23 December 2011

BRASIL: BP's Gulf Disaster...Still Reverberates In SubSalt Crackdown On Chevron.


    Rio state's prosecutors are threatening to indict executives of Chevron and Transocean after a recent 3,000 bbl oil leak in its offshore Frade field.
   They also seek to shut all operations and levy fines of $10.8bn.
    “Depending on the measures that the government may take, it would make oil exploration in Brasil much more expensive,” said a Rio expert.
    Oil execs call Rio's actions...an 'overreaction.'
    “I’m a little surprised by the stance that you’re seeing in Brasil, largely because it’s so excessive, potentially, that you could put a very big chill on foreign investment in the deep water,” said a USA fund manager.
     "Unlike the BP incident in the Gulf, this year’s Brasilian and Chinese spills are within the normal range of oil industry accidents,' claims a geologist.