Alaska Says BP Oil And Gas Leak Stopped

The spray of crude onto the pad of the well, which occurred when the well in the bay area of Greater Prudhoe was leaking gas, stopped by afternoon on Sunday. DEC is coordinating with BPXA and the Alaska Oil and Gas Conservation Commission to investigate the cause.

A weekend statement from the "unified command" said two leaks were detected.

Shares in BP were down 2.3% at 460.15 pence Tuesday. BP was fined $255 million by the state of Alaska for negligence in their maintenance of Prudhoe Bay pipelines.

There were no reports of harm to nature or injuries. "This really needs to be thoroughly investigated to find out what went wrong and whether there's a danger of it happening again".

BP Exploration Alaska Inc. operates a well in the frigid North Slope of Alaska.

The volume of the leak had not been determined and the cause of the release was unknown, according to a statement from the state's Department of Environmental Conservation.

The North Slope is a remote location and was once home to the biggest oilfields of America. The department said in an update that the village "has been notified of the incident and is receiving situation updates via these situation reports". That movement broke a well pressure gauge and temporarily delayed efforts to close off the well, the state said.

The total amount of oil spilled and whether the crude affected the snow-covered tundra nearby isn't yet clear, though authorities have expressed confidence the crude contamination is contained with a gravel area directly surrounding the well site. The well has been shut in since Friday. Alyeska Pipeline Service a joint partnership between North Slope's producers Exxon Mobil Corp., BP Plc, and ConocoPhillips.

In 2010, a BP-operated drilling rig called Deepwater Horizon exploded, killing 11 people and spilling almost 5 million barrels of oil into the Gulf of Mexico, making it the largest oil spill in USA federal waters. It has averaged a $1.16 premium to WTI this year.

Related News: