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BP Pleads Guilty, Will Pay $4 Billion In Criminal Penalties For Gulf Oil Spill

The Deepwater Horizon oil rig burned on April 21, 2010.
U.S. Coast Guard
/
Getty Images
The Deepwater Horizon oil rig burned on April 21, 2010.

Update at 11:30 a.m. ET: Oil giant BP has agreed to plead guilty to criminal misconduct related to the 2010 Gulf Oil spill and will pay a record $4 billion in criminal penalties, the company just confirmed. And it will pay $525 million in civil penalties in a resolution with the Securities and Exchanges Commission. BP will make the payments over six years.

About $2.4 billion of the criminal fine, BP says, will "be paid to the National Fish & Wildlife Foundation (NFWF) over a period of five years. In addition, $350 million will be paid to the National Academy of Sciences (NAS) over a period of five years."

The company also says that:

"As part of the resolution, BP has agreed to plead guilty to 11 felony counts of Misconduct or Neglect of Ships Officers relating to the loss of 11 lives; one misdemeanor count under the Clean Water Act; one misdemeanor count under the Migratory Bird Treaty Act; and one felony count of obstruction of Congress. This resolution is subject to U.S. federal court approval."

Our original post: "BP Expected To Plead Guilty, Pay Record Fine In Gulf Oil Spill Criminal Case."

Oil giant BP is preparing to plead guilty to criminal misconduct related to the 2010 Gulf Oil spill later today, according to two sources familiar with the case. The sources said the settlement deal will also include the largest-ever penalty in a criminal case, topping the more than $1 billion payment by pharmaceutical maker Pfizer in a drug marketing prosecution (Pfizer also paid about $1 billion in civil penalties).

London-based BP confirmed it is in "advanced discussions" with the U.S. Justice Department and Securities and Exchange Commission to put an end to the long-running criminal investigation. The agreement will not cover civil environmental damages under the Clean Water Act, BP said.

Eleven people died in an explosion on the Deepwater Horizon mobile rig in April 2010, touching off one of the largest environmental disasters in history. The damage to fish, birds, and water in the Gulf and along the borders of four states is still being studied by scientists.

The two sources close to the case said a formal announcement is likely later today in New Orleans. One said that individual executives could face prosecution as well. To date, only one person, former BP engineer Kurt Mix, has been charged with a crime. Mix is fighting allegations he obstructed justice by deleting messages that reflected how much oil was gushing out of the Macondo well after the disaster.

There's more on Morning Edition.

Copyright 2023 NPR. To see more, visit https://www.npr.org.

Carrie Johnson is a justice correspondent for the Washington Desk.