A U.S. jury has ordered energy giant Chevron to pay $744 million in damages for environmental harm caused to Louisiana wetlands. The ruling, delivered Friday in Pointe à la Hache, Plaquemines Parish, found the company responsible for long-term pollution and failing to restore marshlands near New Orleans.
The jury determined that Chevron, through its predecessor Texaco, failed to clean up oil exploration and drilling sites in the marshy area southeast of the city. These actions were found to violate a 1978 Louisiana environmental protection law.
What Led to the Massive Verdict?
The lawsuit was initiated by local officials in Plaquemines Parish after Chevron acquired Texaco in 2001. Parish leaders claimed that Texaco neglected its duty to restore land damaged by drilling operations. Under the 1978 law, oil companies must clear, detoxify, and restore work sites once operations end.
The law requires that “exploration and production sites shall be cleared, revegetated, detoxified, and otherwise restored as near as practicable to their original condition.”
However, the jury agreed with the parish that Chevron failed to uphold these responsibilities. The verdict includes:
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$575 million for land loss, now permanently submerged.
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$161 million for environmental pollution.
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$9 million related to abandoned oilfield equipment.
Chevron Responds: Plans to Appeal
Chevron’s lead trial attorney, Mike Phillips, issued a statement saying the company plans to challenge the decision.
“Chevron will appeal this verdict to address the numerous legal errors that led to this unjust result,” said Phillips in a response to Agence France-Presse (AFP).
The company argues the trial involved procedural issues and intends to fight the ruling in higher courts.
Environmental Damage Dates Back Decades
The environmental damage spans several decades, with much of it originating before Chevron acquired Texaco. Despite this, Chevron was held accountable for the previous company’s actions, due to the terms of the acquisition.
Local officials claim that oil operations over time weakened the marshes, reducing their natural ability to protect against rising sea levels and storm surges. The destruction of these wetlands not only threatens ecosystems but also heightens flood risks for nearby communities.
Why the Wetlands Matter
Louisiana’s coastal wetlands are essential natural buffers. They protect inland areas from hurricanes, reduce flood damage, and support wildlife habitats. Experts say that ongoing industrial damage has contributed to coastal erosion, making the region more vulnerable to disasters.
According to the U.S. Geological Survey, Louisiana has lost more than 2,000 square miles of coastal land since the 1930s, partly due to oil and gas activities.
A Growing Trend of Environmental Accountability
The Chevron case is the latest in a series of legal battles targeting energy companies over environmental practices. Across the U.S., local governments are increasingly filing lawsuits to hold corporations accountable for pollution and land degradation.
Legal experts note that such high-value rulings may influence future corporate conduct.
“This verdict sends a strong message: companies must follow through on their environmental obligations,” said Linda Weaver, an environmental law professor at Tulane University.
What Happens Next?
With Chevron preparing an appeal, the legal battle is far from over. The company may seek to reduce the payout or dismiss the case entirely in appellate courts.
In the meantime, Plaquemines Parish leaders say they will continue pushing for environmental restoration in affected areas. They believe the damages awarded will help fund land recovery efforts and improve coastal resilience.