BP said:BP's Oil Spill Costs Rise to $1.6 Billion

Today, BP said that the total cost in response to the oil spill has reached about $1.6 billion.

BP updated its shareholders this morning at the start of a crucial week for the company. It said the total bill has jumped by $350m in the last week, including payments of $25m each to the states of Florida, Alabama and Mississippi to help them fight the environmental damage of the disaster.

BP will start taking oil and gas to a ship on the surface through a separate pipe in the next few days, and a “more permanent and flexible” system with floating risers is set to begin operations around the end of the month, the company said in a statement in London today.

BP.L is currently trading at 379.9 pence, down 12 pence or 3.06%, on a volume of 25.84 million shares. BP closed Friday's regular trading at $33.97 on the NYSE.