FL. Asking BP (NYSE:BP) Oil For Another $1 Billion

Florida is currently figuring out the exact amount of damages caused by BP's (NYSE:BP) oil spill. In the mean time, they want an "interim" payment from the company in the amount of $1 billion. The reasoning being to help offset a looming budget deficit for the state.

Some of the losses being claimed are tax revenues, oil cleanup, among other damages. Governor Charlie Christ, Florida's governor, has already secured $32 million for the state since April 20th. The money was used for advertising through various media outlets, including TV and Internet to promote tourism and the safety of their beaches.

"Florida's damages as a state could easily be in the billions of dollars. We just don't know and its going to be years before we know the long term impact from the spill. But in the meantime we'd like reparations to get relief, so we don't have budget shortfalls directly from BP's wrong doing," said Tampa lawyer C. Steve Yerrid.

Insider Stock Trading Among BP (NYSE:BP) Employees

Well, we've heard just about everything about BP (NYSE:BP), but now they are under investigation by U.S. authorities for insider stock trading among its employees. This is just one of many parallel investigations currently underway.

Since the suspicions arose, The Department of Justice and the Securities and Exchange Commission have been looking into the allegations. It's being said that there were BP insiders who had access to knowledge about the company's plans.

This knowledge for the oil cleanup and spill containment efforts were than used to cash in by trading shares. It's also being said that this information was leaked to others outside of the company.

Meanwhile, BP continues forward with its "static kill" attempt. The company is still optimistic that the relief wells will be finished by the end of this month. While the federal government has increased their estimate to almost 5 million barrels of oil that has polluted the Gulf. That's more than 12 times what BP was originally estimating.

BP (NYSE:BP) Oil Claiming $9.9 Billion Tax Credit

The fact that BP (NYSE:BP) oil says their plan is to claim $9.9 billion in tax credits is infuriating many. The BP oil spill may end up falling on tax payers shoulders after all ! Analysts are saying this was most likely part of the company's plan all along, and the almost $10 billion will keep the cash flowing for BP.

The credit is being based on the $32.3 billion the company reported for costs relating to the oil spill. Despite the fact that President Obama assured and insisted to the public that BP would take full financial responsibility for the entire oil cleanup, as well as effected businesses and wildlife. This will cut down their spill costs by a third.

Tony Hayward said, "We have followed the IRS regulations as they're currently written." There are tax code provisions that do allow companies to claim losses through tax refunds. BP has yet to be fined for the worst oil spill in U.S. history, so this is being based on their losses not penalties.

Shell (LSE:RDSA) Spill Cleanup: Lawsuit Pending

A government order was outlined and given to Royal Dutch Shell oil (LSE:RDSA) for the beginning of the huge oil cleanup of Carousel Track. Bill Dehart, a resident said that pools of aging oil are under the ground in his neighborhood. Many of the residents are wondering how the gobs of oil will be able to be cleaned up without having to level homes, driveways, and streets.There has been a class action lawsuit filed and is pending on behalf of the residents of Carson.

The water board is responsible for making sure Shell meets their deadline of September 15th to submit the work plan. According to the order given to Shell, the environmental plan is to clean the top layer of soil of the 50 acre site. Sam Unger, interim executive officer of Los Angeles Regional Water Quality Control Board said, " We're looking at removing the top 10 feet of soil across the entire property, but all areas of the property may not need to be removed."

The law firm representing the residents, Girardi and Keese, said that the cleanup order is extremely vague and they worry that the oil contamination is too widespread to be fixed. Firm attorney Tom Girardi said, "The order is a little confusing because the whole Carousel Track is cement. Some of the cement is maybe even holding back some of the discharge of the oil. The only way you can adhere to the order is to tear everything down and go down about 30 ft. and take up all the contaminated soil."

Dave McKinney, Shell's spokesman said, "Quite a few properties have no contamination. The key to this is testing all the properties." Another cleanup order will be issued most likely once the testing is done said Unger.

China National Purchasing 9 Billion of BP (NYSE:BP) Assets

There have been rumors flying that China National Offshore Oil Company is planning on buying around $9 Billion in BP (NYSE:BP) assets. They are refusing comment saying, "we don't comment on market rumors," said Jiang Yongzhi, a spokesman for China National.

Over the past twelve months state controlled energy companies in China have spent a minimum of $20 billion to purchase overseas oil and gas assets. This is said to meet the demand of the fastest growing economy in the world.

The Chinese energy company has shown increasing interest in purchasing a 60 percent stake that BP currently owns in Pan American Energy, this was report by The Guardian but omitted who the source of the information was from. A spokeswoman for BP, Sheila Williams also declined comment.

BP has stated they will be selling some of their assets to help cover the costs of the $20 billion that they agreed to do with President Obama. This is to be put into an account to help cover the continued costs of oil cleanup and compensation to be paid out. While BP has lost over half their market value since the explosion of the Deepwater rig on April 20th, they did see a a gain in their stock prices to 2.8 percent to 327.95 pence.

BP (NYSE:BP) UPDATE: Containment Costs, Stock Prices, and Tony Hayward

BP's (NYSE:BP) oil cleanup and containment costs continues to rise, reaching $2.65 billion according to BP on Monday. That pushes the companies expenses to over $100 million a day since the sinking of the Deepwater Horizon rig. This cost includes relief well drilling, grants to Gulf states, claims already paid out, spill response, containment efforts, as well as federal costs incurred.

After watching BP's stock plummet 6 percent, a 14 year low on Friday, today BP's shares saw an increase in premarket oil trading of 2 percent. That's a total loss in market value of over $100 billion dollars. BP was adamant in denying the fact that Tony Hayward, their chief executive was resigning. This rumor stemmed from a Russia state RIA Novositi news agency reported that a senior Russian Cabinet official said that Hayward was going to be resigning from his position at BP.

"Hayward is leaving his post, he will introduce his successor," said Sechin quoted by RIA Novosti. There is denial all around, from BP spokeswoman Carolyn Copland in London said it, "is definitely not correct." Also of London, Sheila Williams stated, " Tony Hayward remains chief executive." Mark Proegler, the U.S. BP spokesman said, "they are mistaken."

"I'm sure there has been a misunderstanding. Hayward's resignation at this time and in this place lacks logic. It would make sense that Hayward would finish his job tackling the oil spill and step down afterwards so the new CEO wouldn't have his burden on his shoulders, " said Konstantin Cherepanov oil analyst from the Swiss Investment Bank UBS.

Oil Funds, Oil Options: Oil Companies Falling Short Exxon (NYSE:XOM), Shell (LSE:RDSA), Chevron (NYSE:CVX), ConocoPhillips (NYSE:COP), BP (NYSE:BP)

Edward Markey, a Democrat from Massachusetts criticized BP (NYSE:BP), Exxon Mobil (NYSE:XOM), Shell (LSE:RDSA), Chevron (NYSE:CVX), and Conoco Phillips (NYSE:COP) for not funding any new response and safety tools.

The tools being used in the BP oil cleanup in the Gulf of Mexico are pretty much the same tools that were used in the Exxon Valdez oil cleanup effort. Skimmers to collect the oil, booms to contain it, and the main weapon being used chemical dispersant's. Markey is proposing a bill that will broden oil options by using oil funds to the tune of $50 million being used to develop deep water drilling, and put it towards funding research for better oil spill clean up tools as well as new oil spill prevention methods.

Markey said, "the oil companies have been lying when they said they had the capacity to handle an emergency like the Deepwater Horizon spill. We can't afford to get stuck again without the tools to respond to a spill like the one we're seeing in the Gulf. It is clear that the oil companies have not created new solutions to keep their new drilling technologies safe."

BP (NYSE:BP) Stock Price Reaches All Time Low

Due to concerns continuing to mount about BP's (NYSE:BP) future, there is added pressure on oil and gas stocks by the New York stock oil futures. These losses came after BP announced that it has to date spent $2.35 billion. This money has went to various things including the oil cleanup efforts, legal claims that have been paid, and grants to the states on the Gulf that have seen the biggest impact since the April 20th rig disaster.

The other thing that is causing renewed concern and placing pressure on BP stocks, is the pending development of a tropical storm. If this storm hits the Gulf of Mexico as predicted, it will cause possible large delays in the fuel containment efforts. Broker Nomura cut it projected BP price target from 593p to 465p.

Nomura said, "a heavy inversion of both credit yield and equity volatility suggests the market is concerned about a near term credit event around BP." BP stock fell to $26.96 a share losing another 6.1 percent. This beating their prior day low of $28.56, losing a total market value of almost 53 percent since April 20th.

"BP's market cap is eroding and its ability to finance itself in the capital market is impaired. It's anybodies guess what can happen but the fear of the market is that that liability could be so enormous that BP may have to seek bankruptcy protection," said Orr.

Robotic Accident Has BP (NYSE:BP) Oil Flowing into the Gulf

An underwater robot accidentally bumped a venting system in the Gulf, forcing BP (NYSE:BP) to remove a cap that had been capturing the oil, releasing more oil into the Gulf waters.

The reason for removing the cap after the robotic submarine hit it was because gas started rising through the vent, which carried warm water down to prevent the buildup of hardened crystals, which could form on the cap and disrupt the system.

While some reports said the oil was being released unabated into the Gulf, that's not true, as Coast Guard Adm. Thad Allen said the flow of oil has increased, but it's not a "totally unconstrained discharge."

The second system installed, which is used to burn off oil is reportedly still operating.

The system that is down does capture the most oil at this time.

BP (NYSE:BP) Replaces CEO in Cleanup Responsibilities

BP Chairman Carl-Henric Svanberg told Britain's Sky News today that he'll be replacing BP (NYSE:BP) CEO Tony Hayward in regard to the cleanup effort in the Gulf of Mexico, although Hayward will retain his CEO position at the oil giant.

U.S. citizen and BP managing director Robert Dudley will now head up the cleanup effort on behalf of BP, but will still report directly to Hayward.

Svanberg didn't say too much about the reasoning behind his decision, other than the fact "It is clear Tony has made remarks that have upset people."

Some of this is cultural differences, Hayward being what appears to be an introvert, and the anger of some Americans over what has been described by Obama and Democrats as British Petroleum, possibly on purpose, in order to take attention away from some of the American companies involvement in the matter. At least that's the perception of a number of British people.

Anadarko's (NYSE:APC) Fuel Spill Containment Responsibilities

While so many people are focused on BP, Halliburton, and Transocean, many are forgetting about Anadarko's (NYSE:APC) fuel spill containment responsibilities.

Anadarko, who owns a 25 percent stake of the Macondo discovery, the site of the explosion and oil leak that followed, has lost 33 percent or 25 billion of market capitalization since April 20th. BP who is working in the field unlike Anadarko, has lost $69 billion or 37 percent. If Anadarko is required to foot their 25 percent of the bill, that would equal to $98 billion. While BP's share at 67 percent of the discovery puts their required cost at $106 billion.

Obviously, this is no where near what oil stock prices are reflecting, which is much less. BofA Merrill Lynch Global Research estimates the net value of present claims could run close to 11 billion total. What's completely uncertain is what the potential punitive damages will end up costing these oil companies. By looking at BP's share prices, it's expected to be extremely high.

The question is, will Anadarko also be held responsible and required to pay anything past the initial oil cleanup costs. Anadarko has stated their interest in Macondo did not come until well after drilling began. They're also maintaining they had no involvement in the operating procedures or in designing the well.

The American Association of Professional Landmen's Form 810 clearly states, all parties to the agreement usually bear liability for damages based on their stake except "when liability results from the gross negligence or willful misconduct" of one of the involved parties. So if BP ends up being found grossly negligent, it would open the door for Anadarko being able to contest paying any punitive damages.

BP (NYSE:BP) Stock Prices Drop Again

There seems to be no relief as BP's (NYSE:BP) stock prices plummeted again. Investors remain leery and anxious as they are waiting to see what BP's move of weather or not they will agree to pay and honor its second quarter dividend payout. BP refused to comment on dividend speculation until they finished talking with shareholders.

BP's stock prices dropped another 9.3 percent, bringing it to 355.5 pence. All the while, President Obama has been putting pressure on BP to drop dividend payments to ensure that there are funds set aside for future oil cleanup and oil containment efforts. Also to make sure there is enough to pay for compensation to U.S. citizens.

Jonathan Jackson, head of equities at London based Killik & Co. said, "the call from the U.S. Administration for a third party administered fund to meet the claims of victims of the spill appears to be an attempt to show the U.S. public that the government is doing something. As a political compromise, we would expect BP to take this request."

The BP (NYSE:BP) Whistle Blower

It is being proven by a whistle blower that BP's (NYSE:BP) corruption goes deep and for many years. A former BP executive, Rick Lacey said that he's watched the oil company for years put profits everything ahead of everything else.

Lacey started his tell all novel in 2002 while still employed at BP as a financial analyst and accountant for almost eight years. His novel is titled "Involuntary Separation: Corporate Downsizing Gone Fatally Wrong." He isn't surprised at all at the massive oil spill and details the numerous missteps and shortcuts that BP took.

After helping BP lay off thousands of employees, he quit in 1988. One of BP's strategies was to contract to other smaller companies to decrease their liability in case of oil rig explosions and other potential accidents. "Prior to downsizing, BP drilled for its own oil," said Lacey. "So they would've been running the entire operation themselves and they would be responsible for the safety and liability for the spill."

That way BP could shift the blame to these other companies, even if they were to small to be able to pay for the oil cleanup and would have to file bankruptcy, he said. "If it was a smaller spill, they'd let the drillers go bankrupt." He said the only reason they're paying for this spill is because of the huge amount of public outrage BP would get if they did not.

We saw the scenario at the congressional hearings where each company was pointing their finger at the other, even President Obama was outraged at the companies lack of responsibilities.

BP (NYSE:BP) Bankruptcy, Fact or Fiction

Many are wondering what is really happening with BP (NYSE:BP) and the claims that they are filing bankruptcy. Matt Simons, oil industry insider and the energy focused investment bank Simmons & Co. told Fortune magazine that BP will eventually run out of money from lawsuits, oil cleanup costs, among other expenses.

"They have about a month before they declare chapter 11 bankruptcy," said Simmons. "One really smart thing Obama did was about three weeks ago he forced BP CEO Tony Hayward to put in writing that BP would pay for every dollar of the cleanup, he continued, "but there isn't enough money in the world to clean up the Gulf of Mexico. Once BP realizes the extent of this, my guess is they'll go into panic and file chapter 11."

In less than seven weeks BP has lost over half its market value, this is BP's lowest level since 1996. Their bonds are also being crushed. Before April 22nd, the day the Deepwater Horizon sunk, BP shares were being traded above $60. With yesterdays close, there was a loss of 16 percent at $29.20.

BP (NYSE:BP) Bankruptcy and Stock Trading

Many are concerned that BP (NYSE:BP) will file for bankruptcy and that their stock trading will continue to fall. Even though BP seems to have a we can handle it all attitude, they will eventually run out of money. With them putting out such large amounts for things like television ads to the tune of $50 million dollars, it makes you wonder how they are planning to continue on at this pace financially. Not to mention, they haven't even been successful in their fuel spill containment efforts or even scratched the surface of beginning to clean up this catastrophe.

There is also much speculation that BP is getting ready to cut their dividends in order to be able to pay for the Gulf oil cleanup. This sent BP shares plummeting below 400 pence today. At the end of the day trading, BP was down 4.2 percent at 391.5 pence. Before the hazardous spill BP was at 648 pence.

"Consumer borrowing unexpectedly rose in April but fell in March, suggesting Americans aren't too comfortable with their finances despite the economic recovery. The Federal Reserve on Monday said consumer credit outstanding increased at a seasonally adjusted annual rate of 0.5 % up $954.8 million to 2,440 trillion. Economists surveyed by Dow Jones News wires had for cast a $1.0 billion decline in consumer credit during April. But the surprise gain came with a revision to March, when borrowing fell $5.4 billion or 2.7 %, originally it was estimated rising by $2.0 billion," reports Jeff Bater and Meena Thiruvengadam.

BP (NYSE:BP) Verses Exxon (NYSE:XOM) Valdez Lawsuits

"BP (NYSE:BP) is saying they will pay legitimate claims just like Exxon (NYSE:XOM) said after the Valdez oil spill," said lead attorney at Baron and Bud, Scott Summy. He is representing 18 fisherman in lawsuits against the UK company. "Yet once publicity died down, Exxon litigated for over 20 years," said Summy.

Even though BP is maintaining they will pay "all legitimate claims," in all reality, as wonders Summy, how hard will it be to get them to actually pay. BP said they don't make statements on legal matters.

Exxon volunteered to pay Alaskans, as well as businesses $300 million right away after their oil spill. Courts ended up ordering Exxon Mobil to pay an additional $25 million to some groups that had been overlooked. The total amount that the U.S. Supreme court ordered Exxon Mobil to pay was $507 million, plus interest in the amount of $470 million in 2009.

BP has already paid out 18,000 of the 36,000 claims that have been filed against them, totaling close to $48 million. BP is focusing on the claims whose livelihoods have been effected. As well as the families of the 11 victims who died and the additional 17 people who were injured.

The federal cap is $75 million for offshore damages. Most of the claims against BP will not be covered under this cap including, shareholder lawsuits, cleanup costs, tort lawsuits, as well as any civil or criminal penalties and any state claims.

BP (NYSE:BP) Update: Containment Berms and Oil Skimming

Although there is optimism over BP'S (NYSE:BP) containment cap that was successful placed on Thursday, the harmful effects of the estimated 23 million to 50 million gallons that have already polluted the ocean and now our shorelines despite placing containment berms, cannot be denied. Not to mention in an already bad economy oil stocks and investments have plummeted. These are just a couple of the constant reminders of just the beginning effects of the oil spill tragedy.

Kelcey Forrestier, a biology graduate visiting Florida's Okaloosa area said, "oil doesn't just go away, oil doesn't disappear. It has to go somewhere and its going to come to the Gulf beaches." He said its obvious that this oil damage will go on for years to come.

The oil is also making its appearance in Texas. Government officials stated Sunday that for the first time, oiled and dead birds are being seen there. The governments wildlife report did not go into any details on the circumstances. Jim Suydam, Texas General Land Office spokesman, said he hadn't heard about the birds and the oil was still around 100 miles away from the border. It's also reported that the oil sheen is around 150 miles from Tampa, Florida.

Alabama's coastlines continue to get hammered with oil as well. Thad Allen, the Coast Guard Administrator for the government, has ordered more oil cleanup crews for oil skimming and additional containment berms, after surveying the area by air. "It's so widespread, and its intermittent. That's what is so challenging about this. Everyone wants certainty. With an oil spill like this, there isn't any," said Allen.

BP stated that they are planning a $360 million plan to put up six sand berms. This effort is being done with the intention to prevent oil from spreading, thus protecting the Louisiana wetlands. Although this is a grand gesture, it may be to little to late.

BP (NYSE:BP) Spill Containment As Oil Rages Towards Shorelines

As BP's (NYSE:BP) oil spill containment efforts continue on, the already spilled oil continues its course into the ocean and towards the shorelines. The latest predictions are saying the oil could hit near the Mississippi Sound as well as the coastline near the mouth of Mobil Bay.

"We are working around the clock to keep the oil off the shoreline and have had the gift of time to plan for its arrival," said Capt. Steven Poulin, incident commander for the Coast Guard. "The projections are of concern. This is a dynamic situation influenced by a wide variety of environmental factors, so while we're not certain where or what the impact will be, but we're prepared."

The Unified Incident Command in Mobil said it has aggressively increased air and sea surveillance. In place are additional beach support teams on shore as well. There are also over 6,000 people taking part in the response effort on the shorelines and in open water in Florida, Alabama, and Mississippi.

As oil cleanup efforts are being highly increased, BP said earlier today that it has already spent $990 million on cleaning and fighting the oil spill. This amount doesn't include the many lawsuits for damages.

BP (NYSE:BP) Risks Making Oil Spill Worse

BP (NYSE:BP) engineers are proceeding with extreme caution, as they continue on their containment efforts for the fuel spill. This was after stopping their "top kill" endeavors for a day, this is apparently just part of the process according to BP officials.

This gives the engineers time to review the effects or lack there of. At that time, Doug Suttles, BP's chief operating officer said, "we have not yet stopped the flow. You stop pumping. If the pressure begins to rise you pump again. If it doesn't rise, you have some sign of success."

As well as analyzing the spill containment results on Thursday, BP was also restocking their oil spill equipment with close to 15,000 barrels of the heavy engineering mud in preparation for their next oil cleanup attempt, which began Thursday evening.

Tony Hayward, BP's head, indicated the "top kill" attempt could make the oil leak worse, this is one of the risks of this endeavor.

BP's (NYSE:BP) "Top Kill" Oil Spill Containment Efforts Show No Change

There's been much anticipation and hope as BP (NYSE:BP) started it's "top kill" attempt yesterday afternoon. There was a fluctuation in the trading market as well as investors nerves mirrored this fluctuation.

As of today on the live oil spill video, you cannot see a whole lot of change. Even though the containment equipment has been put into place and the oil cleanup efforts are in full force. The only visible difference seems to be rather than thick black crude oil spewing out of the two breaks in the pipe, there's now what appears to be brown mud barreling out.

BP chief executive, in a statement Wednesday evening said, "the operation is proceeding as we planned it."

Doug Suttles, BP's chief operating officer said at a new conference Wednesday night, "it's too early to know if its going to be successful." He also stated that it would be at least a day or two before any conclusive results would be known. He said that there's 7,000 barrels of thick drilling mud being forced into the well at varying rates of speed.