By: SM
2012-11-28 10:37:04

The U.S. Environmental Protection Agency has suspended BP from bidding on new contracts with the federal government as a result of the company’s conduct during the Deepwater Horizon drilling disaster that led to 11 deaths and the largest U.S. offshore spill. The suspension is temporary.

The suspension follows BP’s agreement to recently settle criminal charges for $4.5 billion, the largest Justice Department criminal settlement ever. In that settlement, BP agreed to plead guilty to multiple charges stemming from its conduct leading up to the Deepwater Horizon disaster that caused the largest environmental disaster in U.S. history.

Apparently, the suspension will not affect BP’s current contracts or leases, leaving BP as the gulf's largest producer of oil and gas. The company holds over 700 existing leases in the gulf.

The EPA announcement did not indicate the length of the ban, but regulations typically suspensions to 18 months. It is possible for suspensions to last until the end of legal proceedings, and BP and the Justice Department are stymied in a dispute over civil charges tied to the oil spill. The EPA did say the suspension could be lifted when “the company can provide sufficient evidence to EPA demonstrating that it meets Federal business standards.”

Blog_id: 2 | Posted: 2012-11-28 10:37:04 | Views (1,343)