BP- Texas City Oil Refinery Explosion (2005) – Case Summary

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Recommended: BP ethical issues

BP is the leading energy company. BP took its name from the initials of the company’s previous official name British Petroleum. The company was trying to persuade everyone that it was an environmental friendly company that was using and develop alternative energy technology. During its existence it paid so much in fines for pollution that it is become obvious that management did not really care about the environment, but only about maximizing profit in anyway. It was easier for them to pay fines than to change their management system and prove safety improvements in the workplace. After the explosion, BP’s stock price and its reputation went down, and it is one of the numerous results of the disaster. It has definitely happened because of a lack of strong ethical guidance.

BP- Texas City Oil Refinery Explosion (2005) – Case Summary

In one of the largest oil refineries in Texas City, on March 23, 2005, the explosion and fire took place, which took away 15 lives, injured over 170 people, and obligated thousands residents that lived close to the plant to stay in their homes. BP generates diesel and jet fuel, and gasoline. In 2005 a huge cloud filled with hydrocarbon ignited approximately 1:20 pm. The explosion caused solid harm to the plant and to its name. In fact, the company had couple not so serious accidents before the explosion, and there were none engineering problems addressed by the management of the company. Because of a cost-saving plan, the maintenance and safety was paid less attention that needed in order to avoid the disaster at the plant. For sure, all the responsibility of the accident should be blamed on executives in London that were aware of the safety issues and budget cuts. It was definitely strong mismana...

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...e and to save money while risking the safety of their workers, and as the result people die at their work and their families are left without loved ones.

Works Cited

"A Brief History of BP". TIME magazine. 2 June 2010.

Web site: http://www.time.com

"Gulf oil spill: BP has a long record of legal, ethical violations" 8 May 2010 by McClatchy Washington Bureau.

Web site: http://www.mcclatchydc.com

"U.S. Chemical Safety And Hazard Investigation Board Investigation Report on the BP Refinery Explosion and Fire of 23 March 2005 and BP's Safety Culture".

Web site: http://www.csb.gov

Greenhouse, Steven (October 30, 2009). "BP to Challenge Fine for Refinery Blast". New York Times.

Web site: http://www.nytimes.com

Lyall, Sarah. In BP’s Record, a History of Boldness and Costly Blunders. New York Times, 2010-07-13.

Web site: http://www.nytimes.com

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