3rd Jun 2016 07:21
LONDON (Alliance News) - Oil major BP PLC said it has agreed to settle one of many outstanding legal claims made against the company following the Deepwater Horizon oil spill in the Gulf of Mexico back in 2010 after agreeing to pay some of its investors USD175.0 million.
US Federal and District Courts certified a legal case back in May 2014 that was brought against the company by a group of investors that purchased BP's US-listed American Depositary Shares after the oil spill occurred.
Those investors felt the full-effects of the oil spill and the impact of the incident was not revealed by the company in a timely manner, causing them to make losses. The Financial Times said Friday that the case was set to start next month and claimed the investors in question could have secured a settlement of up to USD2.50 billion.
BP said it has now agreed with those investors to settle the claims for a total of USD175.0 million and said it will pay that during 2016 and 2017 if the settlement is approved by the courts.
Specifically, the case that has been settled is the MDL 2185 securities litigation and BP said the settlement "does not resolve other securities-related litigation in connection with the Gulf of Mexico oil spill."
BP shares were trading up 1.6% to 358.90 pence per share on Friday morning.
By Joshua Warner; [email protected]; @JoshAlliance
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