Business · Companies · 3 hrs ago
BP agrees to pay Louisiana $350 million to settle oil spill claims
BP agreed to pay Louisiana $350 million in one payment to settle claims linked to the 2010 Deepwater Horizon oil spill.
The disaster began when a BP oil rig exploded and burned in the Gulf of Mexico.
The deal settles Louisiana's claims and parish coastal lawsuits, though BP gave no further details about the remaining cases.
Under a 2015 agreement, BP had agreed to pay up to $18.7 billion to the US federal government and five states.
Louisiana was due to receive $373 million over the next seven years, but will now get $350 million at once.
The accelerated payment resolves the state's outstanding claims over the spill.
Louisiana Governor Jeff Landry said all but one of the major defendants in the coastal cases had now settled.
BP agreed to pay Louisiana a lump sum of US$350 million to resolve claims related to the 2010 Deepwater Horizon oil spill.
The deal also settles long-running coastal damage lawsuits by Louisiana parishes.
Louisiana had been owed US$373 million over the next seven years under an earlier settlement.
BP said the remaining coastal zone lawsuits by Louisiana parishes will be resolved.
- Who
- BP and the state of Louisiana.
- What
- BP agreed to pay Louisiana US$350 million in a lump sum. The deal also settles coastal damage litigation by local parishes.
- When
- BP announced the deal on Friday, October 23, 2026.
- Where
- Louisiana and the Gulf of Mexico, where the Deepwater Horizon oil spill occurred.
- Why
- To resolve claims related to the 2010 oil spill and long-running coastal damage lawsuits.
This story does not have two clearly opposing sides.
The Deepwater Horizon oil rig burned in the Gulf of Mexico.
BP agreed to pay up to US$18.7 billion to the federal government and five states to resolve oil-spill claims.
BP announced a US$350 million lump-sum payment to Louisiana and a settlement of coastal damage litigation by local parishes.
- Settlement payment
- US$350 million
- Earlier amount owed to Louisiana
- US$373 million over the next seven years
- Earlier BP settlement
- Up to US$18.7 billion
- Oil spill
- Deepwater Horizon, 2010
- State
- Louisiana
What people are saying
We have now disposed of claims and settled with all but one of the major defendants in these coastal cases,