A crude oil spill at a commercial intersection in Sterling Heights has triggered a nationwide federal investigation into the safety of Energy Transfer’s pipeline network, after regulators found the leak occurred at a repair sleeve the company could not produce records for. The spill, which seeped into a storm sewer near Mound Road and 18 Mile Road, prompted the federal Pipeline and Hazardous Materials Safety Administration to order Energy Transfer to shut down a 16-mile segment of pipeline and begin a sweeping review of repairs across its entire hazardous liquids system.
Accounts of the spill’s size differ. According to Inside Climate News, the release totaled 600 gallons of crude oil, while C&G News reported a local estimate of around 100 gallons surfacing near the intersection. The pipeline involved is a 16-inch crude oil line running through the city, part of what Inside Climate News describes as a 59-year-old, 130-mile pipeline connecting Marysville, Michigan, to Toledo, Ohio, built in 1967. A member of the public spotted oil seeping into a storm drain and alerted the local fire department, which in turn notified Energy Transfer and the National Response Center.
City officials said at the time that the leak posed no danger to nearby residents and homes, and response crews worked to keep oil out of city and county storm drains, per the same account. The Michigan Department of Environment, Great Lakes, and Energy mobilized to the site and worked alongside the company and first responders on containment and cleanup. Crews later used a vactor truck to remove standing oil from the road and catch basins, and impacted soils were excavated and hauled to a landfill for disposal.
A Sleeve With No Paper Trail
PHMSA’s investigation traced the failure to a steel encasement sleeve welded onto the pipeline in 2010 to repair a defect, and the agency said the spill evaded Energy Transfer’s leak detection systems before a passerby noticed the oil. The federal order, signed by PHMSA official Paul Roberti on September 21, 2026, came three days after the spill was discovered and was issued without prior notice or a hearing opportunity because of the risk of serious harm, the report states. PHMSA directed Energy Transfer to shut down the 16-mile segment at the spill site; the line restarted the next day at reduced pressure…