The Obama administration put a temporary stop to new federal contracts with British oil company BP on Wednesday, citing the company’s “lack of business integrity” and criminal proceedings stemming from the Deepwater Horizon disaster in 2010, the Palm Beach Post reported.
The action by the Environmental Protection Agency bars BP and its affiliates from new government contracts for an indefinite period, but won’t affect existing contracts.
The move to bar BP from receiving government contracts could cost the company billions in revenue, depending on how long the sanctions last. It could also have implications for BP drilling in federally controlled oil fields.
