UK Energy Minister Chris Huhne has told Parliament the US administration is satisfied oil giant BP is “doing everything asked of it” in its effort to combat the Gulf of Mexico spill.
In a statement to the House of Commons, Cabinet Minister Huhne said the size of the leak was now the equivalent of the total spillage from the Exxon Valdez escaping into the sea each week.
And responding to the groundswell of anti-UK sentiment in the United States, Huhne said Prime Minister David Cameron had been reassured by President Obama that “he has no interest in undermining BP’s value and that frustrations in America have nothing to do with national identity”.
In his speech, the Energy Minister, said: “There has never been such a large leak of oil so deep in the sea.
“In recent days, more than 15,000 barrels a day of oil has been recovered. However it is also now thought that the leak is worse than previously thought. The US Government’s estimate of the daily flow of the leak is now 35,000-40,000 barrels per day.
“BP hope to be able to increase significantly the amount of oil it is capturing, but very large quantities of oil continue to be released into the sea.”
Huhne also revealed that the leak will not be fully sealed until August at the earliest, when the first relief well which BP is currently drilling should enable the original well to be plugged.
After paying tribute to the thousands involved in the clean-up operation under the direction of US Coastguard Admiral Thad Allen, Huhne added: “We understand and sympathise with the US Government’s frustration that oil continues to leak at the rate that it does. To appreciate the scale of this environmental disaster, each week a quantity of oil equivalent to the total spillage from the Exxon Valdez is escaping into the sea.
“The US administration has said that BP is doing everything asked of it in the effort to combat the spill. We of course look to the company to continue in this and will do everything we can to help. The key priority must be stopping the environmental damage. In their phone conversation at the weekend President Obama reassured the Prime Minister that he has no interest in undermining BP’s value and that frustrations in America have nothing to do with national identity.
“We have offered the US authorities dispersant chemicals, and will respond quickly and sympathetically to any request from US authorities for help.”
Showing support for BP, the Energy Minister, added: “It is hugely regrettable that the company’s technical efforts to stop the spill have, to date, been only partially successful. But I acknowledge the company for its strong public commitment to stand by its obligation, to halt the spill, and to provide remedy and payment of all legitimate claims.
“As BP’s chairman has said, these are critical tasks for BP must complete in order to rebuild trust in the company as a long term member of the business community in the United States, in Great Britain and around the world.
“BP remains a strong company. Although its share price has fallen sharply since April, the company has the financial resources to put right the damage. It has exceptionally strong cash flow, and will continue to be a major employer and vital investor here and in the United States. In many ways, BP is effectively an Anglo-American company with 39 per cent of its shares owned in the US against 40 per cent in the UK.”
Concluding his statement, Huhne told the House: “Coupled with the impact of high-carbon consumption this highlights yet again the importance of improving the energy efficiency of our economy and the expansion of low-carbon technologies.
“We must and will learn the lessons of these terrible events.”
Post a comment