Citing the mishap that occurred in the Gulf of Mexico, it is probable that the Government may exercise some stringent regulations on the U.S. offshore oil industry and could impose a ban on deepwater drilling.

The legislation could pose a threat to the business of BP. Responding to Government’s proposed ban, BP presages Congress that if such a law is passed, it won’t be able to pay money for the disruption caused in the Gulf of Mexico by its oil spill.

The Government has sought BP’s assistance to adhere to the ban, but the Company is of the view that it would pose a threat to the Gulf Coast refurbishment.

In an indirect way, the Company has refused to support the ban, as it would hit hardly its revenues.

David Nagle, BP’s Executive Vice President for BP America, said, “If we are unable to keep those fields going that is going to have a substantial impact on our cash flow, makes it harder for us to fund things, fund these programs”.

The proposed legislation has been framed by Representative George Miller, Democrat of California. Though it comprises every Company that is into deepwater drilling, BP is its primary target for its contraventions.

As per Daniel Weiss, Mr. Miller’s Chief of Staff, BP posed peril to the Gulf and no matter if it was inflicted with fines, it would continue with its behavior.