Oklahoma Earthquake Victims to Receive $2.6M
A class action settlement will pay $2.6 million to residents of Oklahoma who suffered property damage from earthquakes between 2019 and now. The lawsuit alleged that certain energy companies operated wastewater disposal wells that contributed to causing seismic activity, including a 5.1 magnitude quake. The settlement provides a path for payment to eligible property owners.
The recent settlement is one of several class-action lawsuits brought against energy companies in Oklahoma over the past decade, with residents alleging that the underground injection of wastewater from oil and gas operations has triggered a dramatic increase in earthquakes. Scientific studies have supported this link, indicating that the disposal of "produced water"—a salty brine byproduct of oil and gas extraction—into deep formations like the Arbuckle can increase pressure on existing faults, making them more likely to slip and cause seismic events. The 5.1 magnitude earthquake on February 2, 2024, near Prague, Oklahoma, is a key event in this latest lawsuit. This temblor was felt across the state and even in neighboring states, causing damage to homes, including shattered brick exteriors and cracked foundations. The shallow depth of the earthquake, just 1.8 miles below the surface, likely intensified the shaking. The energy companies named in this settlement are Freedom Energy, Montclair, New Dominion, and H&P. While they have not admitted to any wrongdoing, they agreed to the $2.6 million settlement to resolve the claims against them. This follows a pattern of previous settlements with other energy companies over earthquake-related damages in the state. In response to the spike in seismic activity, the Oklahoma Corporation Commission (OCC), which regulates the state's oil and gas industry, has taken steps to mitigate the risk. These actions have included directing the shutdown or reduction of wastewater injection volumes in numerous disposal wells, particularly those injecting into the Arbuckle formation in seismically active areas. The law firm Poynter Law Group, which has been involved in previous earthquake-related litigation in Oklahoma, is representing the class of residents in this settlement. Eligible property owners who suffered damage from earthquakes between January 29, 2019, and the settlement's effective date must file a claim by July 28, 2026, to be considered for a payment. The issue of induced seismicity has also led to legislative action in Oklahoma. Proposed bills have sought to increase regulations on wastewater injection, including requiring companies to assess the pressure at which they inject fluids and creating a fund for groundwater testing and land restoration financed by a fee on produced wastewater.
