Anadarko Petroleum Blames BP's Reckless Actions For Oil Spill

18th Jun 2010 22:54

DOW JONES NEWSWIRES Anadarko Petroleum Corp. (APC) on Friday called the oil spill in the Gulf of Mexico "preventable and the direct result of BP's reckless decisions and actions." BP PLC (BP, BP.LN) operated the Deepwater Horizon well that exploded in April, resulting in the deaths of 11 people and the worst environmental disaster in the Gulf of Mexico. Anadarko is one of the co-owners of the lease where the well was drilled. In a statement, Anadarko Chairman and Chief Executive Jim Hackett said recently disclosed information and testimony before Congress this week "indicates BP operated unsafely and failed to monitor and react to several critical warning signs during the drilling" of the well. "BP's behavior and actions likely represent gross negligence or willful misconduct and thus affect the obligations of the parties under the operating agreement," he added. BP didn't immediately return a call for comment. Anadarko's statement comes one day after BP Chief Executive Tony Hayward said before a congressional committee that its minority partners in the well--Anadarko and Mitsui Oil Exploration Co.--were also responsible parties. Although there was some finger-pointing between BP and service companies working for it at the time of the explosion--Transocean Ltd. (RIG) and Halliburton Co. (HAL)--this is the first time Anadarko publicly criticized its partner in the well. The statement's strong language marks a growing rift between BP, which operated the field, and its partners, as well as the rest of the oil industry. Earlier this week, the top executives of Chevron Corp. (CVX), Exxon Mobil Corp. (XOM) and Royal Dutch Shell PLC (RDSA) publicly distanced themselves from BP. Anadarko also said it will donate to charitable and civic agencies along the Gulf Coast any revenue it is entitled to receive from oil recovered from the cleanup efforts. In its statement, Anadarko pointed to the terms of the joint operating agreement related to the lease that say BP was required to drill the well "in a good and workmanlike manner" and to comply with all laws and regulations. The agreement also said BP is responsible to its co-owners for damages caused by its gross negligence or willful misconduct. "We recognize that ultimately we have obligations under federal law related to the oil spill, but will look to BP to continue to pay all legitimate claims as they have repeatedly stated that they will do," Hackett added. Anadarko's shares gained 2% to $43.50 in after-hours trading Friday. They were down 32% this year as of the market's close Friday. -By Kathy Shwiff, Dow Jones Newswires; 212-416-2357; [email protected] (Angel Gonzalez contributed to this article.) (END) Dow Jones Newswires June 18, 2010 17:54 ET (21:54 GMT)