Gulf of Mexico commitment
bp is committed to the Gulf of Mexico
Following the Deepwater Horizon accident on April 20, 2010, bp committed to help restore the Gulf region’s environment and economy and to keep the public informed about our progress. In the years following the accident, we worked with the people of the Gulf to minimize the effects of the spill and deliver on these commitments.
On April 4, 2016, a federal court in New Orleans approved the historic $18.7 billion settlement resolving all litigation with the federal government and the five Gulf states over their economic and environmental claims related to the Deepwater Horizon spill. bp provisioned more than $69 billion relating to the spill, including response, cleanup, economic claims, government payments, settlements and restoration.
Following the Deepwater Horizon accident, bp worked with the people of the Gulf to minimize the effects of the spill and deliver on its commitments to help restore the Gulf’s environment. bp spent $14 billion on response and cleanup activities, voluntarily committed $1 billion for early restoration of natural resources and spent $1.3 billion on the Natural Resource Damage Assessment (NRDA) process. Immediately after the accident, bp also committed $500 million over 10 years to support independent research through the Gulf of Mexico Research Initiative (GoMRI).
In addition, the settlement approved in April 2016 includes $7.1 billion payable by BPXP to the United States and the five Gulf states over 15 years for natural resource damage restoration.
Following the Deepwater Horizon accident, bp committed to restoring the Gulf region’s economy and began paying claims within weeks of the accident. bp paid $6.67 billion through the Gulf Coast Claims Facility (GCCF) and has made significant progress in resolving remaining economic loss and property damage claims from individuals and businesses under the 2012 settlement with the Plaintiffs Steering Committee (PSC). Additionally, the vast majority of class action opt-out and excluded economic loss claims have also been settled or dismissed.
Also, the settlement approved in April 2016 includes a total of $4.9 billion to be paid over 18 years to settle economic and other claims made by the five Gulf Coast states, and up to $1 billion to resolve claims made by more than 400 local government entities.
bp, government agencies and others worked together to control the spill and minimize its impact on the environment, human health, and the economy.
At its peak in 2010, the response effort involved the mobilization of approximately 48,000 people, the coordination of approximately 6,500 vessels and the deployment of approximately 2,500 miles (13.5 million feet) of boom to contain or absorb the oil. bp spent $14 billion and workers devoted more than 70 million personnel hours on response and clean-up activities. The Coast Guard ended the last remaining active cleanup operations in April 2014 and transitioned these areas to the National Response Center reporting process. The operational phase of the response ended in February 2015.
Immediately after the accident, bp also committed $500 million over 10 years to support independent research through the Gulf of Mexico Research Initiative (GoMRI).