Swiss drilling company Transocean Ltd. said Thursday it has agreed to pay the U.S. government $1.4 billion for environmental and economic damage caused by the massive 2010 oil spill in the Gulf of Mexico.

"As part of this resolution, a Transocean subsidiary has agreed to plead guilty to one misdemeanor violation of the Clean Water Act for negligent discharge of oil into the Gulf of Mexico and pay $1.4 billion in fines, recoveries and penalties, excluding interest," the company said in a statement.

"This resolution will result in the Department of Justice concluding its criminal investigation of Transocean and settling its claims for civil penalties against the company relating to the spill from BP's Macondo well," the statement said.

The April 20, 2010, explosion of the Deepwater Horizon rig, owned and operated by Transocean, killed 11 people and triggered a massive oil spill that polluted a large swath of the northern Gulf of Mexico and U.S. Gulf coast.

Transocean said the settlement will be paid in installments over a period of five years.

The company also pledged to implement new spill prevention measures in consultation with U.S. authorities.

In mid-November, BP Plc agreed to plead guilty to felony manslaughter, environmental crimes and obstruction of Congress and pay more than $4.5 billion in fines and damages for conduct leading to the Deepwater Horizon disaster. EFE