A proposed legal settlement with the U.S. government would require the Keystone Pipeline system’s operator to pay a civil penalty of nearly $27 million over a major oil spill in Kansas in December 2022. Canada-based South Bow also would spend about $40 million to prevent future accidents under terms of the agreement filed Friday in U.S. District Court in Kansas. The agreement would resolve allegations that South Bow violated U.S. and Kansas clean water laws in operating the pipeline. The 2002 rupture dumped nearly 13,000 barrels of heavy crude oil into a creek in Washington County, about 150 miles northwest of Kansas City. The company disputes the allegations.