Tony Hayward, CEO of British Petroleum which is responsible for the oil spill in the Gulf of Mexico, said Thursday that the disaster "never should have happened" and he is "deeply sorry that they did."

"The explosion and fire aboard the Deepwater Horizon and the resulting oil spill in the Gulf of Mexico never should have happened -- and I am deeply sorry that they did," Hayward said in testimony before a House Energy and Commerce Committee panel.

The CEO said BP is doing everything in its power to secure the well and contain the flow of oil. He also promised that the company will pay all legitimate claims for losses and damages from the spill.

Hayward testified one day after his company announced it would suspend dividend payments for the rest of the year and create a 20- billion-dollar escrow fund for damages.