Anadarko Outlook Boosted to "Stable" By S&P
October 18, 2011 7:53 PM
Standard & Poor's raised its outlook on Anadarko Petroleum (NYSE: APC) to to "stable" from "negative," after the second-largest U.S. independent oil and natural gas producer reached an agreement on Monday to settle claims against the company brought by BP (NYSE: BP) for $4 billion.
The ratings agency also affirmed its "BBB-" corporate credit and senior unsecured debt ratings on Texas-based Anadarko.
BP, Europe's second-largest oil company, said Anadarko's cash payment will form part of BP's $20 billion trust fund to pay claims of individuals and businesses harmed by the largest oil spill in U.S. history, according to the Associated Press.
Anadarko owned a 25% non-operating interest in the ill-fated Macondo well project. BP was the primary operator of the project and the Deepwater Horizon rig.
S&P added it would have considered reducing its ratings on Anadarko had the company had to shell out more than $5 billion in spill-related expenses.
