BP agrees deal with Weatherford over potential Deepwater Horizon claims
Oil giant BP (LON:BP, NYSE:BP) revealed today that it has agreed to a $75million settlement with Weatherford International in relation to last year's Deepwater Horizon spill.
The blowout at the Mocondo well in the Gulf of Mexico saw millions of barrels of oil seep into the ocean.
Today's settlement with Weatherford, which made the float collar used in the well, means that the two parties have agreed to mutual releases of potential claims against each other.
Weatherford will pay BP $75 million, which will now protect Weatherford against private claims related to the oil disaster in April last year, which killed 11 oil workers.
BP's indemnity does not include civil, criminal or administrative fines and penalties, claims for punitive damages, and certain other claims and the agreement is not an admission of liability by any party, added the oil major in today's statement.
The cash will immediately be added to the $20 billion trust BP established to meet individual, business and government claims, as well as the cost of the natural resource damages.
"BP is working to ensure that the other parties involved in the Macondo well - notably, Transocean, which owned and operated the Deepwater Horizon rig; Halliburton, which designed and pumped the unstable cement that the Presidential Commission found was a key cause of the accident; and Anadarko, which owned 25 percent of the project - contribute appropriately.
"From the outset, BP has committed to paying all legitimate claims and fulfilling its obligations to the Gulf communities under the Oil Pollution Act. To date, BP has paid more than $6 billion in claims," said the firm.
Related news
- London Mining remains on track to hit 2012 production target at Marampa
- Ceres Power Holdings reports significant improvements of its fuel cell products
- Oxford Catalysts Group shares advance as it announces first start-up of FT reactor
- Mariana Resources kicks off drilling programme at Las Calandrias gold-silver project
- Orogen Gold begins Phase 1 drilling programme at Deli Jovan
- Magnolia Petroleum on track to hit 100 wells target by end-2012
- Mwana Africa sells 15pct stake in Freda Rebecca gold mine for $405k - UPDATE
