deepwater horizon

Mardi Gras: Beads, Bands…And BP Oil

More than one million tourists have flocked to the South for Mardi Gras, and hundreds of thousands of those revelers have settled in for a few days along the Gulf Coast.  Those who decided to enjoy the festivities along the Gulf of Mexico might be in for something they didn’t expect: oil tar mats.

On Thursday of last week, workers on Pensacola Beach, Florida spotted and brought to shore a 1,200 pound oil tar mat, which officials say accounted for about 90% of the total size of the mat.  While the bulk of the mat was a mixture of sand and other debris, scientists ran tests and were quickly able to determine that the oil in the mat was a perfect match for the oil released into the Gulf of Mexico during the 2010 Deepwater Horizon oil disaster, as the Pensacola News Journal explains:

The weathered oil from the tar mat was confirmed to be MC-252 oil from the 2010 Deepwater Horizon oil spill. Although the waters of the Gulf of Mexico were once scoured regularly for residual oil from the spill, physical searches were phased out as the number of sightings began to dwindle.

In the summer of 2013, BP pulled their cleanup crews from the Gulf Coast, assuring residents and tourists alike that the oil spill was all cleaned up.  A few months later, the U.S. Coast Guard made similar claims to the public.

Furthermore, the public was assured as early as May 2010 — just one month after the oil leak began — that the majority of the oil would simply “dissolve” into the Gulf of Mexico.  This latest tar mat is undeniable evidence that oil from BP’s disaster still remains in the Gulf.

Gulf Of Mexico: Open For Dirty Energy Exploitation Again

It has been nearly four years since BP’s Deepwater Horizon oil rig explosion and oil disaster in the Gulf of Mexico, and neither the dirty energy industry nor politicians in Washington, D.C. have learned anything from that tragedy.  Even with new evidence showing that the entire ecosystem in the Gulf has been disrupted as a result of the oil spill, companies are about to receive a massive gift in the form of new oil drilling leases.

Both the Interior Department and the Bureau of Ocean Energy Management (BOEM) have agreed to lease 40 million acres of water space in the Gulf of Mexico next month to support President Obama’s “all of the above” energy policy, which is quickly beginning to look more like a “drill, baby, drill” policy.  The leases will be good for five years’ worth of exploration in the Gulf.

BP Attempts To Misdirect Public With Claims Of Fraud

Oil giant BP is again attempting to convince the public that the oil spill settlement process for their destruction of the Gulf of Mexico resulting from the 2010 Deepwater Horizon oil rig explosion and leak, is completely riddled with fraud.

The company filed a fraud lawsuit earlier this week to stop payments on the claim process while investigators look into the fraud allegations. According to BP, one of the law firms representing oil spill victims has been submitting and receiving payment for claimants who don’t actually exist. 

The specific payments that BP is hoping to stop come from the Seafood Compensation Fund, a fund that was set up to pay fishermen and others who rely on the seafood industry as their source of income. The company says that Louisiana attorney Mikal Watts has filed 648 claims on behalf of seafood industry workers, and that 8 of those have been verified as accurate with 17 more still pending approval. 

Watts’ attorney has fired back at BP, saying that Watts did nothing illegal during the spill process, and submitted the appropriate documentation for every spill claim that he has filed. BP insists that at least half of Watts’ clients don’t exist.

Justice Delayed For Mayflower Oil Spill Victims

As the government shutdown enters its third week, new and disturbing side effects are beginning to surface.  These adverse affects are arising from the U.S. court system, where federal prosecutors are unable to perform their day-to-day activities in many cases due to a lack of federal funding.

While this is bad news for American citizens, it is great news to oil giant ExxonMobil.  The federal prosecutors handling the case against Exxon for their Pegasus pipeline tar sands spill have been forced to request that the judge overseeing the lawsuits against Exxon delay the suit until government operations resume.

The U.S. attorneys and environmental investigators from the Justice Department and EPA are unable to work on the case due to the lack of funding.  According to the Associated Press, these workers are not even able to work on the case on their own time without pay, since it is a federal, not civil, suit.

In addition to the federal lawsuit, Exxon is currently facing at least $1.7 million in federal fines for the tar sands spill.  But again, as long as the government remains partially shut down, there is not enough staff to go around, and those fines will remain unpaid.  It is estimated that at least 94% of the entire EPA staff is currently furloughed as a result of the government shutdown.

This news is particularly disturbing for the residents of Mayflower, Arkansas, as they had worked very hard to get the lawsuit fast-tracked in the wake of the spill earlier this year.  The longer the shutdown lasts, the longer it will take for justice to be served against Exxon.  It also means that residents will go even longer without relief from the dangers affects of the diluted bitumen.

Louisiana Governor Jindal Not Buying BP Spin on Gulf Coast Impacts

Have environmental priorities finally trumped extreme right wing politics in the deep south? 

Louisiana's Republican governor Bobby Jindal has heard enough from oil giant BP, taking them to task recently for destroying sensitive coastal areas during the 2010 Deepwater Horizon oil disaster.

For those of us who live along the Gulf Coast, it's good to see that Louisiana Governor Bobby Jindal is fed up with BP’s ongoing ad campaign. Designed to greenwash their performance as compassionate and caring, BP's ads instead suggest that the families impacted by the 2010 Gulf Coast oil spill are greedy and corrupt - it's the mirror opposite of reality. 

At a recent gathering of the Gulf Coast Ecosystem Restoration Council, Jindal said, “Three and a half years later, BP is spending more money – I want you to hear this – they are spending more money on television commercials than they have on actually restoring the natural resources they impacted.”

Mother Jones quotes Jindal to the Council:  “BP needs to stop spending hundreds of millions of dollars on their public relations campaign telling us how great they are and start proving it by addressing their Clean Water Act and Natural Resources Damage liabilities now.”

BP Launches Massive PR Campaign To Demonize Oil Spill Victims

BP, the oil giant that, along with Halliburton and Transocean, was responsible for the 2010 Deepwater Horizon oil rig explosion and oil leak in the Gulf of Mexico, is crying foul in the claims process of settlements for the victims of the spill.  The company has launched a massive public relations offensive to paint themselves as the victims in this situation.

According to The Hill, BP CEO Bob Dudley said recently that the entire claims process has been “absurd,” and that his company has been more than generous with their payments.  BP spokesperson Geoff Morrell said:  “While we remain committed to paying legitimate claims, we did not agree to pay for fictitious losses, or for claims that are based on fraud or tainted by corruption.”

While the overall PR war may appear to be aimed at the victims along the Gulf Coast, the real targets of BP’s campaign are trial lawyers.  They have even enlisted the help of the largest business lobby and strongest advocates for “tort reform”, the U.S. Chamber of Commerce.

The Hill reports that a recent ad placed by BP in The Washington Post quoted National Association of Manufacturers CEO Jay Timmons, saying, “Too often these days, the tort system is nothing more than a trial-lawyer bonanza, and that’s not fair to individuals seeking redress and no way to encourage investment in manufacturing to create tomorrow’s high-paying jobs.”

The reason that the company is trying to paint the claims process as plagued with fraud is that they had underestimated the amount of claims that they would have to pay out, and their settlement fund is quickly running dry.  This means that subsequent payments will have to come directly out of the company’s profits, a move that is not sitting well with shareholders who were promised that the price tag would not exceed $8 billion

BP Attacks Oil Spill Victims, Tries To Hide Criminal Past

In recent corporate public relations attempts, BP has tried to shift the public’s focus from its corporate wrongdoing and outright criminal behavior to criticizing BP's victims and their legal representatives. According to a privileged, plaintiff’s attorney work document, BP has dumped over $500 million into PR, attacking “judges, special masters, and claimants’ lawyers - trying to change the focus from its tragic track record of ignoring safety and deepwater despair.”

Record Fines For BP In Gulf Disaster Deal

After a ruling earlier this week by a federal judge in New Orleans, BP now holds the record for the largest criminal penalty in U.S. history.  The penalty, totaling $4 billion, is strictly related to the criminal conduct of the company that led to the 2010 Deepwater Horizon oil rig explosion and oil leak into the Gulf of Mexico.

As part of the deal, BP agreed to plead guilty to a total of 14 counts of criminal conduct, which includes charges of felony manslaughter. However, as CNN.com points out, the charges are against the company, not any individuals involved, so prison time for those responsible will not be part of the deal.

The $4 billion criminal penalty does not affect the settlement deals for the victims along the Gulf Coast, nor does it include any environmental fines for the company. Those are separate cases that are still being worked out, and will result in several billions more in financial penalties for the company.

Internal BP Emails Could Expose Extent Of Corporate Cover-Up Of Gulf Oil Disaster

Attorneys for Kurt Mix, a former engineer for BP, claim that a spate of previously unreleased emails will “exonerate” their client in the current criminal case being pursued against Mix. Mix is the first person in the wake of the Deepwater Horizon oil rig explosion and leak to be brought up on criminal charges for his role in the cover-up of the extent of the oil leak in the Gulf of Mexico.

Earlier this year, the U.S. Department of Justice formally charged Mix with obstruction of justice for allegedly destroying evidence, specifically text messages, relating to how much oil was flowing from the broken wellhead in the Gulf.  The amount of oil flowing into the Gulf waters determined the size of the fines that BP would face from the federal government, so the company could have benefited substantially from under-reporting the true volume of the flow rate.

The new emails that will be released during Mix’s criminal trial allegedly show that Mix repeatedly warned his superiors at BP that they were under-reporting the true scope of the spill to the government and the media, undermining the federal government’s case against Mix.  While these emails could show that Mix did the right thing in one arena, it is unlikely that it will “exonerate” him, as his attorneys claim.  After all, the charges against Mix are for deleting text messages related to the disaster, which were evidence.

The one thing that is almost guaranteed from these emails, assuming they exist in the form that Mix's attorneys are claiming, is that they could expose the cover-up by BP executives, and tell the story of how they intentionally misled everyone about the nature of their oil geyser. And given what we already know, it seems incredibly likely that the oil giant's leadership knew from the start how much oil was flowing from the broken wellhead.

BP Settlement Deal Could Put Taxpayers On The Hook For Spill Costs

A proposed settlement deal between the federal government and BP over their involvement in the 2010 Deepwater Horizon oil rig explosion and subsequent oil leak could shift the burden of cleanup costs away from the oil giant and onto U.S. taxpayers.

The current settlement option is just one of several being negotiated between the federal government and BP.  But this settlement option would route fine and settlement money through the Natural Resource Damage Assessment (NRDA), rather than fining the company directly via the Clean Water Act.

Not only could this reduce the total amount of money that the company pays in fines, but it would shift the burden of cost onto U.S. taxpayers.  While the company would still be paying out of pocket, the NRDA allows the company to write off their fines and deduct that from their yearly taxes.  Paying through the Clean Water Act would not allow the costs to be tax deductible. 

But the cost shift is just one of the problems with the proposed deal.  The provision that has residents of the Gulf Coast up in arms is the fact that the NRDA would route the money through the U.S. Treasury, instead of directly sending it to local and state governments.  This means that the Treasury, not the affected areas, would be in charge of determining how the money is spent.

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