BP has reached a $4bn agreement to settle all of its current and future claims against its former partner Anadarko in association with the Deepwater Horizon oil spill, which took place between April and June 2010.

According to the settlement agreement, BP will release its claims against Anadarko for $6.1bn of outstanding invoices, as well as forego the reimbursement of any future costs related to the event.

Anadarko Petroleum’s payment will form part of BP’s $20bn trust fund, which was set up to compensate victims and help pay for the clean-up after the fatal explosion in April 2010 that killed 11 people and led to the largest oil spill in US history.

BP will indemnify Anadarko for damage claims arising under the Oil Pollution Act, claims for natural resource damages and associated damage-assessment costs, and other claims arising under the joint operating agreement.

Anadarko will remit the settlement amount to BP within 45 days and fund the payment in cash.

In addition, Anadarko will transfer its 25% interest in Mississippi Canyon block 252 (Macondo) to BP.

Anadarko chairman and CEO Jim Hackett said the settlement amount, which is equivalent to $5 per share after tax, eliminates exposure to historical and future claims.