BP Cleanup Costs Rise Above $6 Billion

Before you go, we thought you'd like these...
Before you go close icon
bp cleanup costs $6 billionBuried in a BP (BP) update on the Gulf of Mexico oil spill is the total amount that the company has spent so far to clean up the spill, pay claims and cover costs to stop the leak -- $6.1 billion. BP also says that "approximately 30,800 personnel, more than 5,050 vessels, and dozens of aircraft are engaged in the response effort."

The U.K.-based company has recovered 826,000 barrels of oil. This may be part of the reason that the U.S. government and scientists say that a large portion of the oil has dissipated.

BP also noted that it has begun to pay $20 billion into an escrow account that will be managed by an independent board to cover future cleanup costs and liabilities.

BP says that its relief well is at "a measured depth of 17,909 feet ." Now that the leak has been halted by cement poured into the area (known as MC252) that has been spewing oil, the pace at which that new well is being drilled may be slightly less important. BP says that no new oil has been released from the well since July 15.

BP's nightmare is hardly over, nor is that of the hundreds of thousands of people and businesses that ring the Gulf in regions where the oil has come ashore. But it is not now likely that the spill will spread far beyond its current locations and move southward toward the Florida Keys or up the East Coast as some experts had predicted.

BP's costs for the disaster my exceed the $20 billion in the escrow fund, but the possible total costs of the spill are almost certainly no longer rising astronomically.
Read Full Story

Markets

S&P 500 2,361.13 2.56 0.11%
DJIA 20,659.32 -42.18 -0.20%
NASDAQ 5,897.55 22.41 0.38%
DAX 12,203.00 53.58 0.44%
NIKKEI 225 19,130.72 -86.76 -0.45%
HANG SENG 24,277.76 -114.29 -0.47%
USD (per EUR) 1.08 0.00 -0.04%
USD (per CHF) 1.00 0.00 0.05%
JPY (per USD) 111.16 0.01 0.01%
GBP (per USD) 1.24 0.00 0.03%

Want more news like this?

Sign up for Finance Report by AOL and get everything from business news to personal finance tips delivered directly to your inbox daily!

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.

From Our Partners

19 of the Creepiest, Most Inexplicable Things People Ever Experienced 19 of the Creepiest, Most Inexplicable Things People Ever Experienced
Man Built This Contraption In His Backyard - And Even He Was Surprised How Well It Worked Man Built This Contraption In His Backyard - And Even He Was Surprised How Well It Worked
This Elephant Was Separated From Her Mother As A Baby - But She's About To Get A Huge This Elephant Was Separated From Her Mother As A Baby - But She's About To Get A Huge