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B.P.'s First of Many Bills Due July 1



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By : Molly Wider   

British Petroleum has been given until July 1 to pay the recent $69 million bill, the first of many expected to be handed over to them for the massive oil spill that has to date, leaked approximately 50 million gallons of oil into the Gulf of Mexico. This bill is strictly for the initial costs incurred by the government for their response to the spill.

In a recent interview, Obama told CNN's Larry King, "I am furious at this entire situation because this is an example where somebody didn't think through the consequences of their actions. This is imperiling an entire way of life and an entire region for potentially years."

New permits for oil and gas drilling in the Gulf of Mexico have been stopped by the Minerals Management Service. Michael J. Saucier, regional supervisor of field operations for the MMS Gulf of Mexico region, sent an e-mail stating that "until further notice" there will not be any new drilling allowed in the Gulf of Mexico regardless if it is deep or shallow water.

This statement stirred some controversy, as it was a complete contradiction to an earlier statement released by Kendra Barkoff, a spokeswoman for the Interior Secretary, Ken Salazar who said, "There is no moratorium on shallow water drilling. Shallow-water drilling may continue as long as oil and gas operations satisfy the environmental and safety requirements and have exploration plans that meet those requirements."

The Mineral Management Service released their e-mail a day after granting approval for a drilling permit to Bandon Oil and Gas. They applied for the right to drill 115 feet below the surface, 50 miles off the coast of Louisiana. Several environmental groups accused the administration of misleading the public by granting drilling rights in water up to 500 feet, while still maintaining a freeze on any deepwater drilling.

Acting director of the Minerals Management Service, Bob Abbey, says that all operators will be required to submit additional risk and safety information before drilling considerations will be accepted. These rules are even being implemented on already existing plans that have been approved. It is hoped that this new information will tighten the safety standards and lessen the risk of environmental catastrophes in drilling plans.

On the flipside, a group of local lawmakers expressed concern that any drilling bans could have a massive negative impact on the state's economy, which is already struggling with business closures and job losses that have been directly related to the oil spill.

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