Skip to main content

BP oil blowout in Gulf of Mexico
Two and a half years after millions of gallons of crude oil spilled into the Gulf of Mexico from one of BP's deepwater undersea wells, the company has pleaded guilty to 11 felonies and been assessed $4.5 billion in fines. In addition, two company employees will be charged with manslaughter in the deaths of 11 employees who were working on the Deepwater Horizon drilling platform at the time of the gigantic blowout that polluted the gulf's waters and caused massive economic and environmental wreckage.
“Today’s agreement is consistent with BP’s position in the ongoing civil litigation that this was an accident resulting from multiple causes, involving multiple parties, as found by other official investigations,” the company said in a news release.[...]

Even with a settlement on the criminal claims, BP would still be subject to other claims, including federal civil claims and claims for damages to natural resources.

In particular, this settlement does not include what is potentially the largest penalty: fines under the Clean Water Act. The potential fine for the spill under the Clean Water Act is $1,100 to $4,300 per barrel spilled. That means the fine could be as much as $21 billion, according to Peter Hutton of RBC Capital Markets in London.

In 2011, BP made $16 billion in profits. The first nine months of 2012, it made $9.7 billion.

Lorinda Pike, one of the members of the Daily Kos Gulf Watchers Group that has followed the unfolding story of the explosion of the Deepwater Horizon rig and consequent blowout through hundreds of diaries, noted in her post Wednesday night that:

[...] there had been speculation earlier this year that the delays and perception of 'silence' in regard to settlement issues were indications that any criminal aspects had to be determined first, and a criminal action against BP could substantially affect the civil parts of the case, including any disbursements to the plaintiffs involved.
Transocean, the owner and operator of the rig, also faces criminal and civil liability.


HoundDog has a post on the subject here.

Originally posted to Meteor Blades on Thu Nov 15, 2012 at 10:08 AM PST.

Also republished by Daily Kos.

Your Email has been sent.
You must add at least one tag to this diary before publishing it.

Add keywords that describe this diary. Separate multiple keywords with commas.
Tagging tips - Search For Tags - Browse For Tags


More Tagging tips:

A tag is a way to search for this diary. If someone is searching for "Barack Obama," is this a diary they'd be trying to find?

Use a person's full name, without any title. Senator Obama may become President Obama, and Michelle Obama might run for office.

If your diary covers an election or elected official, use election tags, which are generally the state abbreviation followed by the office. CA-01 is the first district House seat. CA-Sen covers both senate races. NY-GOV covers the New York governor's race.

Tags do not compound: that is, "education reform" is a completely different tag from "education". A tag like "reform" alone is probably not meaningful.

Consider if one or more of these tags fits your diary: Civil Rights, Community, Congress, Culture, Economy, Education, Elections, Energy, Environment, Health Care, International, Labor, Law, Media, Meta, National Security, Science, Transportation, or White House. If your diary is specific to a state, consider adding the state (California, Texas, etc). Keep in mind, though, that there are many wonderful and important diaries that don't fit in any of these tags. Don't worry if yours doesn't.

You can add a private note to this diary when hotlisting it:
Are you sure you want to remove this diary from your hotlist?
Are you sure you want to remove your recommendation? You can only recommend a diary once, so you will not be able to re-recommend it afterwards.
Rescue this diary, and add a note:
Are you sure you want to remove this diary from Rescue?
Choose where to republish this diary. The diary will be added to the queue for that group. Publish it from the queue to make it appear.

You must be a member of a group to use this feature.

Add a quick update to your diary without changing the diary itself:
Are you sure you want to remove this diary?
(The diary will be removed from the site and returned to your drafts for further editing.)
(The diary will be removed.)
Are you sure you want to save these changes to the published diary?

Comment Preferences

Subscribe or Donate to support Daily Kos.

Click here for the mobile view of the site