Black Friday is Now! Don’t miss out on up to 60% OFF InvestingProCLAIM SALE

Payout from BP oil spill settlement tops $5 billion

Published 16/04/2015, 03:04
© Reuters. The price for regular unleaded gasoline is advertised at a BP station in Troy, Missouri
BP
-

By Jonathan Stempel

(Reuters) - The administrator overseeing a BP Plc (L:BP) fund to compensate people and businesses claiming they were harmed by the 2010 Gulf of Mexico oil spill said on Wednesday more than $5 billion has been paid out.

A total of $5.037 billion (3.63 billion pounds) has been paid to 62,162 claimants, the administrator, Patrick Juneau, said in a statement on his website for spill claims.

The money is being paid under a 2012 settlement tied to the explosion of the Deepwater Horizon drilling rig, which killed 11 workers and caused the largest U.S. offshore oil spill. The fifth anniversary of the disaster will be April 20.

BP originally said it expected to pay $7.8 billion to resolve claims under the settlement but by February of this year had boosted its estimate to $9.9 billion.

© Reuters. The price for regular unleaded gasoline is advertised at a BP station in Troy, Missouri

The London-based oil company had long complained that Juneau was paying out too much, including to claimants who suffered no harm.

But last month, BP ended a bid to oust Juneau, citing steps he had taken to reduce fraud.

According to Juneau, more than half of the payouts so far have compensated businesses that suffered economic losses, with a significant percentage also going to the seafood industry.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.