U.S. Proposes $3.5 Million In Fines Against 3 Companies After 1 Million-Gallon Sulfuric Acid Spill In Channelview

The U.S. Department of Labor has proposed more than $3.5 million in penalties against three companies after federal investigators found multiple worker safety violations linked to a sulfuric acid spill that injured workers and released about 1 million gallons of the chemical at an industrial facility near the Houston Ship Channel.

The proposed penalties follow investigations by the Occupational Safety and Health Administration (OSHA) into the Dec. 27, 2025 incident at the BWC Terminals facility in Channelview, Texas.

OSHA said the spill happened after fresh and spent sulfuric acid were mixed despite safety warnings, causing pressure to build inside a storage tank before a supply line ruptured.

The spill injured multiple workers. Harris County officials had previously said two people were taken to hospital and another 44 were treated at the scene. Some of the sulfuric acid also entered the Houston Ship Channel.

After the incident, BWC Terminals hired Coastal Environmental Solutions Inc. to manage the hazardous waste cleanup. Coastal Environmental Solutions then hired One Way Environmental Services LLC to provide workers for the cleanup operation.

Following three inspections, OSHA alleged that all three companies failed to properly protect workers during the cleanup.

“Despite having full knowledge of the severe hazards involved in the spill and cleanup response, these three employers chose to bypass OSHA requirements and put their workers at serious risk,” Assistant Secretary for Occupational Safety and Health David Keeling said in a statement.

“Their joint failure to protect workers was not an oversight, it was a choice that resulted in preventable employee injuries and environmental impacts. We will not hesitate to hold employers accountable when they ignore federal laws that are in place to protect workers’ safety and health,” he added.

OSHA proposed the largest penalty against One Way Environmental Services LLC, citing the subcontractor for 18 willful egregious violations and five serious violations.

The agency alleged the company sent workers to clean up the spill without proper training, respirator fit testing or other required safety measures. It proposed penalties of $3,045,452.

Coastal Environmental Solutions Inc. faces $392,501 in proposed penalties for two willful and five serious violations.

OSHA alleged the company failed to provide proper worker training, establish a safety and health program, prepare an emergency response plan for hazardous waste operations and ensure workers used respirators correctly.

BWC Terminals received six serious citations. OSHA alleged the company exposed workers to chemical burns, failed to provide hazardous materials training and had shortcomings related to respirator use. The agency proposed $82,750 in penalties.

In total, OSHA is seeking $3,520,703 in proposed penalties against the three companies.

BWC Terminals said it disagrees with several of OSHA’s findings and plans to appeal the citations.

The company said it does not agree that it bypassed OSHA requirements or put workers at risk and believes the evidence will support its position.

It added that the safety of its employees, the surrounding community and the environment remains its highest priority, and that it is committed to maintaining safe and environmentally responsible operations.

Coastal Environmental Solutions Inc. and One Way Environmental Services LLC did not immediately respond to requests for comment, according to local media reports.

Harris County Judge Lina Hidalgo welcomed the proposed penalties, saying they send an important message about worker safety in one of the county’s key industries.

“This decision represents an important statement about the importance of worker safety, particularly in our county’s most important industry,” Hidalgo said. “All companies must be held to the same standards and I believe it is only fair to demand accountability when a company doesn’t meet them.”

The three companies have 15 business days from receiving the citations to comply with OSHA’s findings, request an informal conference with the agency’s area director, or contest the citations before the independent Occupational Safety and Health Review Commission.

Reference: US Department of Labor