The Oregon-based Oil Re-Refining Co. was fined $16,000 by the state's Department of Environmental Quality for violating used-oil regulations at its Klamath Falls, Ore., processing facility.
The company failed to adequately maintain secondary containment systems around its product storage areas, the DEQ said. State and federal laws require used oil processing facilities to install and maintain containment measures to prevent oil from being released into the environment.
The DEQ found cracks in both the floor and the walls of the concrete pad around the company's storage tanks, which had been designed to prevent oil leaks.
The company has appealed the penalty, the DEQ said.