US plans $19.8b Gulf spill settlement with BP: report
Published on Feb 24, 2013 10:46 AM
WASHINGTON (AFP) - US authorities plan to propose a US$16 billion (S$19.8 billion) settlement to British energy giant BP for civil claims related to the disastrous 2010 oil spill in the Gulf of Mexico, The Wall Street Journal reported.
Citing people familiar with the discussions, the newspaper said on Friday that the settlement would cover fines that BP owes under the Clean Water Act, a federal water pollution law, as well as payments under the Natural Resources Damage Assessment, an environmental evaluation.
But the Journal noted that it remained unclear whether the government had formally proposed the offer to BP.
The April 20, 2010 explosion on the Deepwater Horizon oil rig, operated by BP off New Orleans, killed 11 people and spilled hundreds of millions of gallons of crude oil into the Gulf of Mexico in the four months it took to cap the well.
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