Anadarko agrees to pay $4 billion to GCCF to settle oil spill claims
Alejandro de los Rios Oct. 28, 2011, 5:54am
BP has announced that Anadarko, one of its partners in the failed Macondo oil well that led to the 2010 Deepwater Horizon oil spill, has agreed to pay $4 billion into the Gulf Coast Claims Facility (GCCF) to settle the claims between the two companies.
The announcement means that BP has settled its claims with both of its partners involved in the Macondo well which led to the largest offshore oil spill in U.S. history. BP settled its claims with its other partner, MOEX Offshore, in May for $1 billion.
As part of the settlement, Texas-based Anadarko will transfer its one-quarter stake in the Macondo well over to BP. Anadarko is also entitled to receive any insurance or third party funds awarded to BP if they exceed $1.5 billion.
The Anadarko settlement will go directly to the GCCF, which the U.S. government instructed BP to form in order to settle claims with Gulf Coast residents affected by the 2010 oil spill. BP has paid out over $7 billion in claims in just over a year.
BP is still facing thousands of lawsuits from Gulf Coast residents, businesses and state and municipal governments in relation to the oil spill. The suits have been consolidated into a massive multi-district litigation in the U.S. District Court for the Eastern District of Louisiana.
BP is also dealing with suits against and countersuits from its partners in the Deepwater Horizon oilrig, including Weatherford International and Halliburton.
A limitation of liability trial is set for February before U.S. District Judge Carl Barbier in New Orleans.
Federal MDL 2:10-md-2179