BP to pay US government $20.8 billion for Gulf oil disaster

theverge.com

A federal judge has approved BP’s $20 billion settlement over its 2010 oil spill, the Associated Press reports. First reached in October, the final settlement amount accounts for civil claims against the company set forth by the Department of Justice and five Gulf states. US Attorney General Loretta Lynch previously called the settlement "the largest with a single entity in American history."

While $5.5 billion will go toward penalties incurred under the Clean Water Act, most of the money will be given to five states — Alabama, Florida, Louisiana, Mississippi, and Texas — and 400 local government entities to cover damages from the spill. BP has already spent a reported $28 billion on cleanup and compensation.