By Kathryn Maureen Ryan
Impunity Watch Managing Editor

WASHINGTON DC, United Sates of America – On Thursday a judge ruled that oil giant BP PLC (formerly British petroleum) was grossly negligent in its conduct which lead to the blowout that caused an explosion that killed 11 workers on the Deepwater Horizon oil rig and caused the largest oil spill in United States history. Carl Barbier, Judge of the United States District Court for the Eastern District of Louisiana, finding of gross negligence, or more reckless and extreme behavior, means that BP faces up to $18 Billion in penalties under the Clean Water Act. BP faces as much as 18 billion in pollutions fines, mostly in penalties under the Clean Water Act, far more than the $3.5 billion the company had put aside to pay for civil penalties it expected under the Clean Water Act. If the judge’s ruling is upheld the payout the company will be forced to pay under the Clean Air Act would be higher than any penalty paid in the history of the legislation. BP shares fell $2.72, or 5.7 percent, to $44.99 per share midday on Thursday, dropping the company’s market value by $7 billion. The price per share was near $60 just before the April 2010 spill.

Fire boats battled a blaze at the Deepwater Horizon offshore oil rig on April 21, 2010, in the Gulf of Mexico just after an explosion killed 11 rig workers and sparked a blowout that would cause the largest oil spill in United States history. (Photo courtesy of the Wall Street Journal)

As a result of the ruling BP now faces a fine under the Clean Water Act of $4,300 per barrel of oil spilled during the 2010 spill. While the total number of barrels spilled is being debated it is likely to fall between 2.4 million and 4.1 million, which would make for a fine of between $10.3 billion and $17.6 billion. BP has said that it will appeal the ruling which will put on hold the final decision on the total fine to be paid by BP and will likely delay pending court cases concerning the 2010 spill.

During the six months after the Deepwater Horizon oil rig exploded more than 8,000 birds, sea turtles and marine mammals were found injured or dead in the Gulf region. Scientists are still assessing the long-term effect that the estimated 170 million gallons of crude oil that spewed into the Gulf of Mexico during the BP oil spill will have on the Gulf and its critical ecosystems. Although oil is no longer readily visible on the surface of the water in the Gulf, it isn’t gone. Scientists have found significant quantities of oil on the seafloor, and the oil that has already washed into wetlands and beaches will likely persist for several years or even decades. Microscopic particulate oil is also hazardous for marine life, effecting life at all levels of the food chain and ultimately impacting the fishing economy in the gulf region.

Scientists will continue to watch for fluctuations in wildlife in the gulf region. Four years after the 1989 Exxon Valdez oil disaster, the largest oil spill in United States history until the 2010 BP oil spill, the herring population collapsed demonstrating that the effects of oil on ecosystem’s may take years to be seen. Nearly 20 years after the Exxon Valdez spill the Herrin population has not yet recovered.

For more information please see:

Al Jazeera – Court Orders BP to Pay Up To $18 Billion in Damages for Gulf Oil Spill – 4 September 2014

Bloomberg – ‘Worst Case’ BP Ruling On Gulf Spill Means Billions More in Penalties – 4 September 2014

The Wall Street Journal – BP is Found Grossly Negligent in Deepwater Horizon Disaster – 4 September 2014

The National Wildlife Federation – How Does the BP Oil Spill Impact Wildlife and Habitat? – 2014

 

Author: Impunity Watch Archive