It was the worst oil spill in US history and the settlement is the largest ever paid by a single company.
On April 20, 2010 the Deepwater Horizon spill began.
For 87 days, Americans watched the disaster unfold.
Underwater video of the leak and the attempts to stop it played on network television and on web sites.
In total, four-million barrels of crude oil would foul the waters of the Gulf of Mexico before a solution could be found.
More than five years later, brings the announcement a settlement which ends all litigation between BP and the US government plus the states of Louisiana, Mississippi, Alabama, Texas and Florida.
Florida's Attorney General Pam Bondi is delighted with the result.
"I'm proud to report that our state not only helped lead this historic effort, but negotiated a landmark agreement on behalf of the people of Florida. A little more than five years ago, our state and our entire Gulf region woke up to a story that shocked our nation. An oil spill that not only threatened states that depend on the Gulf for their economic livelihood, but also resulted in the economic loss of 11 lives."
The settlement must still be approved by United States District Court and claims from individuals are not affected.
It allows BP to pay over 18 years.
BP's share price rose about five percent on the news which gives the corporation clarity going forward.
Some enviromental groups criticised the settlement, saying it lets BP off the hook too easily for environmental costs which are not yet fully known.
Others, like Matt Rota of the Gulf Restoration Network, emphasize the importance of money in the hand right now to do enviromental work.
"If the money starts coming out that we can use to restore our coast, that's less damage that we have to repair in the future. So money now is worth more than money in ten years after a big long legal batttle."
The long legal battle in everybody's mind is what followed after the 1989 Exon Valdez spill off the coast of Alaska.
Exxon litigated for decades.
Garret Graves is a Republican congressman from Louisiana who represented the state in negotations with BP.
His argument is one of pramatism.
He celebrates that this deal - even if it's not perfect - has been agreed just over five years after disaster struck.
"It's important to keep in mind that, number one, you can't go out there and put tens of billions of dollars on those companies. This would have crippled or bankrupted most companies around the world. Number two, we have seen a decline in gas prices, a decline in profits, for the company. Those things need to be taken into consideration as well. I think this was the best deal that was going to be cut co-operatively. Compared to the other alternatives this is a good deal and this settlement needs to be approved."
Share
