering is unknown

Common Loon Bald eagle Black oystercatcher Cutthroat trout

Cormorant River otter Common murre Dolly Varden

Harbor Seal Marbled murrelett Kittlitz murrelet

Harlequin Duck Mussel Rockfish

Killer Whale Pacific Herring

Pigeon Quillemont Pink Salmon

Sea otter

Sockeye Salmon
HUMAN HEALTH

 Depression and Post-Traumatic Stress Disorder

 Cleanup workers faced average oil mist exposure 12 times

in excess of the regulatory limits

 Respiratory system damage

 Became ill from breathing the petroleum vapors

ECONOMIC IMPACTS
 Recreational Sport Fishing Losses
 In 1989 the loss was estimated to be between $0 and $580 million
dollars
 For 1990 the range was $3.6 million $50.5 million dollars.
 Tourism Losses
 Replacement costs of birds and mammals

Oil from the Exxon Valdez spill persists just beneath

the surface of Prince William Sound beaches after its
20 years
CRIMINAL SETTLEMENT
 Litigation was filed on behalf of 38,000 litigants

 Fined $150 million

 Forgave $125 million of that fine for Exxon's cooperation in cleaning

up the spill and paying certain private claims

 $12 million went to the North American Wetlands Conservation Fund

 $13 million went to the national Victims of Crime Fund

 Exxon paid $100 million

CIVIL SETTLEMENT

 Exxon agreed to pay $900 million in ten annual

installments

 “Reopener window” between Sept. 1, 2002 and Sept. 1,

2006 which claim for up to an additional $100 million

 Funds must be used to restore resources that suffered a

substantial loss or decline as a result of the oil spill
 RESPONSE OF EXXON
 Cleaned the spill

 Voluntarily compensated those who claimed direct damages

 ExxonMobil paid $300 million immediately and voluntarily to more than

11,000 Alaskans and businesses affected by the Valdez spill

 Paid $2.2 billion on the cleanup of Prince William Sound, staying with
the cleanup from 1989 to 1992

 Paid $1 billion in settlements with the state and federal governments

 ExxonMobil hired its own scientists to study the impacts of the spill

 Exxon Still Owes $92M after 20 years of spill

Impact on Government policies

 US Congress passed OPA (Ocean Pollution Act) 90

 Emergency Response Plans

 Double Hulls- by 2015.

 Liability- pay $1,200 for every ton they spill.

 Spill Fund

 Navigation- Coast Guard must know where the oil tankers can drive without
an oil spill occurring.
Recommendations
 Double-hulled ship for oil transfer
 Placing a boom around the tanker that is spilling
oil
 Use of skimmers
 Usage of high or low pressure hoses to spray the
oil
 Take the politics (corporations) out of science in
order for science to best serve society.
 Using less electricity and gasoline, which are both
made with oil
Lessons learned from the spill

 Clean-up attempts can be more damaging than the

oil itself
 Rocky rubble shores should be of high priority for
protection and cleanup
 Oil effects to sea birds and mammals also are
substantial over the long-term
 Oil that penetrates deeply into beaches can remain
relatively fresh for years and can later come back
to the surface and affect nearby animals
THANK YOU