Tier 3 Spill

AAA

DEFINITION of 'Tier 3 Spill'

One of the three levels of oil spills as categorized by the International Petroleum Industry Environmental Conservation Association (IPIECA). Tier 3 spills are the most severe; they cannot be contained with the resources of the producing company and require substantial external resources to deal with them.

INVESTOPEDIA EXPLAINS 'Tier 3 Spill'

The IPIECA has defined the three tiers according to various characteristics. Tier 3 spills usually require resources from stockpiles of national or international cooperatives. In most cases, these co-ops will be subject to governmental control.

RELATED TERMS
  1. BP Oil Spill

    A 2010 oil spill that occurred in the Gulf of Mexico as a result ...
  2. Oil Pollution Act Of 1990

    A law that caps civil liability for oil spills caused by tankers ...
  3. Tier 1 Spill

    One of the three categorized levels of oil spills. Tier 1 spills ...
  4. Tier 2 Spill

    The second of the three types of oil spills as categorized by ...
  5. Commodity

    1. A basic good used in commerce that is interchangeable with ...
  6. Sweet Crude

    A type of oil that meets certain content requirements, including ...
Related Articles
  1. Oil: A Big Investment With Big Tax Breaks
    Investing Basics

    Oil: A Big Investment With Big Tax Breaks

  2. Oil And Gas Industry Primer
    Active Trading

    Oil And Gas Industry Primer

  3. Uncovering Oil And Gas Futures
    Active Trading

    Uncovering Oil And Gas Futures

  4. Investing In Oil And Gas UITs
    Mutual Funds & ETFs

    Investing In Oil And Gas UITs

Hot Definitions
  1. Hyperinflation

    Extremely rapid or out of control inflation. There is no precise numerical definition to hyperinflation. Hyperinflation is ...
  2. Gross Rate Of Return

    The total rate of return on an investment before the deduction of any fees or expenses. The gross rate of return is quoted ...
  3. Debit Spread

    Two options with different market prices that an investor trades on the same underlying security. The higher priced option ...
  4. Leading Indicator

    A measurable economic factor that changes before the economy starts to follow a particular pattern or trend. Leading indicators ...
  5. Wage-Price Spiral

    A macroeconomic theory to explain the cause-and-effect relationship between rising wages and rising prices, or inflation. ...
  6. Accelerated Depreciation

    Any method of depreciation used for accounting or income tax purposes that allows greater deductions in the earlier years ...
Trading Center