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BP settles refinery blast claims, but fresh suits loom
AFP
WASHINGTON
Petroleumworld.com 02 26 06British energy giant BP has settled compensation claims with two subcontractors injured in a 2005 US refinery blast, but still faces hundreds of potential lawsuits from other workers, a US lawyer said Friday.
BP confirmed a settlement had been made, but declined to disclose how much it was paying the two injured workers.
"We confirm that there has been a settlement. The details are confidential," said Houston-based BP spokesman Neil Chapman.
The global energy behemoth has set aside over one billion dollars for potential compensation claims related to the blast at its Texas City refinery which killed 15 workers and injured over 100.
The ongoing Texas legal battles have tarnished the image of the British firm, which markets itself as a caring, environmentally-conscious energy company, and forced it to launch a series of legal salvoes to keep its chief executive John Browne from being probed.
The latest settlements, on the behalf of former BP subcontractors E.J. Godeaux and Clarence Ted Kinard, were announced by the mens' lawyer, Brent Coon, who told reporters Friday that he was still handling 150-160 outstanding cases against BP.
Coon had already won a settlement for family members of workers who died in the explosion at the sprawling industrial plant.
US government investigators who probed the blast found that critical equipment at the sprawling refinery complex was "unsafe" and "antiquated" prior to the explosion.
Coon signalled that further legal battles likely loom for BP and that he still has his sights firmly set on BP CEO Browne as he seeks to gather further information on the refinery's operation and financing.
Coon has claimed cost cuts may have contributed to the industrial accident.
Asked if he would subpoena Browne he if returns to Texas, Coon replied: "Yes ... which is why you will not see him anywhere near Texas City."
Aside from avoiding a public trial in Godeaux and Kinard's cases, BP also fended off its CEO being deposed Friday by Coon in London.
Coon had intended, and had won court-approval, to question the BP CEO over alleged cost cuts, but the settlement averted Browne's deposition.However, the Texas Supreme Court also issued a ruling late Thursday blocking Browne's deposition until it can hear legal arguments.
Further court hearings, in front of Judge Susan Criss, are due to occur in Texas in coming months, including a bid by Coon to obtain internal BP documents.
There are over 500 cases overall pending against BP related to the refinery explosion.
Jury selection for Godeaux and Kinard's case against BP had been due to start Monday at the 212th District Court in Galveston County, Texas, but a trial has been scrapped due to the last-minute settlement.
The subcontractors, both in their 60s, had claimed a mix of physical and mental health problems due to the blast.
"Both clients are satisfied and relieved that we have achieved a fair settlement under the circumstances," Coon, a veteran asbestos and tobacco trial attorney and the chief lawyer of Brent Coon and Associates, said.
"There was a significant dispute over the settlement value of these individuals," he added.
AFP 23 2111 GMT 02 07
Copyright© 1999 AFP. All Rights Reserved.
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