Strategic and Sustainable Accounting Report 2022

1
Strategic and Sustainable Accounting
Deepwater Horizon oil spill
Zeeshan
202010205
Contents

2
Executive Summary.........................................................................................................................3
Introduction......................................................................................................................................4
Problem............................................................................................................................................4
Results of The deep water horizon oil spill.....................................................................................5
Social, Economic or Ecological Consequences Of Oil spills..........................................................6
Societal Impact of Oil Spills
..............................................................................................................................
........7
Eco System Impact of Oil Spills
...............................................................................................................................
7
Economic Impact of Oil
Spills.....................................................................................................................
..............8
Suggestion........................................................................................................................................8
Conclusion.....................................................................................................................................10
References......................................................................................................................................11

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Executive Summary
This report is about describing Deepwater Horizon oil spill. The Deepwater Horizon oil disaster,
often known as the Gulf of Mexico oil spill, was the world's largest maritime oil spill, triggered
by an explosion on the Deepwater Horizon oil rig off the coast of Louisiana on April 20, 2010,
and its subsequent sinking on April 22, 2010. The Deepwater Horizon rig was located in the
Macondo oil potential in the Mississippi Canyon, a valley on the continental shelf, and was
owned and managed by offshore oil drilling company Transocean and leased by oil corporation
BP. It was positioned over an oil well that was 4,993 feet (1,522 metres) below the surface and
stretched nearly 18,000 feet (5,486 metres) into the rock. On the night of April 20 2010, a burst
of natural gas blasted through a concrete core recently erected by contractor Halliburton to seal
the well for eventual use. According to documents published by Wikileaks, a similar occurrence
occurred on a BP-owned rig in the Caspian Sea in September 2008. Both cores were likely too
weak to withstand the pressure since they were composed of a concrete mixture that used
nitrogen gas to speed up curing. The core fracture released natural gas, which travelled up the
Deep water rig's riser to the platform, where it ignited, killing 11 workers and injuring 17. The
rig toppled and sank on April 22, rupturing the riser through which drilling mud was supplied to
counterbalance the upward pressure of oil and natural gas.

4
Strategic and Sustainable Accounting
Introduction
The oil drilling rig Deepwater Horizon exploded and sank on April 20, 2010, while operating in the
Macondo Prospect in the Gulf of Mexico, killing 11 employees and causing the greatest oil disaster in the
history of maritime oil drilling operations. Over an 87-day period, 4 million barrels of oil gushed from the
damaged Macondo well before it was eventually stopped on July 15, 2010. The US filed a complaint in
District Court on December 15, 2010, accusing BP Exploration & Production and numerous other
defendants of being responsible for the disaster. This report contains information and materials on the
EPA's enforcement response to the Deepwater Horizon Oil Spill, as well as settlements with several of the
defendants, including the record-setting $5.5 billion Clean Water Act penalty and up to $8.8 billion in
natural resource damages with BP Exploration & Production.
Problem
22species of marine mammals live in the northern Gulf of Mexico, including manatees on coastal sea
grasses and dolphins and whales in estuarine, near shore, and offshore habitats. The Gulf of Mexico is
home to five different sea turtle species: loggerhead, Kemp's ridley, green turtle, hawksbill, and
leatherback. The Endangered Species Act protects each of these species. The Gulf of Mexico provides
crucial habitat for sea turtle breeding, feeding, migration, and refuge, including substantial Sargassum
habitat in the open ocean, which is critical for the survival of young juvenile turtles (NOAA, 2017 -
https://oceanservice.noaa.gov/news) . Four species of sea turtles (Kemp's ridley, loggerhead, green turtle,
and hawksbill) and their habitats were found to have been exposed to Deepwater Horizon oil in the open
ocean, across the continental shelf, and onto near shore and coastal areas, including beaches, according to