Seward Coal Case Settled
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Press Release: Seward Coal Case Settled


December 8. 2015

Ricky Junquera,, 617-599-7048
Pamela Miller,, 907-222-7714
Russ Maddox,, 907-224-7607

Operators of Seward Coal Terminal Agree to Follow the Law, Will Secure Permit and Improve Facility

Cleanup move comes after decades of spilling coal into Resurrection Bay

SEWARD, Alaska– Aurora Energy Services, LLC (Aurora) and the Alaska Railroad Corporation reached a settlement agreement today with Alaska Community Action on Toxics and the Alaska Chapter of the Sierra Club. The agreement resolves a nearly six-year-old lawsuit brought under the Clean Water Act to address coal spilled from the facility into Resurrection Bay, the gateway to Kenai Fjords National Park.

In September 2014, the Ninth Circuit Court of Appeals unanimously ruled that coal spilled from the facility was not authorized under the companies’ only Clean Water Act permit, a general stormwater permit. Aurora and the Alaska Railroad petitioned the U.S. Supreme Court to hear an appeal of the Ninth Circuit decision. In June 2015, the Supreme Court declined to hear the appeal, leading to today’s announcement.

After the lawsuit was filed in December 2009, the facility took some initial steps to address its discharges, including installing a drip pan beneath a portion of the conveyor where coal would otherwise spill into the Bay. In response to the lawsuit, Aurora also applied to Alaska regulators in January 2015 for a permit regulating the coal spilled from the facility.

In addition to committing the companies to make facility improvements, the settlement requires the companies to fund conservation projects in the Resurrection Bay watershed carried out by the Kachemak Heritage Land Trust.

Russ Maddox, longtime Seward resident and Sierra Club volunteer, released the following statement:

“This outcome has been so long in the making; we filed the original suit in 2009. As recently as December 2014, the companies’ own dive report found a layer of coal on the seafloor beneath the conveyor so deep that their core sample couldn’t reach the bottom. First the companies denied there was a problem, then they wasted millions of dollars fighting a losing court battle, now finally they’re beginning to take responsibility for their actions. More work needs to be done to fully address the problem, but at least the companies are beginning to be held accountable.”

Pamela Miller, executive director of Alaska Community Action on Toxics, said:

“This is a big win for the people of the Seward community! However, our work is not done. The permitting process for the facility is still ongoing, and we are committed to working with state and federal regulators to make sure the final permit includes meaningful protections for Resurrection Bay and the Seward community.”

Alaska Community Action on Toxics and the Alaska Chapter of the Sierra Club are represented in this matter by attorneys with Trustees for Alaska and with the Sierra Club Environmental Law Program.