Make us your home page
Instagram

Six years after gulf oil spill, BP has gushed an average $25.5 million a day to cover disaster

Fire boats battle a fire at the off shore oil rig Deepwater Horizon on April 21, 2010, in the Gulf of Mexico off the coast of Louisiana. Six years later, BP has paid out $56 billion in costs related to the spill -- an average of $25.5 million a day.  [U.S. Coast Guard via Getty Images]

Fire boats battle a fire at the off shore oil rig Deepwater Horizon on April 21, 2010, in the Gulf of Mexico off the coast of Louisiana. Six years later, BP has paid out $56 billion in costs related to the spill -- an average of $25.5 million a day. [U.S. Coast Guard via Getty Images]

Remember the disastrous BP oil spill in the Gulf of Mexico? BP sure hasn't forgotten, given that by this month's six-year anniversary, the giant oil-exploration company has paid out $56 billion in costs related to the spill.

That's $25.5 million spent on average every day by BP since the spill in April 2010. And it's not over yet.

The additional expenses looming aren't BP's only concern. By this fall, the entire oil spill nightmare will be reintroduced to the public, thanks to a Hollywood movie titled Deepwater Horizon starring Mark Wahlberg and Kate Hudson about what is billed as the biggest offshore oil spill in U.S. history and worst environmental disaster so far of the 21st century.

As if Floridians need to be reminded of the cost, pain and ongoing gulf consequences of the spill. BP's Macondo well exploded on April 20, 2010, killing 11 workers and releasing more than 3 million barrels of oil into the Gulf of Mexico over 87 days.

BP marked one financial plateau last year when it reached a $20 billion agreement resolving state and federal claims. Yet other legal claims remain.

Those expenses were spotlighted this week when BP announced a quarterly loss of $485 million, sparked by an unexpected $917 million writedown by the company related to the oil spill. Still, the financial performance was actually better than analysts had expected and BP shares rose in response, closing at $33.60.

Before the spill, BP's stock traded near $60, then fell below $30 in June 2010, once the severity of the spill began to be realized. After peaking at $52 in mid 2014, BP shares have trickled south and now trade in the low $30s.

BP on Tuesday told shareholders it could not guess how much more costs would rise due to the oil spill. "It's impossible to come up with a best estimate," BP chief financial officer Brian Gilvary told analysts.

Recent reports on the environmental impact from the oil spill six years later continue to indicate widespread damage to animal and sea life. A report by the conservation and advocacy group Oceana found far more coastline was affected by the spill than experts first anticipated. Scientists from the National Oceanic and Atmospheric Administration and private research companies recently reported finding oil along more than 1,300 miles of shoreline (out of 5,930 miles surveyed) after the spill. The area stretches from Texas to Florida.

Those findings underpin an assessment of oil spill damage published by the federal government earlier this year. "Unprecedented in both scope and nature, the Deepwater Horizon oil spill was the largest offshore oil spill in U.S. history," the report stated. "The spill dealt a heavy blow to the Gulf Coast region natural resources and its natural resource-dependent economy."

For BP, writing more and bigger checks to deal with the spill is not over.

In 2012, BP set aside $7.8 billion to cover a settlement with Gulf Coast businesses and residents. The company said Tuesday that sum had increased to $12.9 billion, including $600 million in the first quarter of the year as the company began accelerating its claims process.

Contact Robert Trigaux at rtrigaux@tampabay.com. Follow @venturetampabay.

Six years after gulf oil spill, BP has gushed an average $25.5 million a day to cover disaster 04/27/16 [Last modified: Wednesday, April 27, 2016 8:20pm]
Photo reprints | Article reprints

© 2017 Tampa Bay Times

    

Join the discussion: Click to view comments, add yours

Loading...
  1. Trigaux: For Class of 2016, college debt loads favor Florida graduates

    Banking

    Florida college graduates saddled with student debt: Take heart. The average debt Class of 2016 Florida grads must bear is less than students in most states.

    University of South Florida undergraduates gather at the USF Sun Dome in Tampa for last fall's commencement ceremony. A new survey finds their average student debt upon graduating was $22,276. Statewide, 2016 Florida grads ranked a relatively unencumbered 45th among states, averaging $24,461 in student debt. [Photo Luis Santana | Times]
  2. After Hurricane Irma, many ask: How safe are shelters?

    News

    NAPLES — Residents of the Naples Estates mobile home park beamed and cheered when President Donald Trump and Gov. Rick Scott strolled amid piles of shredded aluminum three days after Hurricane Irma to buck up residents and hail the work of emergency responders. But almost nobody had anything good to say about …

    The Islamic Society of Tampa Bay Area opened its doors to anyone seeking temporary shelter during Hurricane Irma. Evacuees were housed in the Istaba multipurpose building and was quickly at capacity housing over 500 people. [Saturday, September 9, 2017] [Photo Luis Santana | Times]
  3. When elders are in peril, who do you call — 911 or Rick Scott's cell?

    State Roundup

    TALLAHASSEE — Twelve hours after Irma blasted through South Florida, conditions at Larkin Community Hospital in Hollywood were miserable.

    Police surround the Rehabilitation Center at Hollywood Hills, which had no air conditioning after Hurricane Irma knocked out power, on Sept. 13 in Hollywood. So far, nine deaths have been blamed on the incedent. [John McCall | South Florida Sun-Sentinel]
  4. Report slams Pinellas construction licensing agency and leaders

    Local Government

    LARGO — The Pinellas County Construction Licensing Board mismanaged its finances, lacked accountability and disregarded its own rules, according to a scathing report released Wednesday by the county's inspector general.

    Rodney Fischer, the executive director of the Pinellas County Construction Licensing Board, resigned in January.  [SCOTT KEELER   |   Times]
  5. A meatless burger that tastes like meat? Ciccio Restaurants will serve the Impossible Burger.

    Food & Dining

    TAMPA — The most red-hot hamburger in the nation right now contains no meat.

    Ciccio executive chef Luis Flores prepares an Impossible Burger Wednesday at the Epicurean Hotel Food Theatre in Tampa.