Oil group BP PLC (BP.LN) said Friday that it has reached agreement with Cameron International Corporation, the manufacturer of the Deepwater Horizon blowout preventer, to settle all claims between the companies related to the Deepwater Horizon accident and spill, with Cameron paying BP $250 million.

MAIN FACTS:

-BP and Cameron have concluded that the settlement is in their mutual best interests, and the agreement is not an admission of liability by either party.

-BP will immediately apply the $250 million to the $20 billion trust it established to meet individual, business and government claims, as well as the cost of the natural resource damages.

-BP and Cameron have agreed to mutual releases of potential claims against each other, and BP has agreed to indemnify Cameron for compensatory claims resulting from the accident, including claims brought relating to pollution damage stemming from the accident or any damage to natural resources.

-BP's indemnity excludes civil, criminal or administrative fines and penalties, claims for punitive damages, and certain other claims.

-BP and Cameron will discontinue claims against each other in the Multi-District Litigation pending in New Orleans.

-Cameron shall pay the agreed settlement in cash within 30 days of the effective date of the settlement, which is Dec. 14.

-BP shares closed Thursday at 447.85 pence valuing the company at GBP84.93 million.

-By Rory Gallivan, Dow Jones Newswires; 44-20-7842-9411; rory.gallivan@dowjones.com

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