Chevron Halts Drilling of Well Offshore Brazil

Chevron Brazil Petroleo Ltd. is responding to oil seeps and a subsequent sheen that has occurred in the vicinity of the Chevron operated Frade project located 370 kilometers (230 miles) offshore north east of Rio De Janeiro, Brazil in water depths of approximately 1200 meters (3800 feet).

Based on a range of technical and direct observations, Chevron Brazil continues to estimate the volume of the sheen to be between 64 to 104 cubic meters or between 400 – 650 barrels of oil and located about 120 kilometers off the coast.

Chevron Brazil is deploying experts from Chevron Corporation’s global response team and continues to inform and work with government agencies and industry partners in response to the matter.

Chevron Brazil is also managing a fleet of 17 vessels that have been committed by the company and industry partners with a presence in the Campos Basin to help control the sheen.

The fleet is being scheduled on a rotational basis to deploy containment booms and undertake skimming and washing techniques aimed at controlling the sheen.

Oil seeps that have been detected within the vicinity of the Frade field are releasing oil to the sheen. Investigations are continuing on the cause and source of the oil seeps.

A precautionary suspension of development drilling activities at Frade remains in place.

Inspections of the Frade production facility continues to confirm that production activities are unrelated to the seeps and sheen, and production is continuing.

Further updates will be provided as information is confirmed.

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Source: Chevron, November 13 , 2011