BP has begun the costly process of compensating victims of the world’s worst oil disaster with an initial $US3 billion ($3.3 billion) deposit in a Gulf of Mexico spill fund.

The UK oil firm established the $US20 billion ($22 billion) compensation fund in June following pressure from President Barack Obama and negotiations with the US Justice Department.

“We have made clear that the company [BP] still needs to ensure that the necessary funds will be available if something happens to the subsidiary that established the trust,” Associate Attorney-General Tom Perrelli said.

BP will put an additional $US2 billion ($2.2 billion) into the account in the fourth quarter of 2010 and a further $US1.5 billion ($1.66 billion) every quarter after that until the $US20 billion ($22 billion) target is reached.

BP says Citigroup will act as trustee of the compensation fund.

The company has suspended its dividend and is selling $US30 billion ($33 billion) worth of assets to meet claims relating to the spill.

The BP-operated Macondo well exploded on April 20, killing 11 workers and sinking the drilling rig. The well, now plugged, spilled crude oil into the Gulf damaging the area’s fishing trade and the key tourism season.