Rose City Resources tied to un-permitted disposal after drilling fluids reach East Texas reservoir
Posted/updated on: March 19, 2026 at 8:58 amLONE STAR, Texas (KETK) — An investigation by the Texas Railroad Commission found that drilling fluids containing oil from a reserve pit at a Rose City Resources well site on U.S. Steel property leaked into a damaged pipe and flowed into a nearby low?lying area.
From there, the fluids migrated through underlying rock formations and ultimately entered the Ellison Creek Reservoir.
The Railroad Commission concluded that Rose City Resources is responsible for the unpermitted disposal and will be required to handle the cleanup, with the Commission providing oversight.
To date, cleanup efforts have primarily targeted the origin point and the lake’s east side, but Tuesday’s observations emphasize the need for more comprehensive action. Inspection findings indicate that areas on the western shoreline require more attention, aligning with suggestions from local officials.
The public is encouraged to report any additional affected areas to the Morris County Sheriff’s non-emergency number at 903-645-2232.
Residents who notice affected shorelines or have information about the spill are asked to contact the Morris County Sheriff’s Office at 903-645-2232.





