BP pays state $34 million in royalties

ANCHORAGE (AP) -- BP has paid the state an additional $34 million in royalties on North Slope oil and gas produced through 1999.

The payment concludes several audits of BP's royalty obligations and represents 2.6 percent of the total royalties paid by BP from 1993 through 1999.

BP made the payment made Dec. 29.

More than $10 million of the payment will be deposited in the Alaska Permanent Fund. The balance will go to the state's general fund.

BP also paid $1.2 million to resolve outstanding royalty issues between the state and Arco for the period through Dec. 31, 1999 when BP assumed Arco's royalty obligations as a result of the merger of BP and Arco.