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S.V. Airlie
09-05-2014, 09:07 PM
Okay the ruling has been Made! Will BP pay up?


NEW ORLEANS Environmentalists, recreational fishermen and people who make their living on the Gulf of Mexico are hailing a federal judge's ruling that could mean $18 billion in additional fines for BP over the nation's worst offshore oil spill.
Lisa Smith cheered and gave an emphatic "yes" Thursday afternoon when she heard about the decision as she fished off a beach bridge in Florida.
"BP should have to pay, they've done a lot of damage," Smith said.
In the town of Lafitte, Louisiana, David Robin said he hopes the oil company pays dearly, money that would not only mitigate damage from the spill, but also help restore Louisiana wetlands lost to erosion that experts blame in part on coastal oil and gas activity.
"If we could get ahold of that money, we could carefully plan a coastal erosion battle," said Robin, a plumber who owns a fishing camp in Lafitte.
U.S. District Judge Carl Barbier (BAHR'-bih-aye) ruled Thursday that BP acted with "gross negligence" in the 2010 Gulf of Mexico disaster.
Under the federal Clean Water Act, a polluter can be forced to pay a maximum of $1,100 in civil fines per barrel of spilled oil, or up to $4,300 per barrel if the company is found grossly negligent. Barbier's finding exposes BP to the much-higher amount.
Even as the oil giant vowed to appeal, BP stock fell $2.82, or nearly 6 percent, to $44.89, reducing the company's market value by almost $9 billion.
"Everybody talks about how big they are, but it's staggering," David Uhlmann, a University of Michigan law professor and former chief of the Justice Department's environmental crimes section, said of the price tag for the spill.
BP previously agreed to pay a record $4 billion in criminal fines and penalties over the Deepwater Horizon disaster, plus more than $27 billion in cleanup costs and compensation to people and businesses harmed by the spill.
The company made $24 billion in profits last year but could be forced again to sell off some assets to cover the additional fines, analysts said.

John Smith
09-06-2014, 07:16 AM
Who goes to jail? 11 people on that rig died. It was not operating up to required safety specs. Someone needs to go to jail.

As long as no person within the organization pays any consequences this sort of thing will not stop. Put some butts behind bars and maybe oil rigs, mines, etc. will start meeting safety standards.

John Smith
09-06-2014, 07:26 AM
Sadly, no one from here will go to jail. Or from Massey Mines; 29 people died there.

Corporations are not people, in spite of our high court seeing it differently. Can't put a corp. in jail. However corporations do things based on decisions made by people within them, and there is something very wrong when those people can make deadly decisions and 'hide' within the corporation.

Peerie Maa
09-06-2014, 07:39 AM
Any word about reclaiming the fraudulent claims already paid out? That would boost the fund for legitimate damages some.

As to pinning blame onto an individual sufficient to warrant jail time. No chance, there would be insufficient evidence to identify which employee's decision at what time was the cause without any doubt.

Rum_Pirate
09-06-2014, 07:55 AM
Be careful of the sub-contractors you employ.

S.V. Airlie
09-06-2014, 10:08 AM
Bloomberg!

(Updates with BP share price in 16th paragraph.)

Sept. 5 (Bloomberg) -- A U.S. judge’s watershed ruling means the final cost to BP Plc for the 2010 Gulf oil spill may eclipse $50 billion, wiping out years of profits and highlighting the risks of drilling as the industry pushes into more dangerous areas such as deeper waters and ice-bound Arctic fields.
Yesterday’s court decision that BP acted with gross negligence in the Gulf of Mexico disaster may hamstring the company financially as the industry’s search for resources becomes more expensive and dangerous. Companies including Exxon Mobil Corp. and Royal Dutch Shell Plc are also facing increasing pressure to show investors they can still grow as production declines.
As producers scour the globe for oil and natural gas, the ruling shows they’ll be held accountable for mistakes that may be inevitable given the complexity of the work, said Edward Overton, professor emeritus at Louisiana State University’s department of environmental sciences in Baton Rouge. While the judge has yet to rule on how much oil was spilled, a key factor in determining additional fines, millions of barrels of crude from the well harmed wildlife and fouled hundreds of miles of beaches and coastal wetlands.
If $50 billion isn’t “a wakeup call to do it right, to slow down, to make sure all your i’s are dotted and t’s are crossed in terms of safety -- not just for BP but also for the industry -- I don’t know what is,” he said.

Chasing Oil

The companies have little choice in the chase for big, new discoveries as access to resources continues to be limited. Exxon, BP, Shell, Chevron Corp. and Total SA earned more than $1 trillion in total profit during the past decade, almost all of which has been spent in the search for new pools of oil and natural gas.
Since 2004, the five companies have tripled capital spending and their combined output has fallen by 1.4 million barrels a day, according to data compiled by Bloomberg.
Problems have arisen as companies drill deeper and in more perilous conditions. Shell last week submitted a plan for drilling in Alaska’s Arctic, after a vessel ran aground in 2012. The ultra-deep Davy Jones well in the Gulf, among the most expensive ever drilled, has yet to produce what operator Freeport-McMoRan Copper & Gold Inc. has said may be trillions of cubic feet of gas.