BP Going After Cameron, Transocean In Court

BP BP filed suit against Transocean RIG, the world's largest provider of offshore drilling services, today in New Orleans federal court, seeking damages of at least $40 billion while saying the Swiss company is to blame for the Gulf of Mexico oil spill. BP, Europe's second-largest oil company, is also suing Cameron International CAM, the maker of the Deepwater Horizon rig's blowout preventer, alleging the device was faulty and caused undue risk. Coincidence or not, BP filed the suits on the one-year anniversary of the explosion of the Deepwater Horizon, a tragedy that killed 11 works aboard the rig and created the largest oil spill in U.S. history. In its suit, BP says every safety system and device on the Transocean-owned Deepwater Horizon failed. Cameron and Transocean have both counter-sued BP. A federal trial is scheduled for next year that will determine which companies are at fault and how much their liability should be, according to the Associated Press. Earlier this week, Cameron said its blowout preventer did not cause the spill, noting the device was activated after oil and gas began gushing into the Macondo well meaning it was too late for the device to be effective. On Tuesday, Moody's Investors Service said Cameron and Halliburton (HAL), the provider of cement services for the Macondo well, would probably be spared financial liabilities tied to the spill, but the ratings agency also noted BP, Transocean and Andarko Petroleum APC, which held a 25% non-operating interest in the well, could see penalties of up to $60 billion. BP has estimated its liabilities at $40.9 billion, it still could face tens of billions of dollars more in civil and criminal fines and penalties from the U.S. government, the AP reported. Transocean also filed legal documents seeking damages from BP, Cameron and Halliburton, the second-largest oilfield services provider in the world.