AG Madigan settles with petcoke operator over pollution violations

Attorney General Lisa Madigan says a Chicago company that handles petroleum coke will pay a $35,000 fine to settle a lawsuit over alleged pollution violations.

Madigan's office says the court settlement with KCBX Terminals Co. was filed on Monday. She'd sued the company, claiming it didn't take adequate steps to stop petroleum coke, or "petcoke," from washing into the Calumet River.

Under the agreement, the company also has stopped operating one of two petcoke terminals on the city's Southeast Side.

The grainy black fuel is a byproduct of oil refining often used as industrial fuel.

Madigan says the company also will submit a plan to close a retention pond and take other cleanup measures at the site.

KCBX spokesman Jake Reint says the company is pleased to resolve the matter.