This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

BP May Offer $30 Billion to Settle Gulf Oil Spill Claims

NEW YORK ( TheStreet) -- BP (BP - Get Report) may end up having to pay out more than $30 billion to resolve its legal battles with the Department of Justice and civil claimants regarding the Gulf of Mexico oil spill, according to a report.

As the cost estimates of claims and fines BP will have to pay continues to climb, Reuters now reports that the British oil giant may end up having to pay out roughly $20 billion above what it had previously budgeted for.

Furthermore, BP may now be pressured into prompt pay-out in the wake of the latest government report looking into the culprits behind the devastating Gulf of Mexico oil spill.

Although the second major government probe spreads the blame for the tragic Gulf of Mexico oil spill between BP, Transocean (RIG - Get Report) and Halliburton (HAL - Get Report), the report points the finger at BP for fatal management mistakes.

Reuters sources say BP likely now cringes at the thought of facing the Justice Department and civil claimants in court, with Reuters quoting an insider saying, "we would like everything settled as soon as we can, otherwise you have lingering reputation issues and investor uncertainty."

The insider that Reuters cites says that BP is likely to make a "significant" offer soon after its February trial date for the civil hearings.

-- Written by Andrea Tse in New York.

>To contact the writer of this article, click here: Andrea Tse.
Copyright 2011 Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
BP $29.60 -2.80%
HAL $30.50 -2.70%
RIG $9.34 -9.10%
AAPL $93.85 -0.18%
FB $98.44 -5.40%


Chart of I:DJI
DOW 15,812.08 -392.89 -2.42%
S&P 500 1,836.83 -43.22 -2.30%
NASDAQ 4,234.0970 -129.0470 -2.96%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs