Processing Magazine

Anadarko Posts $3 Billion Loss on Oil Spill Settlement

November 1, 2011

The Associated Press reports, Anadarko Petroleum Corp. boosted third-quarter revenue by 25 percent on higher oil prices, but it posted a $3.05 billion loss because of a settlement over liability from last year''s oil spill in the Gulf of Mexico. Anadarko was a minority partner in the well that blew out last year. It agreed to pay well operator BP PLC $4 billion to settle its liability. The payment pushed Anadarko to a loss of $6.12 per share. Excluding the payment and other special items, Anadarko said Monday it would have earned 66 cents per share in the latest quarter. Revenue rose to $3.20 billion from $2.55 billion, but still fell short of analysts'' forecast of $3.31 billion. Anadarko was helped by increased production and higher oil prices. The Houston company pumped about 10 percent more oil -- on U.S. land, the increase was 30 percent.