NL Industries Resolves Raritan Bay Superfund Site Dispute with $56.1 Million Settlement

In a recent development, NL Industries, Inc. announced that it has entered into a consent decree regarding the Raritan Bay Slag Superfund Site in Middlesex County, New Jersey. The United States District Court for the District of New Jersey approved the order on February 10, 2025, requiring a consortium, including the United States Army Corps of Engineers, the State of New Jersey, the Township of Old Bridge, NL Industries, and twenty-two other private companies, to collectively pay $151.1 million, plus interest, to settle all federal and state law claims related to the site.

This global settlement encompasses various claims under CERCLA and the NJ Spill Act, covering past and future response costs, natural resource damages, contribution, and indemnification associated with the Raritan Bay Slag Superfund Site. The consent decree resolves a lawsuit initiated by the United States of America and other parties against NL Industries, Inc., along with claims brought forth by NL and other settling parties in a related lawsuit.

Under the terms of the consent decree, NL Industries will contribute $56.1 million, plus interest, towards the settlement. The agreement stipulates a structured payment plan whereby NL will make an initial payment of $35 million, along with $.5 million in stipulated interest, within 7 business days of the settlement’s approval. Subsequently, two additional payments of $10.55 million each, plus interest, are scheduled for 6 months and 12 months following the initial payment, with provisions for early repayment without penalties.

As part of the settlement, NL Industries is set to receive approximately $9.6 million from the other private companies involved, funds that are currently in escrow for NL’s benefit. The company has opted to pay the full settlement amount upfront, including interest, upon the initial payment date. Consequently, NL anticipates recognizing aggregate income of about $31.4 million in the first quarter of 2025, linked to the resolution of its environmental accrual and the receipt of funds from the other participating private companies.

Notable parties involved in the consent decree include the United States of America, the New Jersey Department of Environmental Protection, Old Bridge Township, and a roster of private companies highlighted in the agreement. NL Industries, alongside other defendants, has cooperated in reaching this comprehensive settlement aimed at resolving all pertinent claims associated with the Raritan Bay Slag Superfund Site.

For those interested, the complete copy of the consent decree is accessible at the Justice Department’s official website.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read NL Industries’s 8K filing here.

About NL Industries

NL Industries, Inc, through its subsidiary, CompX International Inc, operates in the component products industry in Europe, North America, the Asia Pacific, and internationally. The company manufactures and sells mechanical and electronic cabinet locks and other locking mechanisms, including disc tumbler locks; pin tumbler locking mechanisms under KeSet, System 64, TuBar, and Turbine brands; and electronic locks under CompX eLock and StealthLock brands for use in various applications, such as mailboxes, ignition systems, file cabinets, desk drawers, tool storage cabinets, high security medical cabinetry, integrated inventory and access control secured narcotics boxes, electronic circuit panels, storage compartments, gas station security, vending and cash containment machines.