Deepwater drilling contractors, Transocean, is to handover US$20 million, in compensation and final settlements to the US Gulf of Mexico state of Alabama.
The settlement looks to settle all remaining legal disputes between the two parties, raising from the Deepwater Horizon disaster of 2010.
Alabama have claimed huge economic loss and damage to their coastline, as a result of the 3 million barrels of crude oil that spilled, from the offshore well uncontrollable for over 3 months.
During the initial explosion onboard the Deepwater Horizon, 11 men lost their lives.
Alabama State Governor, Robert Bentley, said: “The State of Alabama suffered tremendous environmental and economic losses because of the BP/Deepwater Horizon oil spill in April 2010,”
“I appreciate the entire Alabama team for working to ensure Alabama is fairly compensated. This agreement with Transocean is another positive step forward as we continue to recover from the effects of such a significant environmental and economic disaster.”
Governor Bentley’s office later announced that all US$20 million, would go towards Alabama’s State General Fund.
Owners of the Deepwater Horizon, Transocean, now hope that the settlement will draw a line under the matter, and allow the company to continue to move on and operate in what is now an offshore drilling industry on its knees, due to the continued slump in oil.
However, the final settlement will be taken as positive news by Transocean, who will see the $20 million dollars as being let off lightly.