ANCHORAGE, Alaska (AP) — BP Exploration (Alaska) Inc. has been ordered to pay the state of Alaska $255 million for royalties on oil production lost during 2006 spills and subsequent pipeline shutdowns to replace pipe on the North Slope.
The state announced the award, reached by arbitrators Oct. 31, in a release on Thursday.
The state says the final amount, which cannot be appealed, includes $10 million to settle civil assessments.
BP says in a statement it was “pleased to finally resolve the last remaining claim.”
The state and BP agreed to enter arbitration instead of continuing legal battles. A three-member panel heard the case over four weeks last May and June in Anchorage.
BP Exploration (Alaska) Inc., a subsidiary of London-based BP PLC, must pay by Dec. 3.
How much should the failing solar companies pay for lack of production?
@Jeff: your comment makes no sense. The citizens of Alaska get royals from oil production in that state. The oil pipeline was shutdown due to poor maintenance of the pipeline. It is believed the oil spill of 2006 was due to decay of the system. (IE, maintenance.) Less oil production = less royalties, which yields unhappy Alaska citizens, hence the settlement.
I agree with the settlement, don’t get me wrong. My point is, I would have liked to see the individuals who reaped millions on the bogus solar grants found responsible and surrender the millions they pocketed. Billions of tax dollars were given to these people and we got zero return. They still have their mansions.