World Fuel settles Lac-Megantic case for $110mn

OREANDA-NEWS. June 10, 2015. Shipper World Fuel Services will pay \\$110mn to a compensation fund as part of a settlement in the July 2013 disaster in which a crude train derailed and exploded, killing 47 people in Lac-Megantic, Quebec.

The deal was reached with the bankruptcy estate of the railroad carrying the crude, Montreal, Maine & Atlantic Railway (MMA).

The fund will be used to compensate parties who suffered losses.

World Fuel Services expects the full settlement amount to be covered by insurance. The company and its affiliates, as well as its former joint ventures, DPTS Marketing and Dakota Petroleum Transport Solutions, will receive global releases and injunctions barring claims against them in the bankruptcy plans of MMA.

The Province of Quebec and other key creditors in the bankruptcies have agreed to the settlement.