President Obama says that he holds BP fully responsible for the oil spill in the Gulf of Mexico.

Speaking at a press conference in the US, the President has announced that BP will be expected to pay for the clean up. They will also be required to shell out for damage done to the local environment and economy.

The President claimed that oil companies were rife with corruption and said that he will be announcing new regulations to keep an eye the industry.

Exploratory drilling in the Gulf and in other areas of the US, including Alaska, will be suspended following the crisis.

BP is still struggling to deal with the spill, with Operation "top kill" currently in action. The process of pumping mud and concrete to plug the leak is showing early indications of success.

But it is too early to tell if the method is working completely and the US coastline is still being threatened by crude creeping further into the delicate marshlands and unstable ecosystems.