Xavier Becerra

Huge Los Angeles gas leak leads to $120 million settlement

A Southern California utility reached a nearly $120 million settlement over a massive blowout at a natural gas storage field that became the nation's largest known release of climate-changing methane and forced thousands to flee their Los Angeles homes almost three years ago, officials announced Wednesday.

The settlement between Southern California Gas Co. and state and local governments aims to mitigate the greenhouse gases that spewed uncontrollably for nearly four months. The October 2015 blowout at an Aliso Canyon well sickened residents of the San Fernando Valley and led to evacuations of 8,000 homes.

Under the settlement, the utility agreed to pay up to $25 million for...