Chevron Corporation reported that while its subsidiary, Chevron Brasil Upstream Frade Ltda., has not received formal notice from Brazil’s National Petroleum Agency (ANP) suspending its drilling license, the company has voluntarily suspended its current and future drilling operations, offshore Brazil.
The voluntary suspension includes the company’s permitted pre-salt wells in the Frade field with the exception of current plug and abandonment activities. The suspension is indefinite.
“Chevron acknowledges, however, that ANP has posted a notice of suspension to its website” said Chevron in its press release.
Chevron’s decision to suspend its drilling operations has no impact on its current production in the Frade field or on other Frade field operations. Production from the Frade field is approximately 79,000 barrels of oil equivalent per day (approximately 36,000 barrels net).
Chevron had previously suspended development drilling in the Frade field on November 9 after it became aware of oil migrating from seep lines in the ocean floor.
ANP Brasil also announced on its website that it has ordered the suspension of drilling activities in the Frade Field until the causes of the oil spill are identified.
“This resolution suspends all drilling for Chevron in Brazil Ltda. in the country.” says ANP’s release.
[mappress] Offshore Energy Today Staff , November 24, 2011