Anadarko: The oil spill is none of our business.

[touchring]

http://www.google.com/hostednews/ap/...Y40CwD9GRK7303

Anadarko tells BP it won't help pay for oil spill
(AP) – 19 minutes ago
NEW YORK — Anadarko Petroleum Corp. is refusing to pay BP about $272 million for its share of the costs tied to the massive Gulf oil spill.
The Houston-based oil company is part owner in the Macondo well that blew out on April 20 and has sent millions of gallons of oil into the sea. Spokesman John Christiansen said Friday that Anadarko informed BP of its intention to withhold payment for the bill BP sent it in early June.
So far, BP has paid more than $3 billion to deal with the spill. According to a joint-operating agreement, Anadarko is on the hook for a quarter of the costs, so BP could be sending more bills. Anadarko claims it shouldn't be held responsible because it believes BP was reckless in the drilling operation.
Copyright © 2010 The Associated Press. All rights reserved.

[don]

Re: Anadarko: The oil spill is none of our business.

[Slimprofits]

Re: Anadarko: The oil spill is none of our business.

http://online.wsj.com/article/BT-CO-...09-707704.html

"We have notified BP that we are withholding reimbursement to BP at this time," Anadarko's spokesman John Christiansen said in an emailed statement. Anadarko, however, said it is working with BP "in good faith," to try to reach a resolution.

Anadarko, which owns a 25% interest in the BP-operated Macondo well that has been spewing oil into the Gulf for almost three months, received in early June a bill from BP for part of the spill expenses. Also that month, Anadarko Chief Executive Jim Hackett called the oil spill in the Gulf of Mexico "preventable and the direct result of BP's reckless decision and actions," allegations that BP rejected.

The Houston-based company has said its operating agreement with BP for development of the Macondo well contains a clause that could limit Anadarko's liability if misconduct or gross negligence of the operator, BP, is proved.

[GRG55]

Re: Anadarko: The oil spill is none of our business.

http://online.wsj.com/article/BT-CO-...09-707704.html

"We have notified BP that we are withholding reimbursement to BP at this time," Anadarko's spokesman John Christiansen said in an emailed statement. Anadarko, however, said it is working with BP "in good faith," to try to reach a resolution.

Anadarko, which owns a 25% interest in the BP-operated Macondo well that has been spewing oil into the Gulf for almost three months, received in early June a bill from BP for part of the spill expenses. Also that month, Anadarko Chief Executive Jim Hackett called the oil spill in the Gulf of Mexico "preventable and the direct result of BP's reckless decision and actions," allegations that BP rejected.

The Houston-based company has said its operating agreement with BP for development of the Macondo well contains a clause that could limit Anadarko's liability if misconduct or gross negligence of the operator, BP, is proved.

The lawyers are now in control. Anadarko's public statements are coming directly from its Law Dept. Anadarko participated in the well and signed the AFE [Appropriation for Expenditure]. On a well this costly that never happens without all of the partners signing off on the drilling plan. Anadarko's technical people [who are among the best in the world btw] would have gone over every single aspect of how the well was to be drilled and cased before Anadarko management signed off on its share of the expenditure. Hackett's public statements are driven by the lawyers fears of its share of the mounting liabilities. Unlike BP, Anadarko does not have the balance sheet to keep Obama and Co. happy...

My prediction is that demonstrating that BP was grossly negligent will fall somewhere between extremely difficult to impossible [all the bullshit being promulgated in the media notwithstanding]...

[mooncliff]

Re: Anadarko: The oil spill is none of our business.

Now that the divorce is final between Matt Simmons and the boutique investment bank he took public in 1974, the outspoken energy guru is free to pursue his latest passion — offshore wind.
His exit from Simmons & Co. followed a prediction published in Fortune that by mid-July BP Plc would realize the severity of the Gulf of Mexico disaster and the associated clean-up costs, panic and file for Chapter 11.
http://houston.bizjournals.com/houst...12/story1.html

Offshore wind
http://www.newscientist.com/article/...tand-tall.html

[touchring]

Re: Anadarko: The oil spill is none of our business.

The lawyers are now in control. Anadarko's public statements are coming directly from its Law Dept. Anadarko participated in the well and signed the AFE [Appropriation for Expenditure]. On a well this costly that never happens without all of the partners signing off on the drilling plan. Anadarko's technical people [who are among the best in the world btw] would have gone over every single aspect of how the well was to be drilled and cased before Anadarko management signed off on its share of the expenditure. Hackett's public statements are driven by the lawyers fears of its share of the mounting liabilities. Unlike BP, Anadarko does not have the balance sheet to keep Obama and Co. happy...

My prediction is that demonstrating that BP was grossly negligent will fall somewhere between extremely difficult to impossible [all the bullshit being promulgated in the media notwithstanding]...

A death sentence felon will always declare innocence and try to have his case re-trialed until the last moment.

Would you think that Anadarko CEO wouldn't know that they have a losing case? It is because they know they are lost, and cannot escape ultimate liability, and with that liability they know Anadarko will probably not survive, that is why they will deny responsibility right from the start.

By dragging the case through the courts, Andarko management can collect a few more years of their million dollar pay. Andarko stockholders are scrwed.

[GRG55]

Re: Anadarko: The oil spill is none of our business.

Now that the divorce is final between Matt Simmons and the boutique investment bank he took public in 1974, the outspoken energy guru is free to pursue his latest passion — offshore wind.
His exit from Simmons & Co. followed a prediction published in Fortune that by mid-July BP Plc would realize the severity of the Gulf of Mexico disaster and the associated clean-up costs, panic and file for Chapter 11.
http://houston.bizjournals.com/houst...12/story1.html

Offshore wind
http://www.newscientist.com/article/...tand-tall.html

Matt Simmons is no fool. Having ridden first the 1970s energy boom and then the 25 year FIRE economy cycle as an investment banker, he's probably figured out the FIRE is dying and time to find the new government sponsored bubble sector...alt energy. Now where have we heard that before?

[VIT]

Re: Anadarko: The oil spill is none of our business.

The lawyers are now in control. Anadarko's public statements are coming directly from its Law Dept. Anadarko participated in the well and signed the AFE [Appropriation for Expenditure]. On a well this costly that never happens without all of the partners signing off on the drilling plan. Anadarko's technical people [who are among the best in the world btw] would have gone over every single aspect of how the well was to be drilled and cased before Anadarko management signed off on its share of the expenditure. Hackett's public statements are driven by the lawyers fears of its share of the mounting liabilities. Unlike BP, Anadarko does not have the balance sheet to keep Obama and Co. happy...

My prediction is that demonstrating that BP was grossly negligent will fall somewhere between extremely difficult to impossible [all the bullshit being promulgated in the media notwithstanding]...

Not so simple. Although they signed AFE this well for sure was not going according to plan so BP were making some decisions on spot which were not in original plan. It is possbile BP did not inform partners on all smaller decisions and problems they had, plus no personnel from partners was on the rig so they did not have ability to control. In addition when you are in drilling mode partners usually have very little control on operations and even if they are disagree operator has final word on how to do certain things.

[Starving Steve]

Re: Anadarko: The oil spill is none of our business.

More of the story is coming out: THE EPA WOULD NOT ALLOW BP TO SKIM THE OIL OFF OF THE WATERS oF THE GULF oF MEXICO WITHOUT EVERY LAST DROP OF OIL BEING RECOVERED. FEDERAL LAW IN THE U.S. FORBIDS EFFLUENT FROM THE SKIMMER SHIPS TO CONTAIN ONE DROP OF OIL. SO BP's HANDS WERE TIED BY FEDERAL LAW.

Apparently, BP could have had this mess under control and in the final clean-up stages long ago, but the tort lawyers and the EPA have control of this clean-up effort. Also, the President Obama could have issued an Executive Order from the White House allowing BP to use skimmer ships to skim 95% of the oil water from the Gulf of Mexico, with each pass of each skimmer-ship, but Obama apparently chose to let the law about oil in effluent water from ships to be strictly interpreted. He apparently chose not to issue an Executive Order to allow the skimmer- ships to clean-up most all of the oil, so apparently Obama chose to play politics with this oil spill and to pander to the Sierra Club and Greenpeace.

Whatever the story is, let history record exactly what is happening now and why: the radical environmentalists on the West Coast set the agenda in the Obama Administration. The radical environmentalists are in the Obama constituency, and they do not want oil-drilling anywhere. They are anti-oil, anti-fossil fuels, and anti-BP.

(Disclosure for the record: I hold 200 shares of BP. )

[GRG55]

Re: Anadarko: The oil spill is none of our business.

Not so simple. Although they signed AFE this well for sure was not going according to plan so BP were making some decisions on spot which were not in original plan. It is possbile BP did not inform partners on all smaller decisions and problems they had, plus no personnel from partners was on the rig so they did not have ability to control. In addition when you are in drilling mode partners usually have very little control on operations and even if they are disagree operator has final word on how to do certain things.

All prefectly predictable situations [and not that unusual for a drilling operation], but you can be assured all of that was covered in the joint operating agreement. Once again, I seriously, seriously doubt that Anadarko, or anyone else, will be able to demonstrate that BP was grossly negligent...

[VIT]

Re: Anadarko: The oil spill is none of our business.

All prefectly predictable situations [and not that unusual for a drilling operation], but you can be assured all of that was covered in the joint operating agreement. Once again, I seriously, seriously doubt that Anadarko, or anyone else, will be able to demonstrate that BP was grossly negligent...

They will just wait until somebody else will do this job. I think they have good chances, although it will be fair if they pay their share only for relief wells.

[GRG55]

Re: Anadarko: The oil spill is none of our business.

BP's management public relations ability is complete crap...as is typical of all major oil companies.

The technical team [which consists of not just BP people, but seconded specialists from across the industry] working on this since the beginning is excellent [although you wouldn't know that from all the media reports]. Now that they have the high pressure riser flange clear [as of early this morning], with some good luck they should be able to make a secure connection onto the wellhead and if not shut off the flow completely, at least throttle it significantly while containing all of the well effluent.

Agree that the lawyers are going to make money for years and decades to come off this mess, but it's not in their interests to have that gravy train come to an end too quickly...so nobody is going to prove BP grossly negligent any time soon...and not likely ever.

[Verrocchio]

Re: Anadarko: The oil spill is none of our business.

More of the story is coming out: THE EPA WOULD NOT ALLOW BP TO SKIM THE OIL OFF OF THE WATERS oF THE GULF oF MEXICO WITHOUT EVERY LAST DROP OF OIL BEING RECOVERED. FEDERAL LAW IN THE U.S. FORBIDS EFFLUENT FROM THE SKIMMER SHIPS TO CONTAIN ONE DROP OF OIL. SO BP's HANDS WERE TIED BY FEDERAL LAW.

Apparently, BP could have had this mess under control and in the final clean-up stages long ago, but the tort lawyers and the EPA have control of this clean-up effort. Also, the President Obama could have issued an Executive Order from the White House allowing BP to use skimmer ships to skim 95% of the oil water from the Gulf of Mexico, with each pass of each skimmer-ship, but Obama apparently chose to let the law about oil in effluent water from ships to be strictly interpreted. He apparently chose not to issue an Executive Order to allow the skimmer- ships to clean-up most all of the oil, so apparently Obama chose to play politics with this oil spill and to pander to the Sierra Club and Greenpeace.

Whatever the story is, let history record exactly what is happening now and why: the radical environmentalists on the West Coast set the agenda in the Obama Administration. The radical environmentalists are in the Obama constituency, and they do not want oil-drilling anywhere. They are anti-oil, anti-fossil fuels, and anti-BP.

(Disclosure for the record: I hold 200 shares of BP. )

SS, this is surprising news! Could you provide a source for this revelation?

[WildspitzE]

Re: Anadarko: The oil spill is none of our business.

Could you provide a source for this revelation?

+1

[GRG55]

Re: Anadarko: The oil spill is none of our business.

http://www.google.com/hostednews/ap/...Y40CwD9GRK7303

BP Said to Be in Talks to Sell Oil Assets to Apache

July 11, 2010, 9:05 PM EDT

July 11 (Bloomberg) -- BP Plc, seeking funds to pay for the biggest U.S. oil spill in history, is in talks to sell some assets including its Alaska oil fields to Apache Corp., two people familiar with the discussions said.

Apache, the largest independent U.S. oil company by market value, is negotiating for assets that include a share in BP’s Alaska business, for a price of less than $12 billion, according to one of the people, who asked not to be identified because the discussions aren’t public...

...Apache paid $1.3 billion in 2003 for BP assets in the Gulf of Mexico and the North Sea. The company last month completed the $1.05 billion purchase of Gulf assets from Devon Energy Corp.

BP owns a 26 percent share in the Prudhoe Bay and neighboring fields in Alaska with Exxon Mobil Corp., ConocoPhillips and Chevron Corp. Prudhoe Bay field, the largest field in the U.S., came online in 1977 and can produce about 400,000 barrels of oil a day.

The field is averaging 234,772 barrels a day this month, according to Alaska state tax records. Its production is declining 10 percent a year, according to BP’s website...

...BP also is considering selling oil and natural gas fields in Colombia, Venezuela and Vietnam, a person with knowledge of the matter said earlier this month. The company may dispose of its 60 percent holding in Pan American Energy LLC, Argentina’s second-largest oil producer, the person said, declining to be identified because the information is confidential...