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Senators sought assurances that BP PLC will pay what could amount to billions of dollars in economic and environmental damages. McKay repeatedly said his company would pay for cleanup costs and all "legitimate" claims for damages, and not try to limit itself to an existing federal cap of $75 million on such damages. BP was the exploratory well's owner and overall operator, Transocean, the rig's owner and Halliburton, a subcontractor that was encasing the well pipe in cement before plugging it in anticipation of future production. The April 20 explosion is thought to have begun with a surge of methane gas from deep within the well, and while the cause is still under early investigation, testimony provided some insight into what might have been involved. Republican Sen. Jeff Sessions of Alabama grew frustrated grilling the executives on why engineers replaced a heavy "mud" compound in the well with much lighter sea water when they were temporarily capping the site for future exploitation. "I'm not familiar with the individual procedure on that well," McKay said. Steven Newman, Transocean's president and CEO, and Halliburton executive Tim Probert repeatedly told Sessions they did not know how often sea water instead of the compound was used to seal Gulf wells. "Well, you do this business, do you not?" the senator demanded. "You're under oath. I'm just asking you a simple question." New Jersey Democrat Frank Lautenberg remarked in the day's other hearing: "The conclusion that I draw is that nobody assumes the responsibility." McKay said that a key piece of safety equipment, the aptly named blowout preventer, had failed to work and made it clear it was owned by Transocean. "That was the fail-safe in case of an accident," said McKay. But Transocean's Newman said offshore production projects "begin and end with the operator, in this case BP" and that his company's drilling job was completed three days before the explosion and there's "no reason to believe" the blowout protector mechanics failed. Halliburton's Probert said his company followed BP's drilling plan, federal regulations and industry practices.
[Associated
Press;
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