AGL Resources Jefferson Island Hub and Storage facility at Lake Peigneur remains mired in legal controversy following a recent inspection.

At issue are the results of a March 18 inspection of the facility by state and federal inspectors, which was in response to a Jan. 29 release of natural gas during a power outage that alarmed several nearby residents.

Nara Crowley, vice-president of Save Lake Peigneur, an organization working to prevent the expansion of the Jefferson Island facility, said the investigation was very biased in favor of AGL.

Advertisement

“Everyone is just completely disregarding us,” Crowley said. “The investigation did not include questioning the residents.”

Crowley takes issue with the three-minute timeframe for the Jan. 29 incident presented by AGL Resources, citing phone records from area residents to police during the incident that indicate the incident lasted longer.

Crowley said her organization wants an investigation from an impartial agency, such as the U.S. Government Accountability Office.

“The simulated investigation of the AGL/JIHS blowout is an insult to the citizens of Louisiana who were completely disregarded,” Crowley said. “The only missing item in the document was AGL letterhead. We find this report completely unacceptable. Who in the state or federal government is willing to step up and protect us, the citizens of Louisiana?”

AGL Resources also is petitioning the state of Louisiana to keep its brining lease, or lease to mine salt, at the Jefferson Island facility in full force and effect. It has amended its petition in the 19th Judicial District Court to make a discovery request of the state and is requesting a hearing to set a trial date.

“We expect that trial date for later this year,” said Keith Poston, managing director of corporate communications for AGL.

AGL’s expansion of its Jefferson Island facility has been on hold since August 2006. The state asserted AGL has not made timely payments on its brining lease and that the lease should be terminated.

“We’ve had discussions with the state for over a year now,” Poston said. “We feel we have a strong case and we are open to a settlement.”

The residents’ group, however, is still fighting the facility, at least to hold off any expansion there. Crowley said the group supports a bill presently being reviewed by the Louisiana Legislature which, if passed, will “protect the groundwater of Lake Peigneur by prohibiting the development, expansion, or conversion of certain storage caverns in the Jefferson Island salt dome.”

The bill is authored by state Sen. Troy Hebert, D-Jeanerette. it has been assigned to the Senate Natural Resources Committee. A hearing has not yet been set for the bill.