NEW YORK (TheStreet) --Shares of Anadarko Petroleum (APC) are slipping by 3.21% to $78.75 in late afternoon trading on Monday, following the Supreme Court's decision to reject proposals from Anadarko and BP PLC (BP) to evade federal pollution law penalties in connection with the 2010 oil spill in the Gulf of Mexico, Reuters reports.
The court upheld a June 2014 ruling by the 5th Circuit Court of Appeals in New Orleans which determined that both companies were responsible for civil damages under the federal Clean Water Act.
Anadarko, an independent exploration and production company, may have to pay over $1 billion as a result, Reuters added.
In April of 2010 the Deepwater Horizon drilling rig exploded and the Macondo oil well ruptured killing 11 workers, caused the largest offshore environmental disaster in American history and polluting larger portions of the Gulf, killing marine life and disrupting businesses, Reuters added.
Additionally, Anadarko Petroleum is also taking a hit from today's decline in oil prices. The commodity is falling following developments in Greece stemming from the country's debt crisis.
Crude oil (WTI) is lower by 2.43% to $58.18 per barrel and Brent crude is down by 2.17% to $61.89 per barrel this afternoon, according to the CNBC.com index.
Separately, TheStreet Ratings team rates ANADARKO PETROLEUM CORP as a Hold with a ratings score of C-. TheStreet Ratings Team has this to say about their recommendation:
"We rate ANADARKO PETROLEUM CORP (APC) a HOLD. The primary factors that have impacted our rating are mixed-some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strongest point has been its a solid financial position based on a variety of debt and liquidity measures that we have looked at. At the same time, however, we also find weaknesses including disappointing return on equity, weak operating cash flow and a generally disappointing performance in the stock itself."