USA: MOEX Agrees to Pay for Deepwater Horizon Incident
- Business & Finance
A settlement has been reached between its subsidiaries, MOEX Offshore and MOEX USA Corporation (collectively, MOEX Entities), and the government of the United States of America (United States), with regard to the civil and administrative penalties related to the Deepwater Horizon oil spill incident that occurred on April 20, 2010 in the U.S. Gulf of Mexico.
Under the settlement, the MOEX Entities will make pay US$45 million to the United States. It will also make payments of additional amounts allocated to the five states bordering on the Gulf of Mexico.
If all the Gulf States supply State Releases, releasing the MOEX Entities, Mitsui Oil Exploration Co., Ltd. from potential state law civil and administrative penalty claims, and covenanting not to sue the MOEX Released Parties for civil and administrative penalties, relating to the Incident, the amount paid to the states will total US$25 million.
The Deepwater Horizon incident happened on April 20, 2010, when an explosion occurred on the rig while drilling at the Macondo prospect for BP. The explosion killed eleven workers, caused the Transocean owned rig to sink which eventually led to an oil spill. The oil leaked for three months and caused the largest environmental disaster in the history of U.S. offshore oil & gas industry.
At the time of the Incident. MOEX Offshore , owned a 10% working interest in the block as a non-operator.
Offshore Energy Today Staff, February 20, 2012