‘Worst Case’ BP Ruling to Force Billions More in Payouts
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BP Plc faces billions more in potential penalties after a judge found it acted with gross negligence in the 2010 Gulf of Mexico oil disaster, putting the bulk of the blame on the company for the explosion that caused the largest offshore oil spill in U.S. history.
In a turning point after four years of legal wrangling over responsibility, U.S. District Judge Carl Barbier’s ruling that the London-based company acted with gross negligence means BP will be exposed to as much as $18 billion in additional government fines and penalties. The decision deals a blow to the company’s efforts to expand its drilling program as costs rise and production slips.