BP stock tumbles below 300p to 14-year low

Embattled oil major BP has seen its share price dive below 300p, hitting a 14-year low, as the escalating cost of the Gulf of Mexico oil spill hit $2.3bn (£1.57bn).

In mid-morning trading on London's FTSE index, its share price was down almost 9% to hit a low of 296p as concern mounted over its ability to pay the ballooning costs of the worst ever oil spill. Speculation it may have to raise more funds weighed heavily on BP's share price and pushed its credit default swaps wider. The $2.3bn bill - up from the previous figure of £2bn - consists of cleanup costs, compensation claims and grants to affected US states. Earlier in the morning, the company's share price hit a 14-year low, dropping 6.9% to 302.5p, before tumbling below the 300p mark la...