Bp Oil Spill
BP Oil Spill
By: Kerrie Neff
MGT 480
Due Diligence:
Facts:
I am focusing on Tony Hayward, former CEO of BP and I am here to address the issue regarding the Deepwater Horizon oil rig that exploded and ultimately caused one of the nation’s worst environmental disasters in the Gulf of Mexico in 2010. To begin, there are many facts that led up to the incident, and then for many years after. BP and Hayward had already been questioned on their ethical conduct. The questions include fraud, environmental crimes, deaths, and the endangering of habitats dating from 2005 to the present (Ferrell 431). There have been too many other oil spills and problems throughout the years to just assume this would not happen in the gulf. The explosion happened on April 20th 2010 where eleven people were reported missing and seventeen were injured. After the explosion a blowout preventer that was intended to prevent release of crude oil failed to activate (Research.co). The deepwater horizon rig then sank under 5,000 ft. of water. This ultimately made the oil rig very tough to fix and plug the oil leak. A homeland security risk analysis stated that “the incident poses a negligible risk to regional oil supply markets and will not cause significant national economic impacts” (Research.co). This shows that Hayward and the company had no real concern on the environment and the impacts that it could cause. As weeks and months passed, BP continued to optimize oil recovery rates and fabricate how well the drilling relief wells were doing. On April 28th the coast guard stated “the flow of oil is 5,000bpd, five times greater than first estimated, after a third leak was discovered” (Research.co). And this continued on with multiple failed attempts at getting the oil spill under control. As the months went on there were so many questions unanswered about exactly what was going on with the oil spill and exactly what kind of impact it was causing on the surrounding areas. There are so many
By: Kerrie Neff
MGT 480
Due Diligence:
Facts:
I am focusing on Tony Hayward, former CEO of BP and I am here to address the issue regarding the Deepwater Horizon oil rig that exploded and ultimately caused one of the nation’s worst environmental disasters in the Gulf of Mexico in 2010. To begin, there are many facts that led up to the incident, and then for many years after. BP and Hayward had already been questioned on their ethical conduct. The questions include fraud, environmental crimes, deaths, and the endangering of habitats dating from 2005 to the present (Ferrell 431). There have been too many other oil spills and problems throughout the years to just assume this would not happen in the gulf. The explosion happened on April 20th 2010 where eleven people were reported missing and seventeen were injured. After the explosion a blowout preventer that was intended to prevent release of crude oil failed to activate (Research.co). The deepwater horizon rig then sank under 5,000 ft. of water. This ultimately made the oil rig very tough to fix and plug the oil leak. A homeland security risk analysis stated that “the incident poses a negligible risk to regional oil supply markets and will not cause significant national economic impacts” (Research.co). This shows that Hayward and the company had no real concern on the environment and the impacts that it could cause. As weeks and months passed, BP continued to optimize oil recovery rates and fabricate how well the drilling relief wells were doing. On April 28th the coast guard stated “the flow of oil is 5,000bpd, five times greater than first estimated, after a third leak was discovered” (Research.co). And this continued on with multiple failed attempts at getting the oil spill under control. As the months went on there were so many questions unanswered about exactly what was going on with the oil spill and exactly what kind of impact it was causing on the surrounding areas. There are so many
Cited: "BP Values." BP. N.p., n.d. Web. 01 Dec. 2012. . Ferrell, O. C., John Fraedrich, and Linda Ferrell. Business Ethics: Ethical Decision Making and Cases. Mason, OH: South-Western Cengage Learning, 2011. Print. Krauss, Clifford, and John Schwartz. "BP Will Plead Guilty and Pay over $4 Billion." The New York Times. N.p., 15 Nov. 2012. Web. 01 Dec. 2012. Research, Guardian. "BP Oil Spill Timeline." The Guardian. Guardian News and Media, 22 July 2010. Web. 01 Dec. 2012. Shefrin, Hersh. "BP Must Heal A Weak Corporate Culture." San Francisco Chronicle. N.p., 04 Aug. 2010. Web. 01 Dec. 2012. .