BP settlement finalised over 2010 Gulf oil spill

A $20.8bn settlement has been finalised by the US Department of Justice and five states over the 2010 Deepwater Horizon oil spill, Associated Press reported on Monday.

The deal ends five years of legal wrangling over the incident and resolves all civil claims.

AP reported it finalises an agreement which was first announced in July.

As part of the deal, BP will pay $5.5bn in Clean Water Act penalties and nearly $5bn to Alabama, Florida, Louisiana, Mississippi and Texas.

BP earlier settled with people and businesses harmed by the spill which AP reports resulted in $5.84 billion in payouts.

The Deepwater Horizon oil spill was worst oil spill in US history, with an estimated 3.19m barrels of oil leaking into the Gulf of Mexico between the explosion on 20 April, 2010 and the well being capped on 15 July – 87 days later.