BP says Gulf oil spill costs reach 1.25 billion dollars

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British oil giant BP said Monday it had already spent 1.25 billion dollars on efforts to contain the Gulf of Mexico oil spill.

The company also said in a statement that a cap fitted on a leaking pipe a mile (1,600 metres) down on the sea bed had allowed it to collect 10,500 barrels of oil and bring it to the surface on Saturday.

Between June 3 and June 5 BP used the cap to collect a total of 16,600 barrels, the statement added.

The firm said the estimated cost of 1.25 billion dollars did not include 360 million dollars earmarked for the construction of artificial barrier islands between the leak and the Louisiana coastline.

The firm also said that it was hoping to capture a larger proportion of the leaking oil in time and that it would be a few days before it could evaluate the success of the new cap procedure.

It added that it was too early to estimate the full financial cost of the disaster caused by the explosion in late April of the Deepwater Horizon oil platform in which 11 workers died.

© 2010 AFP

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