BP has decided not to seek access to Transocean’s $750 million insurance policy associated with the 2010 Deepwater Horizon oil spill, the worst offshore spill in U.S. history. According to a Bloomberg report, BP notified the Texas Supreme Court last week that the two companies had resolved all differences over the drilling accident and spill in a confidential settlement reached May 20th. BP withdrew its request for the state high court to reconsider its February decision that BP wasn’t entitled to Transocean’s insurance. The U.S. appeals court in New Orleans previously referred the case to the Texas Supreme Court in August 2013 for guidance on how to interpret the insurance policy under Texas law. The Texas high court interpreted the policy and associated drilling contract in favor of Transocean, as had U.S. District Judge Carl Barbier in New Orleans, who is overseeing the consolidated oil-spill litigation at the trial level. BP will also now withdraw its appeal of Barbier’s ruling at the appeals court.
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