BP Shells Out $2 Billion Following Oil Spill
Posted June 21, 2010 7:16 am.
This article is more than 5 years old.
BP has shelled out $2 billion following a massive oil spill in the Gulf of Mexico – and that number is going to rise.
The Deepwater Horizon rig blew on April 20, killing 11 workers and sending 60,000 barrels of crude into the water every day since.
That was nine weeks ago and leak is still unchecked.
Last week, BP agreed to set up a $20 billion fund that will compensate victims of the disaster. So far, about $105 million has been paid to 32,000 claimants. The average payout is almost $3300.
Concern is growing for those tasked with cleaning up the sludge. Public health officials and scientists are meeting in New Orleans to talk about the best way to watch for any potential medical issues. The U.S. government has already set aside $10 million for research.
Meanwhile, teams are drilling relief wells to try to stop the oil spill. But none of them have done it before because deep sea interventions are rare.
Once one of the two relief wells intersects the damaged line, BP plans to pump heavy drilling mud in to stop the oil flow and plug the blown-out well with cement. The relief well is not expected to be completed until August.
It’s tricky to drill – it’s been described as trying to hit a salad plate from five kilometres away – and it’s not guaranteed to work.
With files from The Associated Press.
