Litigation over increased natural gas prices during 2021’s Winter Storm Uri is ongoing, advanced by a third lawsuit, filed by Drummond in Osage County this month. First reported by The Oklahoman, the document details the attorney general’s reasoning behind the suit, including “unlawful” actions by the companies.
Entities including BP, Chevron, Symmetry Energy Solutions, Constellation and more were among the listed companies.
Drummond’s document states the companies, which sell natural gas on a trading platform, are required to watch for incoming weather and adjust prices accordingly. In 2021, the entities knew of the winter storm’s potential more than a month before it arrived, states the lawsuit.
“Defendants knew that it would bring sustained below-freezing temperatures, and that it would increase demand for natural gas,” the document reads.
According to the filing, the average price of natural gas sold on February 11th, 2021 was just under $9. It states the next day, Oklahoma declared a state of emergency and those prices shot up to about $76, peaking on the 18th at around $1,230.
Drummond writes the companies used their market power to drive up prices.
StateImpact attempted to reach the listed companies, though many were unavailable at the time of publishing. In a statement, Symmetry Energy Solutions wrote it is reviewing the lawsuit but denies the allegations. Chevron declined to comment.
Drummond’s office also declined to comment.
The filing states Oklahoma suffered the most cost increase because its legal framework for trading is less stringent than neighboring states.
“While defendants achieved record profits, Oklahomans suffered losses and damage that continue today and in the future,” the lawsuit states.
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