2010-06-17 12:03:21
By FREDERIC J. FROMMER and MATTHEW DALY, Associated Press Writers Frederic J.
Frommer And Matthew Daly, Associated Press Writers 2 hrs 20 mins ago
WASHINGTON A day after agreeing to a $20 billion fund to compensate victims
of the disastrous oil spill in the Gulf of Mexico, BP's chief executive expects
to tell Congress that he was "personally devastated" by the explosion of the
Deepwater Horizon oil rig and understands the anger that Americans feel toward
him and his company.
CEO Tony Hayward's contrition isn't likely to soften his landing on Capitol
Hill, where lawmakers are sharpening their knives preparing to channel
constituent anger over the worst environmental disaster in the nation's history
during a hearing that some compare to a public execution.
In prepared testimony obtained by The Associated Press, Hayward said the
explosion and sinking of the BP-operated rig "never should have happened and
I am deeply sorry that they did."
Newly disclosed documents obtained by the AP show that after the Deepwater
Horizon sank, BP made a worst-case estimate of 60,000 barrels a day flowing
into the Gulf of Mexico. That figure is far higher than the company had said
publicly until this week, when the government released its own worst-case
estimate of about 60,000 barrels a day.
The undated estimate by BP, apparently made sometime last month, reflected the
actual situation as it was understood by BP at the time, said Sen. Chuck
Grassley, R-Iowa. Grassley, the senior Republican on the Senate Finance
Committee, obtained the documents as part of an investigation into the oil
spill and its aftermath.
Grassley said it was not clear when exactly BP made the calculation. "Certainly
Americans have a right to know that BP made these estimates, the date these
estimates were determined and why they were not disclosed at that time," he
said Wednesday.
In a letter to BP America President Lamar McKay, Grassley asked BP to explain
when it calculated a worst-case scenario of 60,000 barrels a day and to provide
documents justifying the figure.
In the course of the crisis in the Gulf, Hayward has irritated some with
comments like "I'd like my life back." He strikes a far more deferential tone
in remarks prepared for the congressional hearing.
"To be sure, neither I nor the company is perfect," he said. "But we are
unwavering in our commitment to fulfill all our responsibilities." He said the
company has spent nearly $1.5 billion so far and won't stop spending until the
job is done.
Hayward was to appear before the House Energy and Commerce Committee's
subcommittee on oversight and investigations, which is looking into the April
20 explosion that killed 11 workers and unleashed a flood of oil that has yet
to be stopped. He called it "a complex accident, caused by an unprecedented
combination of failures."
It's unlikely, however, that lawmakers especially in an election year will
adopt President Barack Obama's more conciliatory tone toward BP. After accusing
the company a day earlier of "recklessness," Obama and top advisers met
Wednesday with BP officials, including Hayward and board chairman Carl-Henric
Svanberg. After the meeting, Obama announced BP concessions to pay a $20
billion fund. He said BP was "a strong and viable company," and its stock price
rebounded.
Still, in perhaps a pointed snub, Obama on Wednesday described a "constructive
meeting" with Svanberg but didn't mention Hayward. Last week, the president
said he would have fired Hayward for comments such as when Hayward said he
wanted his life back.
Rep. Bart Stupak, D-Mich., chairman of the oversight and investigations
subcommittee, and the full committee chairman, California Democrat Henry
Waxman, wrote Hayward this week to expect questions on documents showing
company decisions before the explosion "that increased the risk of a blowout to
save the company time or expense."
Ahead of the session, Stupak said of Hayward's appearance, "I expect him to be
sliced and diced."
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Associated Press writers Matt Apuzzo and Eileen Sullivan contributed to this
report.