Ethical Issues of British Petroleum Oil Spill Term Paper

Ethical Issues of British Petroleum Oil Spill - Term Paper Example Its Exploration and Production’s activities falls under three key areas. The first is upstream activities which include oil and natural gas exploration, field development and production. The second is Midstream activities which include pipeline, transportation and processing activities related to its upstream activities (BP PLC (BP), 2011). The third is marketing and trading activities which include the marketing and trading of natural gas, including liquefied natural gas (LNG), together with power and natural gas liquids (NGLs) (BP PLC (BP), 2011). Refining and Marketing activities include the supply and trading, refining, manufacturing, marketing and transportation of crude oil, petroleum and petrochemicals products (BPPLCBP), 2011). History The history of the company starts in 1908 when oil found in a rugged part of Persia after a long and difficult search. It was Mr D’Arcy who financed the oil exploration. Mr Reynolds was the explorer. The discovery was due to the p atience of Reynolds. By the early morning of 26 May 1908, the drill reached 1,180 feet and a fountain of oil spewed out into the dawn sky ( BP at a Glance, 2010). Within one year, the Anglo-Persian Oil Company, which would one day become BP, was in business ( BP at a Glance, 2010). ... After the war, the nationalists throughout the Middle East angrily questioned Western companies’ right to profit from Middle Eastern resources ( BP at a Glance, 2010). Anti-British sentiment also increased. The agreement between the former Shah of Persia and William D’Arcy expired in 1954, and the director board changed the company’s name to The British Petroleum Company ( BP at a Glance, 2010). Later unexpected changes took place in the Middle East. Ghaddafi and other Middle Eastern countries declared that they will nationalise energy companies in ten years. So, by 1983, BP’s oil supply from Middle East was reduced from 80% to meagre 10%. Fortunately BP had discovered major oil fields in other parts of the world, including Prudhoe Bay in Alaska and the Forties field off the coast of Scotland ( BP at a Glance, 2010). In 1987 BP bought Standard Oil of Ohio (Sohio) incorporating it into a new national business, BP America. That same year the British governme nt sold the last of the shares it held in BP ( BP at a Glance, 2010). With major, long-term projects in Russia, the Gulf of Mexico, North America, Azerbaijan, Indonesia and elsewhere, BP had a lot of oil and gas (BP at a Glance, 2010). Mission The mission of BP is to help the world meet the growing demand for heat, light and transportation. This is achieved by finding efficient and cleaner ways to produce energy that’s affordable and safe. To meet that goal, BP is progressive, responsible, innovative and performance driven (Our culture and values , 2011) Ethics Background The BP has a code of conduct. The company says that it is part of the ethics program and is supported by the directors and senior