BP $7.8bn settlement lifts shares

The uncompleted deal does not include US Department of Justice.

BP's agreement to settle with hundreds of thousands of individuals and businesses for $7.8 billion (£4.9bn) Friday pushed its shares 2.7 per cent higher at the opening in London today. Details of Friday's deal have not yet been worked out.

The settlement with Plaintiffs' Steering Committee, which represents a large cohort of businesses and individuals affected by worst-ever offshore US oil spill, raised the question of whether BP might seek a deal with the US government.

But the US Department of Justice says it will continue to pursue its $18bn legal action against the oil giant.

BP does not expect it will have to add to the $37.2bn (£23.5bn) pot of money it has set aside to pay for the oil spill.

Deepwater Horizon exploded on 20 April, 2010, sending oil gushing into the Gulf of Mexico over the following three months.

BP's stock lost more than half its value between April and June of 2010, and has recovered half of those losses since.

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