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updated 15:42, Wed January 02, 2008

Alaska Says to Receive $379M to Settle Tax Dispute With Oil Company BP

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JUNEAU, Alaska (AP) -- The state will receive a payment of $379 million from oil company BP PLC after the two sides settled a tax dispute, Governor Sarah Palin said Monday.

The dispute stems from taxes assessed in 2000-2002, but state law precludes disclosing details of the dispute, the governor's office said.

Palin said the money will go to the state's Constitutional Budget Reserve. It's also the sum she proposed placing in the CBR during her budget rollout in early December.

In a statement, Palin said she appreciated, "BP's willingness to work with the state of Alaska and come to a fair resolution."

BP officials could not immediately be reached for comment.

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