Cameron Reaches Agreement With BP

BP is to indemnify Cameron for current and future compensatory claims against Cameron associated with the Deepwater Horizon incident, according to an agreement reached in December 2011. Cameron has agreed to pay USD250 million to BP, and both parties have agreed to mutually release claims against each other. BP will indemnify Cameron for damage claims arising under the Oil Pollution Act, claims for natural resource damages and associated damage-assessment costs, and other claims arising from third parties. 

 

Cameron Chairman and CEO, Jack Moore, said that this agreement removes uncertainty facing Cameron in the litigation associated with the Deepwater Horizon event. The company's insurers are expected to fund not less than USD170 million of this agreement.  Cameron expects to take a charge in the fourth quarter for any amounts not covered by insurance.

 

Cameron is a provider of flow equipment products, systems and services to worldwide oil, gas and process industries.