Tag Archives: BP Deepwater Horizon

The Impact of Oil Spills on the Deep Sea: the Deepwater Horizon Oil Spill

The Louisiana University Marine Consortium (LUMCON) published in September 2019 a study on the Deepwater Horizon Oil Spill in Royal Society Open Science.  The BP’s Deepwater Horizon oil rig exploded in April 2010, killing 11 workers.  The subsequent cleanup and restoration had cost nearly $65 billion..but while while we can burn off and disperse oil on the surface, but we don’t have the technology to get rid of oil on the seafloor. So approximately 10 million gallons of it settled there….In 2017 , the The LUMCON surveyed the site surrounding the wreck of the rig, and another one 1,640 feet north. There were no giant isopods, glass sponges, or whip corals that would have jumped (metaphorically) at the chance to colonize the hard substrate of the rig, such as discarded sections of pipe…..But]  crabs were just about everywhere. The researchers were shocked by the sheer number of crustaceans and other arthropods that had colonized the spill site. According to rough estimates, Atlantic deep sea red crabs, red shrimp, and white caridean shrimp were nearly eight times more populous at the Deepwater site than at other spots in the Gulf. “Everywhere there were crabs just kicking up black plumes of mud, laden with oil,” Nunnally says. But abundance does not mean the site was recovering, or even friendly to life. Particularly eerie was the crab’s achingly slow movement. “Normally, they scatter when they see the ROV lights,” he says. But these crabs seemed unbothered, or unaware of the robot’s presence.

Crabs on the seabed of the Deepwater Horizon oil spill

The researchers hypothesize that degrading hydrocarbons are what’s luring unwitting crabs from the surrounding seafloor to the deep-sea equivalent of a toxic dump. “The chemical makeup of oil is similar to the oils naturally present on crustaceans,” Nunnally says. “They’re attracted to the oil site, but everything goes downhill for them once they’re in the area.” A similar kind of chemical confusion occurred at an oil spill in Buzzards Bay in New England in 2003, which attracted hordes of American lobsters. The researchers liken the death trap to the La Brea Tar Pits: Once lured in, the crabs lose their ability to leave. With no other species able to thrive in the area, the crabs have no food source—except each other. And as one might imagine, consuming the flesh of a toxin-riddled crab or starving to death in a deep-sea tar pit is sort of a lose/lose situation.

The crabs also looked anything but normal: some claws shrunken, some swollen, shriveled legs, a dusting of parasites. “There were deformities, but mostly things were missing,” Nunnally says. “You come in with eight legs and try to get away on four or five.” The researchers have yet to ascertain what specific toxins led to these maladies. The shrimp looked just as awful as the crabs. “They didn’t look like shrimp from other sites,” Nunnally says, adding that many of the small crustaceans had humps in their backs—tumors, perhaps.

Excerpts from SABRINA IMBLERS, A Decade Later, the Deepwater Horizon Oil Spill Has Left an Abyssal Wasteland, Atlas Obscura, Sept. 18, 2019

Deep Horizon Oil Spill: final settlement

U.S. District Judge Carl Barbier in New Orleans gave his final approval April 4, 2016 to an estimated $20 billion settlement over BP’s massive 2010 oil spill. On July 2015, BP reached the $20 billion settlement with the federal government and five gulf states. The Justice Department has called it the largest environmental settlement in U.S. history as well as the largest-ever civil settlement with a single entity.  Barbier presided over a multiphase trial for the spill litigation before last summer’s settlement agreement resolved the bulk of the remaining civil claims against BP. The judge heard testimony from rig workers who survived the blast and from company executives who worked on the ill-fated drilling project off Louisiana’s coast. Barbier set the stage for the settlement when he ruled BP acted with “gross negligencein the disaster….

In addition BP pleaded guilty in 2013 to manslaughter for the rig workers’ deaths and agreed to pay a record $4 billion in criminal fines and penalties.

In BP reached a multibillion-dollar settlement agreement with businesses and residents who claim the spill cost them money. That deal didn’t have a cap***, and a court-supervised claims administrator is still processing many of the claims.

***There is no limit on the total dollar amount of the Settlement, but BP will pay no more than $2.3 billion to compensate qualified claimants who are in the Seafood Compensation Program.

While BP has estimated that the total costs of the Settlement will be approximately $7.8 billion, there is no limit on the total amount of the Settlement (with the exception of the Seafood Compensation Program). The actual total amount paid out will depend on the number of qualified claims made, and could be higher or lower than BP’s estimate.***

Excerpts from Judge approves $20 billion settlement in gulf oil spill, Associated Press, April 4, 2016

Gross Negligence: Gulf of Mexico Oil Spill

BP wants its money back — hundreds of millions of dollars of it — but a federal judge said Wednesday (Sept 24. 2014) that the oil giant must stand by the agreement it made with the companies it compensated for losses blamed on the 2010 Gulf oil spill.BP argued that a flawed funding formula enabled nearly 800 businesses to overestimate their spill-related claims.

One construction company hundreds of miles from the coast received $13.2 million, but deserved $4.8 million at most, BP said. Another company selling “animals and animal skins” was overpaid about $14 million, and about 50 others shouldn’t have been paid at all, the company said.  About 150 claimants should return a total of $185 million, and overpayments to the rest haven’t been calculated, attorney Kevin Downey argued.

U.S. District Judge Carl Barbier was not persuaded, thwarting BP’s latest attempt to control potential liabilities now approaching $50 billion.  The judge agreed weeks ago to change the compensation formula for any future payments, but ruled that a deal is a deal when it comes to the money BP has already paid out. Under that deal, claimants agreed not to sue, and BP agreed that no future court action could change their payments….

Barbier said he would rule later on the issue of compensation for cleanup workers whose chronic medical problems weren’t diagnosed until after the deal’s cutoff date of April 16, 2012. The settlement entitled cleanup workers with chronic conditions including rashes and breathing problems to receive up to $60,700 if the problems first surfaced within days of their cleanup work…

BP’s closing share price was $50.20 the day of the explosion, and fell to $22.80 in June 2010, before the well was capped. Shareholders returned after BP set aside $42 billion to cover its liabilities, reassured the financial damage was contained.  That’s no longer so clear: The judge’s ruling this month that BP showed gross negligence and willful misconduct added a new level of uncertainty around BP’s spill-related expenses, reducing its market value by $9 billion in a single day.,,BP’s total potential liabilities now include up to $18 billion in fines and penalties that could be imposed for violating federal pollution laws, and more than $27 billion BP says it has already paid to restore the coast and settle damage claims.

JANET MCCONNAUGHEY and JONATHAN FAHEY,Businesses Won’t Have to Return BP Spill, Associated Press, Sept. 24, 2014