Tag Archives: Deepwater Horizon oil spill

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

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

 

Crying over Spilled Oil; BP Deepwater Horizon

After the Deepwater Horizon oil rig exploded in 2010, killing 11 workers and spewing a lake of oil into the Gulf of Mexico, BP knew it would be punished severely. So far, the British oil firm has set aside $42 billion to pay fines, compensate victims and clean up the mess. Of this, some $36 billion has already been paid out or earmarked. America has also temporarily barred the company from bidding for federal contracts.

In all, BP has shelled out $14 billion to stop the spill and restore the coast to the way it was. It has paid out or earmarked $17.5 billion to compensate individuals and small businesses, plus another $4 billion to settle criminal charges with the Department of Justice. It has also set aside $3.5 billion to pay penalties for oil leaks under America’s Clean Water Act.  These have yet to be determined. A civil trial, set to begin on February 25th in New Orleans, will apportion blame for the accident, determine how much oil gushed out and apply financial penalties. The federal government is demanding $21 billion in compensation for spilt oil. To get that much, it must prove BP was “grossly negligent”. It must also persuade the court to accept its estimate of the size of the leak, rather than

As if that were not enough, BP’s annual results, released on February 5th, harboured another nasty surprise. Tucked away on page 42 were details of hefty new claims against the oil giant. Alabama, Mississippi, Florida and Louisiana are demanding $34 billion for economic losses and property damage. These mainly relate to tax revenues allegedly lost as a result of disruptions to businesses, says BP.  The oil giant knew that a bill was in the post: a three-year statute of limitations will soon expire. However, it was not expecting the bill to be so big. BP disputes the way the sum has been calculated and is ready to fight the claims in court. It reckons that the states will have a tough job substantiating their calculations of forgone taxes.

Both claims seem likely to be settled out of court…BP would far rather end the matter quickly and get on with its business. The uncertainty over the final bill is weighing down its share price. And its sheer size is daunting. If all the claims against it are upheld, BP’s total bill will amount to $90 billion or so. By way of comparison, Saddam Hussein’s Iraq was ordered to pay reparations of $52 billion ($88 billion in today’s money) for invading Kuwait.

One reason why a settlement has proved elusive is that the case is so complex. It involves three pieces of legislation and several layers of federal, state and local government with precious little co-ordination between them. For example, BP notes that 11 tiny Louisiana parishes have made a separate claim for damage to local wildlife. BP’s woes are not over.

The Deepwater Horizon disaster: Spills and bills, Economist, Feb. 9, 2013, at 66