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BP Announces Resolution of Federal Civil Claims


BP has reached an agreement with the U.S. Department of Justice to settle the federal civil suit that arose from the Prudhoe Bay oil transit line leaks in March and August of 2006. The agreement is in the form of a consent decree, which, if approved after a public review and comment period, would include three main elements:

Compliance with a set of requirements covering Prudhoe Bay pipeline operations.
Retention of an Independent Contractor to monitor Prudhoe Bay pipeline operations and report on compliance with the consent decree.
Payment of a civil penalty of $25 million.

BP did not admit any liability nor was there any per barrel penalty assessed in the agreement.


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