BP oil spill is ‘dead’
US authorities have finally declared that the Macendo well off the Gulf Coast is ‘effectively dead. This concludes one of the most devastating oil crises in living memory and puts an end to a 5 million barrel oil leak.
US president Barack Obama hailed the news as a milestone in the government’s response to the oil spill, however he reiterated that it would take a great deal of time for the Gulf of Mexico to recover from the disaster. No further oil has flowed into the Gulf since July 15, the day that BP finally managed to seal a cap at the top of the well. There is still a limited amount of oil remaining on the coasts of Mississippi, Alabama and Florida and the US government reports that significant patches of oil remain on many Louisiana beaches and wetlands.
Meanwhile, BP is currently waiting to find out whether it will be found guilty for gross negligence; if it is then there are likely to be substantial penalties for the company. Compared to before the oil spill on April 20, the company’s shares are about 4 percent lower, which has lead to a loss of $75 billion dollars from its market capitalisation. The stoppage is however good news for red diesel suppliers.
At present, around 25,000 people are continuing to work on the oil response and there is a 40,000 square mile area along the Gulf of Mexico that continues to be closed to fishing, half of which was closed completely during the peak of the crisis. Many local businesses suffered from falls in customers as tourism to the region decreased dramatically in the summer vacation period.
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