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Share Price: 510.40
Bid: 509.40
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Change: -5.40 (-1.05%)
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Open: 516.30
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First BP trial witness says company put cost cuts over safety

Tue, 26th Feb 2013 16:53

By Kristen Hays

NEW ORLEANS, Feb 26 (Reuters) - BP Plc fostered aculture that put cost-cutting over safety before the deadly 2010Gulf of Mexico oil spill, a noted forensic engineer said in thefirst day of testimony in the federal civil trial centered onthe disaster.

"There is ample evidence of intense pressure within thesystem to save time and money," said Bob Bea, co-founder of theCenter for Catastrophic Risk Management at the University ofCalifornia, Berkeley. "With stress and pressure come sacrificesto safety."

Bea was the first witness for the plaintiffs, the U.S.Justice Department and U.S. Gulf Coast states suing well ownerBP, rig owner Transocean Ltd and well cement providerHalliburton Co.

The plaintiffs plan to call Lamar McKay, chairman andpresident of BP America, to testify as a hostile witness onceBea wraps up. McKay is a member of the London-based oilcompany's executive committee, alongside Chief Executive OfficerBob Dudley.

Bea consulted with the White House commission thatinvestigated the spill and prepared a report faulting BP for theplaintiffs in the case. He also had consulted with BP on riskmanagement prior to 2005.

He said BP cut its Gulf of Mexico costs by 22 percent from2008 to 2009 while increasing oil and gas output by 55 percent.

Bea said during questioning by Robert Cunningham, a lawyerfor the plaintiffs, that he had told BP that "money isn'teverything" and that incentives for major accident preventionshould be on equal footing with incentives for profits.

"It's a culture of every dollar counts," Bea said.

He had yet to be cross-examined by BP lawyer Mike Brock.

The April 2010 blowout caused an explosion that killed 11men, sank a rig and spewed more than 4 million barrels of crudeoil into the Gulf.

Well-known in New Orleans, the site of the trial, Bea was akey witness in litigation over failed levees when HurricaneKatrina hit in 2005, flooding much of the city and leaving morethan 1,800 people dead.

The nonjury trial before U.S. District Judge Carl Barbier issplit into three phases, with the first focused on allocatingblame among the defendants and the severity of their negligence.

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6 Feb 2024 12:10

LONDON MARKET MIDDAY: BP tops FTSE 100 index on buyback promise

(Alliance News) - The FTSE 100 was higher at midday Tuesday, despite lingering unease in equity markets on US interest rate worries, while BP led the way among London's large-caps as it announced a buyback plan.

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6 Feb 2024 09:04

TOP NEWS: BP promises buybacks and hikes dividend despite profit fall

(Alliance News) - BP PLC on Tuesday reaffirmed it is sticking to its commitment to share buybacks despite reporting a profit decline amid a fall in oil prices.

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6 Feb 2024 08:53

LONDON MARKET OPEN: BP jumps after unveiling share buyback

(Alliance News) - The FTSE 100 in London opened higher on Tuesday, with oil major BP at the top of the index, thanks to its new share buyback programme.

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6 Feb 2024 07:47

LONDON BRIEFING: BP promises buyback despite drop in profit

(Alliance News) - Stocks in London are called to open higher, ahead of a slew of construction purchasing managers' index readings from the eurozone, the UK and Germany.

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6 Feb 2024 07:02

BP unveils $1.75bn buyback as 2023 profits halve on weaker oil price

(Sharecast News) - Shares in BP surged on Tuesday as the energy giant announced a $1.75bn share buyback despite a slump in annual profits as oil prices fell during 2023 from the spike caused by Russia's invasion of Ukraine.

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2 Feb 2024 17:12

LONDON MARKET CLOSE: Stocks mixed as US jobs data dashes rate cut hope

(Alliance News) - Stock prices in London closed mixed, after hotter-than-expected US jobs data hit already precarious investor sentiment and all but ensured the Federal Reserve will not be cutting interest rates next month.

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2 Feb 2024 13:14

BP appoints Kate Thomson as its permanent finance chief

(Sharecast News) - BP announced the appointment of Kate Thomson as its new, permanent chief financial officer on Friday, effective immediately.

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2 Feb 2024 12:27

TOP NEWS: BP promotes Kate Thomson as permanent finance chief

(Alliance News) - BP PLC on Friday named Kate Thomson as its permanent chief financial officer, after being in the interim role since September.

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2 Feb 2024 12:09

LONDON MARKET MIDDAY: Airlines up but oil falls on Middle East talks

(Alliance News) - Stock prices in London were higher at midday Friday, ahead of the afternoon's US jobs data, as earnings from tech behemoths overnight lifted investor morale.

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2 Feb 2024 08:54

LONDON MARKET OPEN: European stocks lifted on Wall Street's gains

(Alliance News) - Stock prices in London opened higher on Friday, closing of a busy week of monetary policy decisions.

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1 Feb 2024 17:03

LONDON MARKET CLOSE: Stocks down on hawkish BoE interest rates hold

(Alliance News) - Stock prices in London closed down on Thursday after the Bank of England left interest rates on hold in a split decision that was hawkish on expectations of rate cuts.

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1 Feb 2024 12:22

LONDON MARKET MIDDAY: BoE keeps bank rate on hold in split decision

(Alliance News) - London's FTSE 100 was on the up on Thursday afternoon after the Bank of England left interest rates on hold on Thursday, in a split decision.

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1 Feb 2024 10:06

New UK oil and gas exploration licences approved in the North Sea

(Alliance News) - The UK's oil and gas regulator has awarded 24 new exploration licences to 17 separate companies in a move that has been welcomed by a trade body but condemned by climate campaigners.

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1 Feb 2024 08:50

LONDON MARKET OPEN: Shells begins USD3.5 billion buyback; eyes on BoE

(Alliance News) - Stock prices in London opened mixed, ahead of the Bank of England's first interest rate decision of the year.

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30 Jan 2024 15:28

UK earnings, trading statements calendar - next 7 days

Wednesday 31 January 
Aberforth Smaller Companies Trust PLCFull Year Results
abrdn Private Equity Opportunities Trust PLCFull Year Results
Ecora Resources PLCTrading Statement
GSK PLCFull Year Results
ITM Power PLCHalf Year Results
NWF Group PLCHalf Year Results
Thursday 1 February 
Airtel Africa PLCTrading Statement
AG Barr PLCTrading Statement
BT Group PLCTrading Statement
Cranswick PLCTrading Statement
Gem Diamonds LtdTrading Statement
Glencore PLCTrading Statement
JTC PLCTrading Statement
Rank Group PLCHalf Year Results
Shell PLCFull Year Results
TClarke PLCTrading Statement
Friday 2 February 
YouGov PLCTrading Statement
Monday 5 February 
Home REIT PLCTrading Statement
Porvair PLCFull Year Results
Trident Royalties PLCTrading Statement
Vodafone Group PLCTrading Statement
Tuesday 6 February 
Alumasc Group PLCHalf Year Results
BP PLCFull Year Results
Filtronic PLCHalf Year Results
Mattioli Woods PLCHalf Year Results
Renishaw PLCHalf Year Results
Virgin Money UK PLCTrading Statement
  
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A full 21-day events calendar is provided each day with a subscription to Alliance News UK Professional.
  
Copyright 2024 Alliance News Ltd. All Rights Reserved.

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