BP suffers setback on Gulf of Mexico spill costs The decision by District Judge Carl Barbier echoed the terms of his ruling last week that BP must indemnify rig-owner Transocean over some claims. However, as in that ruling, BP will not have to cover Halliburton for civil penalties or punitive damages under the Clean Water Act. The rulings mean it is likely BP will have to shoulder about $15bn (£9.5bn) of costs related to the $20bn compensation trust fund itself. BP had budgeted for the full $20bn but has effectively recouped $5bn through settlements with other companies and has been attempting to make Halliburton and Transocean pick up a share of the costs. Judge Barbier ruled BP must indemnify Halliburton, which supplied cement for the well, against third-party compensatory claims that arise from pollution "that did not originate from the property or equipment of Halliburton located above the surface of the land or water," even if gross negligence by Halliburton caused the pollution. BP estimates the total bill for the disaster at about $41bn, including about $14bn of clean-up costs that it has so far shouldered itself. BP said: "Today's ruling, together with last week's decision on Transocean's financial obligations stemming from its conduct at the Macondo well, is a strong signal that contractors involved in critical well operations will be held accountable for their actions under the law." Halliburton did not immediately comment.