BP hit the headlines in 2010 when a huge explosion occurred, causing its Deepwater Horizon oil rig to sink and in doing so leaking oil at the sea floor for 87 days. It was considered the largest oil spill disaster to ever occur in the history of the petroleum industry. There were even reports in 2010 which indicated the well site was in fact still leaking nearly 2 years later.
6 years on and the Petroleum giant are still paying the consequences of the historical spill. It was recently revealed that BP’s bill for the disaster has now reached a whopping $61.6 billion dollars. That’s more than the value of Ford or Honda as a company.
"It's a really scary number," said Fadel Gheit, oil analyst at Oppenheimer & Co.. "Before the accident, BP had a market capitalization of $180 billion. The accident actually shaved off one-third of the market capitalization of the company. It's a miracle that the company is still in business."
The roots of these costs come from the requirements for lawyers, 400 local governments, claimants, shrimp fishermen on the Louisiana coast, motels, school districts and of course the Environmental Protection Agency. The incident received a huge amount of response in the news and social networking sites on a global spectrum. Animal rights protestors were furious about the affect the spill was and is still having on the environment.
Did you know?
- The support of offshore drilling took a huge hit following on from the incident, but has since seemed to recover on the most part today.
- The BP 2010 oil spill was one of the most talked about stories in the news the year it occurred.
- The public trusted news stories more than the government when seeking information about the oil spill.
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