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2023 March 2   19:00

Amplify Energy reaches $96.5 mln settlement with the shipping companies related to the containerships’ anchor strikes of Amplify’s pipeline

Amplify Energy Corp. has reached a settlement of its claims against the M/V Danit (in rem) and its affiliated corporate entities; the M/V Beijing and its affiliated corporate entities, as well as the COSCO marine entities and the Marine Exchange, according to the company's release. The M/V Danit and its affiliated corporate entities and the M/V Beijing and its affiliated corporate entities have agreed to pay Amplify $96.5 million in connection with the anchor strikes by the containerships that damaged the pipeline, interrupted Amplify’s business and led to the 2021 Southern California Pipeline Incident. The overall resolution includes subrogation claims by Amplify’s property damage and loss of production insurers, with Amplify ultimately receiving a net payment of approximately $85 million.

The Marine Exchange has agreed to non-monetary terms in this settlement as well. The parties are working to finalize the settlement agreement documentation. The settlement resolves Amplify’s affirmative claims related to the 2021 Southern California Pipeline Incident. As part of the settlement, after payment is made, Amplify will dismiss all of its legal claims against those parties.

Amplify Energy Corp. is an independent oil and natural gas company engaged in the acquisition, development, exploitation and production of oil and natural gas properties. Amplify’s operations are focused in Oklahoma, the Rockies, federal waters offshore Southern California, East Texas / North Louisiana, and the Eagle Ford.

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