Data provided by iNet BFA
Loading...
See More

Gulf oil spill: BP to pay $4.5bn in fines

Nov 15 2012 18:25
BP gulf oil spill

(Picture: AP)

Related Articles

2 years after BP spill, disaster not over

BP spill deal drops public and Gulf

BP: US hiding evidence on size of spill

BP to pay record fine for spill - source

BP sues Halliburton over 2010 oil spill

BP recovers $4bn in oil spill costs

 
Washington - BP will pay a $4bn penalty and plead guilty to felony misconduct in the Deepwater Horizon disaster that caused the worst offshore oil spill in the country's history, the company said on Thursday.

The company will also pay $525m to settle securities claims with US regulators.

In aggregate BP said it will pay $4.5bn over six years for the various resolutions.

BP's penalties for the April, 2010, explosion on the Deepwater Horizon rig in the Gulf of Mexico in which 11 workers died, and subsequent leak from the Macondo oil well, will far exceed the previous record for largest criminal penalty in US history.

That record was held by pharmaceutical company Pfizer, which paid a $1.3bn fine in 2009 for marketing fraud.

BP, which replaced its chief executive after the spill as its market value plummeted, still faces economic and environmental damage claims sought by four Gulf Coast states and other private plaintiffs.

The mile-deep Macondo well spewed 4.9 million barrels of oil into the Gulf over 87 days, fouling shorelines from Texas to Florida and eclipsing in severity the 1989 Exxon Valdez spill in Alaska.

BP has been negotiating for months with the US government and Gulf Coast states to settle billions of dollars of potential civil and criminal liability claims.

A deal could resolve a significant share of the liability the oil company faces, but is not the "global" deal to resolve all outstanding civil and criminal liability with the US government and Gulf Coast states.
bp  |  us  |  uk  |  environment  |  us oil slick  |  pollution
NEXT ON FIN24X

 
 
 

Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
6 comments
Add your comment
Comment 0 characters remaining
 

Company Snapshot

We're talking about:

Small Business

Expanding your business requires capital and banks have stringent lending criteria in place.
 

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...
Loading...