BP TO PAY ALASKA $255 MILLION FOR 2006 PIPELINE SPILLS,SHUTDOWNS

     (The following press release from the State of Alaska was received by      
e-mail and was reformatted. The sender verified the statement.) 
FOR IMMEDIATE RELEASE                                                     
November 8, 2012 
BP to Pay State $255 Million for 2006 Pipeline Spills and Shutdowns 
Juneau, Alaska - The State of Alaska won a multi-million dollar arbitration 
award against BP Exploration (Alaska) Inc. The dispute related to money damages 
for oil production shortfalls caused by the 2006 pipeline leaks and pipeline 
replacements in the Prudhoe Bay oilfield. BP admitted liability for purposes of 
the arbitration, but contended that the State suffered no losses and asked the 
arbitration panel to award zero damages. 
Following a four week hearing in May and June, the three arbitrator panel 
issued a unanimous decision in favor of the State on October 31. The award is 
final, binding, and non-appealable. After adjustment for previously agreed upon 
credits, the final award with prejudgment interest is $245 million; in 
addition, BP will pay $10 million to settle civil assessments for the spills. 
In total, BP will pay the State $255 million for the 2006 spills and pipeline 
shutdowns. 
A copy of the arbitration decision is available at: 
http://gov.alaska.gov/parnell_media/resources_files/arbitration110812.pdf 
(kgt)NY
 
 
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