Brazil: Government Slaps Chevron with USD 28 Million Fine for Frade Oil Spill

Brazil Government Slaps Chevron with USD 28 Million Fine for Frade Oil Spill

The U.S. oil company Chevron may be prohibited from participating in the exploration of oil in the pre-salt layer because of the leak in the Frade Field, Campos Basin, offshore Rio de Janeiro, according to the Brazil’s National Petroleum Agency (ANP).

ANP said that Chevron didn’t have equipment in Brazil considered vital to stop the leak and sent photos and video with edited images on the extent of the leak. As a consequence, Chevron was slapped with a $28 million fine, and is facing even more penalties if it is proven the company was unsuccessful in the execution of its emergency plan.

Chevron estimates that 2,400 barrels (381,600 liters) spilled into the ocean , Campos Basin. The environmental accident was detected on Nov. 8 by Petrobras employees.

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Offshore Energy Today Staff , November 22, 2011; Image: Chevron