By Chris Wack
Amplify Energy Corp. shares were up 16% at $9.70 Wednesday after the Houston-based oil and natural gas company said it has reached a settlement on its claims against the M/V Danit and M/V Beijing containerships, COSCO marine entities and the Marine Exchange.
The M/V Danit, the M/V Beijing and their affiliated corporate entities have agreed to pay Amplify $96.5 million in connection with the containerships' anchor strikes that damaged an Amplify pipeline and led to an oil spill in southern California in 2021.
Amplify said the settlement resolves its affirmative claims related to the 2021 pipeline incident as well as its property damage and loss of production insurers' subrogation claims.
Amplify said it will ultimately receive a net settlement of $85 million and dismiss all of its legal claims against the parties after payment is made.
The Marine Exchange has also agreed to non-monetary terms as part of the settlement and is working with Amplify to finalize an agreement documentation.
Amplify's share prices have doubled over the past 12 months.
Write to Chris Wack at chris.wack@wsj.com
(END) Dow Jones Newswires
March 01, 2023 10:50 ET (15:50 GMT)
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