U.S. government seeks BP's continued suspension from new contracts

|About: BP p.l.c. (BP)|By:, SA News Editor

The U.S. government continues to favor BP's suspension from new government contracts and oil leases after the 2010 Gulf of Mexico oil spill because the company hasn’t demonstrated it’s a responsible contractor.

After a 2005 explosion at its Texas City refinery killed 15 workers, BP was allowed to continue doing business with the federal government "based on promises that adequate systemic corrective measures would be taken - and yet, those measures had proved insufficient,” the Justice Department said yesterday in a court filing.

BP called the EPA’s disqualification and suspension "arbitrary and capricious, contrary to the law and an abuse of discretion.”