Oil giant BP will pay nearly $62 billion in costs resulting from the 2010 Deepwater Horizon offshore disaster that killed 11 rig workers and poured oil into the Gulf of Mexico for three months.
The spill was the worst man-made disaster in the industry’s history.
The company released the $61.6 billion cost estimate late Thursday. The amount is more than $5 billion higher than previous estimates.
“BP believes that any further outstanding Deepwater Horizon-related claims not covered by this additional charge will not have a material impact on the group’s financial performance,” it added. It will deal with any further charges and claims “in the ordinary course of business.”
The amount covers legal and cleanup costs, including a landmark $20.8 billion settlement with states and the federal government.
The statement was meant to ensure investors that the company is making progress in meeting its financial commitments due to the spill.
“Over the past few months we’ve made significant progress resolving outstanding Deepwater Horizon claims and today we can estimate all the material liabilities remaining from the incident,” said Chief Financial Officer Brian Gilvary. “Importantly, we have a clear plan for managing these costs and it provides our investors with certainty going forward.”
