Business

$US2.35 billion now spent by BP in Gulf

06:11 am on 26 June 2010

BP has spent about $US2.35 billion so far in response to the oil leak in the Gulf of Mexico.

In a statement, BP said the amount covered containment of the leak, relief well drilling, as well as compensation payments and federal costs.

However, the total costs, including compensation claims, are expected to be much higher.

The company is under intense pressure from Washington over its handling of the crisis.

Meanwhile, BP shares fell further on Friday amid speculation that the company may have to seek extra funds to pay for the costs of the disaster.

Shares were down by 7% at one stage, hitting a 14-year low.

Drilling of relief wells, designed to stop the leak, is continuing. But the BBC reports the first well is not due to be completed until early August.

The leak began after an explosion and fire on the Deepwater Explorer drilling rig on 20 April. The rig sank two days later.