'Largest settlement in American history': BP settles US$18.7 billion claims over Deepwater Horizon spill
Eleven people died and millions of barrels of oil were spilled into the Gulf, decimating wildlife and devastating the ecology of a region dependent on the seafood and tourism industries.
British energy giant BP yesterday announced it had agreed to settle US federal and state claims worth up to US$18.7 billion over the 2010 Gulf of Mexico oil spill.
"With this agreement we provide a path to closure for BP and the Gulf," said BP chairman Carl-Henric Svanberg.
The agreement increases the pre-tax cost of the disaster to BP by an estimated US$10 billion to US$53.8 billion, the company said, adding that a final figure would be released in its second quarter results later this month.
"This is a realistic outcome which provides clarity and certainty for all parties," BP group chief executive Bob Dudley said. "For BP, this agreement will resolve the largest liabilities remaining from the tragic accident and enable BP to focus on safely delivering the energy the world needs."
The head of the US Justice Department, Attorney General Loretta Lynch, hailed what she said was a record deal.
"If approved by the court, this settlement would be the largest settlement with a single entity in American history," she said.