This website uses cookies to ensure you have the best experience. Learn more

Bp & Deepwater Horizon Essay

1331 words - 6 pages

BP & Deepwater Horizon
C. Nelson
BP & Deepwater Horizon

Every business, in some way, is affected by public and private criticism. One industry that is never too far away from criticism is the oil and gas industry. Over the course of this essay, we will explore BP, its stakeholders, some of their criticisms, and BP’s response to those criticisms.
BP, formerly British Petroleum, is the fourth largest oil and gas companies in the world in terms of revenue and sixth based on production. (Statista, 2015) (Forbes, 2015) Although BP doesn’t have an official mission statement, the company does have a few statements entitled “Our Values”, “Clear ...view middle of the document...

As most remember, this 2010 disaster occurred as a result of fire and explosion aboard the Deepwater Horizon oil drilling platform in the Gulf of Mexico. Although the platform was owned and operated by offshore drilling contractor Transocean Limited, this event has become widely known as the BP oil spill. According to Natural Resource Damage Assessment (2012), nearly 172 million gallons of oil was released into the Gulf over the 87 days the well was allowed to flow. As a result of this disaster, many natural resources, communities, and people were affected. Some of the stakeholders that were affected included communities, governments, non-governmental organizations, shareholders, others in the oil industry and contractors.
Shortly after the news of the oil spill had been published, the United States government was quick to respond. President Barack Obama issued a statement setting a moratorium on new offshore oil drilling in U.S. waters and directing the Secretary of the Interior to report on any steps needed to prevent other leaks similar to the Deepwater Horizon incident. (Johnston & Nichols, 2010) According to the press statement made by President Obama (2010), the government was responded to the disaster utilizing the resources they had but the ultimate responsibility would lie with BP under U.S. law.
Another stakeholder was representation from the oil and gas industry. The American Petroleum Institute and other industry leaders created the independent Center for Offshore Safety. According to then-API President Jack Gerard, “the center will ‘promote the highest level of safety for offshore operations, through an effective program that addresses management practices, communication and teamwork.’” (Fowler & Dlouhy, 2011) According to a report by Angel Gonzalez in The Wall Street Journal (2010), “Four of the world’s largest oil companies are creating a strike force to stanch oil spills in the deep waters of the Gulf of Mexico in a billion dollar bid…” As we can tell, the oil and gas industry tried to mediate the impact this disaster had on their industry.
The broadest criticism had come from the general public. Recapping the events, there were calls for boycotts of BP, petitions, and protests. These actions led to declined sales for that period between 10 and 40 percent. (Weber, 2010) The ramification of this disaster is still in the minds of many Americans.
The aftermath of the Deepwater Horizon oil spill had ultimately negatively affected the image and opinion of BP. In light of this, BP apologized in a statement (n.d.) saying “We regret the impacts on the environment and livelihoods of those in the communities affected.” They continue, “We have, and continue to, put in place measures to help ensure it does not happen again.” BP, along with the U.S. government, took on the responsibility for cleanup and compensate those affected by the accident. Combined costs arising out of cleanup, legal and...

Other Papers Like Bp & Deepwater Horizon

Offshore Drilling Essay

2720 words - 11 pages ” (qtd. in Billitteri 573). Indeed, oil spill is not common, but that is not the reason we shouldn’t care about it. The nuclear power plant incident in Chernobyl, Ukraine, is the only nuclear power plant explosion in the history ever, but nobody wants that happen again. The Deepwater Horizon incident shows us that currently we don’t have an effective method to control oil spill quickly. Since the beginning of the oil spill, BP has tried several

Did Bp's Ethical Culture Contribute to Gulf Coast Oil Spill Disaster?

581 words - 3 pages safety on deep sea drilling rigs in the Gulf of Mexico were on Transocean drilling rigs and BP were their biggest client. Therefore it was BP’s responsibility to ensure that appropriate precautions were taken to prevent a disaster. BP was accused of willful negligence. A technician on the Deepwater Horizon oil rig claimed that Bp had knowledge that the rig’s oil preventer was leaking weeks before the explosion, but did not halt production. If

Bp Oil Spill

2293 words - 10 pages ventilation system which then created a potential for ignition, which was suppose to have been prevented by the rig’s fire and gas system. ( Durando. Jessica, 2011) Anadarko Petroleum is considered as one of the largest independent oil and natural exploration and production companies in the world. Anadarko Petroleum is partner with BP on the Deepwater Horizon Oil rig in the Gulf of Mexico. Although Anadarko Petroleum owns a quarter of the damage well

Situation Analysis and Strategic Recommendations of Bp After Oil Spill Disaster in Usa

3997 words - 16 pages , accessed 05th December 2012. National commission on BP Deep Water Horizon Oil Spill Offshore Drilling (2011) Retrieved 26th December 2012. The White House, Deep Water BP Oil spill, (2010) Accessed 4th January 2013. BBC News (2012) Q&A: Iran Sanction, 16th October, retrieved 2th

British Petroleum Deepwater Horizon

2701 words - 11 pages July 15th, 2010(British Petroleum [BP], n.d., para. 3). This accident remains under investigation but the initial research suggest that not only mechanical failure but also irresponsible and unethical behavior contributed to the causes of the Deepwater Horizon spill. It should be noted that British Petroleum claims to be committed to responsible oil production but continues to be cited by government agencies for failure to comply with safety

Gulf of Mexico Oil Spill and Bp Environmental Cleanup

5264 words - 22 pages . After two days the Deepwater Horizon Rig sank the entire platform. BP deployed robots to trigger the blow out preventers and this process fails. Underwater video was sent down to observe damages and showed that the flow rate was at one thousand barrels of oil per day. Over a course of time this figure more than doubled. During this ordeal BP reports a rise in profits. BP at this point becomes an investigative target of the government. Each

Alumina And Bp

1796 words - 8 pages injury and be proven to be the cause of that injury (Chesseman, 2010). In the Deepwater Horizon explosion injury was clearly caused; 11 employees lost their lives wrongfully that day “Wrongful Death” occurs when someone’s life is taken at no fault of their own but by legal fault of another (Goguen, 2012). Others were severely injured; residents still are dealing with the aftermath of this incident BP was supposed to protect employees and

Bp Oil Spill Issue

2712 words - 11 pages , BP is ranked on the FORTUNE as the first five global top 500 companies. Deepwater horizon oil spill and deepwater horizon explosion On 20th April, 2010, the Gulf of Mexico suffered a lot from a great catastrophe of oil spill. The drilling platform of the British Petroleum Corporation exploded in the deepwater horizon in the Gulf of Mexico which led to 11 workers death and very severe environment pollution. This event is regarded as the most

Climate Change: Corporate Social Responsibility

2658 words - 11 pages the philanthropic rule when they give decision-making but also impact on behaviour of BP’s employees. According to annual report of BP in 2009, they also design regulation to make sure that all workers obey lawful prerequisite and their own criterion. 4. Report about disaster: a. Disaster: On 20 April 2010, the tremendous disaster which happened in the Gulf of Mexico is the Deepwater Horizon oil spill. Its desolation not only ravage the

Bp and the Gulf of Mexico Oil Spill

791 words - 4 pages Mexico Oil Spill crisis resulted in destruction of lives, several properties and huge economic losses due to the inability to put in place safety precautions before carrying out the Deepwater Horizon rig. So, the CEO of BP should choose his words right to deliver to the President and the public and also the US Congress as he is the spokesperson for BP and they should join forces to fix the problem using the appropriate communication model.

Bp Oil Spill

3345 words - 14 pages their company culture. The cycle of errors came to a complete pause, on the evening of April 20, 2010 when a “serious of explosions rocked the Deepwater Horizon, a mobile offshore drilling rig operated by BP in the Gulf of Mexico” according to (Roberto Pg.1) and one that saw a serious of catastrophically events, that would change the lives of many. That fateful night under the cover of darkness, eleven people died and several other encountered

Related Essays

System Oriented Theory Analysis With Bp Company

991 words - 4 pages occurred on the Deepwater Horizon oil rig working on the Macondo exploration well for BP in the Gulf of Mexico. After the initial explosions, the blowout preventer’s emergency functions failed to seal the well, allowing the leak to occur. During this serious accident.11 of people dead and also have some numbers injured. After this happened, over the whole year, BP has done a series of works try to fix the problem they respond swiftly to

Deepwater Horizon Essay

2450 words - 10 pages The Deepwater Horizon oil spill in the Gulf of Mexico is as tragic as it was avoidable. It is the largest marine oil spill in history resulting in 205.8 million gallons (4.9 million barrels) of oil leaked from the Macondo oil field well that was developed by BP. The oil that leaked from this well contaminated over 665 miles of United States coastline, and caused massive damage along the gulf coastline to a variety of environments: environmental

Using Teams In Production And Operations Management

1786 words - 8 pages across the nation. In April of 2010 a BP oil rig experienced a gas leak which subsequently lead to an explosion in the Gulf of Mexico (BP Oil Spill, 1996-2012). The tragic Deepwater Horizon oil spill in the Gulf raised awareness and consciousness of the detrimental effects of hazardous fuel secretions into natural water supplies. It had an adverse effect on those who lived there in regards to water, food, fuel and overall economic stability

Case Study Analysis

1156 words - 5 pages (Deepwater Horizon) leased by British Petroleum (BP) ignited and exploded spewing 42,000 gallons of oil a day into the Gulf. Two days later the rig sank increasing the spill rate to 210,000 gallons of oil a day. Analysis – Government intervention The U.S. Government named BP as the responsible party in the incident; BP was found negligent in communication and safety practices, the company was held accountable for all cleanup costs resulting from the