The US government has still not reached a settlement with BP over the Deepwater Horizon oil spill in 2010, though talks continue.
The issue concerns an upcoming lawsuit over violations of the Clean Water Act. A ruling that BP acted with “gross negligence” in their role in the disaster in the Gulf of Mexico triples the damages for the company, which is based on the amount of oil that spilled out of the well. This would come to roughly as high as $25 billion. The most precise figure we have is that 4.9 million barrels, or 205.8 million gallons, poured into the Gulf.
That suit is scheduled to begin early 2013. Meanwhile, talks had been progressing to avoid a trial and reach some settlement figure. But the government has not been willing to budget below $18 billion from BP, who refuses to pay that amount.
Talks between BP and the U.S. government over a settlement for the 2010 oil spill have stalled because the U.S. is insisting that the British oil giant pay at least $18 billion, British newspaper the Sunday Times reported.
A settlement deal may not happen until early next year, the newspaper quoted sources close to the company as saying.
A settlement between $18 billion to $21 billion is near the level which BP would be required to pay should it be found grossly negligent under the Clean Water Act, said the paper.
In July, BP floated a figure as low as $11 billion to cover all outstanding fines and penalties, and tried to target a compromise position at around $15 billion. Also back in July, the government reportedly demanded as high as $25 billion in a settlement.
So while this makes it sound like the government has been holding firm to the low end of Clean Water Act exposure, they actually appear to have come down $7 billion already in a few months, and the trial isn’t scheduled until early next year. BP’s board appears to be the stubborn ones; they want a $15 billion settlement and won’t meet the government at $18 billion, so everyone can claim some manner of victory.
This will play out over the next couple months. 80% of the money that the government does receive from BP will go toward Gulf Coast states, per the recently passed RESTORE Act.





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Picture Obama as The Most Interesting Man in the World…
I don’t always negotiate with terrorists, but when I do, they’re environmental terrorists.
The maximum penalty for killing a species protected by the Federal Endangered Species Act is one year in jail and a $50,000 fine.
Has this been incorporated into the negotiations? And who’s going to do the jail time?
Since corporations are people, I guess the corporation should do the time. The most salient feature of doing time is the loss of connection to the outside world. For a corporation that would mean that they can’t do any business during that time.
Maybe they could be allowed to keep employees and royalties, just not sell products, drill wells, contract for tankers. and so forth/
I just watched Spike Lee’s “When the Levees Broke” that I borrowed from the library. I have no cable so never see what movies are current and sad to say, I didn’t even know this documentary existed til I saw it at the library. As I googled to see if Louisianans had begun to get royalties, like every other state with oil revenues, I saw that the judgement against the Army Corps of Engineers was recently reversed:
http://www.huffingtonpost.com/2012/09/25/hurricane-katrina-flood-damage-lawsuit_n_1911445.html
As I readjust my tinfoil hat, I think NOLA was a test in landgrabbing and it worked so well, the PTB decided to take it nationwide.
What a good idea!
25 billion $$$? That is what America will waste in the next 25 days utilizing gasoline. Fuck BP… Fuck corporations period. They lie using first amendment as cover….
Corporations are people, just as Negros are inferior? Yup that SJC has been known to embrace utter “camel dung,” to rationalize servitude.
From Taney to Roberts…. Pass the crack pipe!!!