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Company Agrees To Pay BP $75M To Settle Claims

New Orleans, LA – BP PLC has settled out of court with one of the companies it contracted for work on the Deepwater Horizon rig before a deadly explosion killed 11 workers and spawned last year's massive Gulf oil spill.

The deal announced Monday calls for Weatherford U.S. LP to pay $75 million to BP in exchange for BP indemnifying Weatherford for certain claims related to the disaster, including those over pollution damage.

BP says it will apply the money to the $20 billion fund it created to compensate individuals and businesses in the aftermath of the oil spill.

Weatherford manufactured a device that was designed to help contain the cement at the bottom BP's blown-out well.

(Copyright 2011 by The Associated Press. All Rights Reserved.)

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