The Deepwater Horizon Incident
- besociety
- Oct 3
- 4 min read
Updated: Nov 21
The Deepwater Horizon incident was an explosion on an oil rig 40 miles off the coast of Louisiana. This explosion occurred after equipment used to seal the oil well for later use wasn’t installed properly. This allowed a steep rise in natural gas to blast through the equipment, which led to the explosion. Over the next couple of days, the rig sank into the sea, releasing oil into the ocean. This was due to the failsafe to stop oil from leaking being broken when the natural gas rose through the pipe, leaving nothing to stop its flow. The US government stated that at its peak, 60,000 barrels of oil a day were released into the ocean. By the end of the incident, an estimated 4,900,000 barrels of oil had been released.
The main effects of the oil spill were marine environmental damage, reputational damage for BP, and an impact on the fishing industry along the Gulf of America. After nearly 5,000,000 barrels had been released, the spill had reached an estimated five states, contaminating over 1,000 miles of their coastline. In addition to killing thousands of animals and marine life, the oil also caused organ and reproductive failure, which was found in bottlenose dolphins, as the year after the incident the birth rate of the species dropped by 50%. Fishing communities along the coast were also affected. The spill led to the closure of more than 200,000 square miles of fishing area—nearly one-third of the total fishing area. This impacted the fishing industry by reducing revenue for businesses operating in these areas for several months, as the region experienced the lowest number of catches since the 1950s. The impact of the spill was not limited to those catching fish; factories processing fish from the Gulf region had to consider whether the fish had been contaminated by harmful materials in the water before selling them to consumers. BP’s reputation was severely affected by the spill; over the course of three months, the stock lost over half its value, dropping by 55%.
The response to the oil spill was undertaken quickly by several government agencies, such as the EPA and the National Response Team, as well as BP. The clean-up took years to complete, with Louisiana’s clean-up ending in 2014. However, the majority of the fishing area in the Gulf was deemed safe by October of that year. Despite a large area being fit for fishing, many individuals still suffered economically during those months. President Obama ordered BP to pay $20 billion in compensation packages. Along with $20 billion in fines, the estimated cost of BP having to clean up the Gulf approached $40 billion. In January 2011, the National Commission stated that although the equipment was installed by Halliburton, the largest contributing factor was the lack of government oversight under the Obama administration. However, a separate report published by the BOEMRE and the Coastguard in October ultimately put the blame on BP, stating that employees on the rig had ignored prior warnings about something being wrong, although they maintained that correct protocol had been followed. By the end of the incident, BP pled guilty to 14 criminal charges, paid over $4 billion in fines, and $350 million to the SEC for misleading shareholders.
Since the incident, there have been many changes in the way that oil rigs off the US coast operate. New legislation was passed by the government to ensure that a disaster like this does not happen again. An example of this is the splitting of the Mineral Management Service into two separate governing bodies. This was done to ensure there was no conflict of interest with a single body being responsible for both regulation and revenue collection from offshore drilling. Safety legislation was also passed, ensuring that drilling equipment is stronger and better designed.
In conclusion, the Deepwater Horizon catastrophe was an anomalous incident that led to the deaths of several BP workers, killed thousands of animals, and caused an ecological disaster for thousands of miles of American coastline. In addition to the ecosystem being damaged, local communities were affected as the oil spill prevented them from fishing, which was their main source of income. In response, BP was forced to pay a settlement of $20 billion, as well as additional fines. Since then, several legal requirements have been put in place by the US government to prevent a similar disaster, including improvements in the quality of drilling equipment and the splitting of government bodies to ensure there is no conflict of interest.
Written By: Finn Crowley
Position: Social Secretary
Date: 26/09/25
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