If you were the Coast Guard which would you pick as the lesser of two evils, having oil gushing from a broken oil well or using excessive oil dispersants to break down the massive amounts of oil that have already caused unimaginable damage to the marine life in the Gulf of Mexico?
It has not been more than a two weeks when BP was finally to able to do something to contain the oil that has been spilling in the Gulf. Now they are facing a whole new controversy – albeit still related to that oil spill.
This time, even the Coast Guard is being “implicated” for approving more than 74 exemptions to BP for the use of oil dispersants. According to reports, in one instance Coast Guard officials even allowed the oil giant to use a larger volume of dispersants than it had applied for.
The new documents released by a congressional subcommittee is bringing into question the validity of the total amount of dispersants used in the Gulf which BP says is 1.8 million gallons.
In as much as the controversy that BP has been facing for months, its CEO, Tony Hayward has been dealing with so much scrutiny on the way he handled the situation. The US government, especially the US congressmen were not happy with all his answers when we faced them on an energy and commerce hearing last month. They marked him as “stonewalling” questions and of “kicking the can [of responsibility] down the road”. He even released a statement that he wanted his life back and that the Gulf is a “big ocean” after the leak has happened.
BBC Business Editor, Robert Peston has quoted “If the moment has more or less arrived for BP to start building a post-Macondo future, then it also needs a new public face, a new leader” pertaining that it would be better for Hayward to step down from his position. A news report from BBC said that Mr. Hayward has been negotiating the terms of his exit, with a formal announcement likely within 24 hours.
Investors has feared that the presence of Hayward in the company would most likely bring difficulty for the company to rebuild its damaged reputation. Last week, when all these speculations of Hayward’s exit spread, the company has released a statement that he (Mr. Hayward) “remains our chief executive and has the full support of the board and senior management”. However, BP spokesperson didn’t press this issue at this time. Mr. Hayward has been in the company for 28 long years.
The person has been eyed to replace him is Bob Dudley, the one who took over the day-to-day operations in the Gulf of Mexico last month. He joined the board last April 2009. As to a lot of commentators, Dudley being an American and having the American accent would be advantageous. In addition, he grew up in Mississippi and, according to BP, has a “deep appreciation and affinity for the Gulf Coast”.
The company has been currently quantifying the loss that they got from this massive oil spill and has been expected to set aside $30bn (£19bn) for the costs of capping the well, compensation claims and fines. This would mean a massive loss of this quarter’s income. They are due to release its 2nd quarter results on Tuesday.
BP Oil Spill Live Feed Update: BP Placed New Oil Spill Cap to Stop Oil Spill – In an effort to permanently stop the oil spill from continuous leaking, BP placed a new 150,000 pound and 18-foot high oil spill cap.
According to BP, the new oil spill cap seen through the live cam of the BP Oil Spill live feed, will be able to capture more oil and also withstand the pressure of both leaking gas and oil. BP plans to test the cap’s susceptibility to pressure by shutting down specific valves and closely monitoring it for about 6 to 48 hours.
The new oil spill cap which was lowered last Sunday, July 11 as seen in the image above by remote control robots, replaced the old cap that was originally placed in the Top Hat solution implemented by BP last May. With this new oil spill solution, oil leak will be tremendously reduced thereby allowing BP to funnel the gushing oil into vessels stationed near the Deepwater Horizon oil rig to finally get it out of the waters. BP is also building two relief wells in order to permanently fix the oil spill problem. However, this well will not be operational until mid-August.