Brazil Oil Leak to Cost Chevron $25 million

Brazil’s National Petroleum Agency said Thursday that Chevron Corp. will be fined nearly 50 million reais (approximately $25 million) for an oil leak at an offshore field last November.

The U.S. oil producer was found to have committed 25 rules violations, each of them subject to a fine of up to 2 million reais, agency officials said at a press conference, while noting that Chevron’s prior good record in Brazil will be taken into account in determining the precise amount of the penalty.

The agency, known by the Portuguese initials ANP, says 3,700 barrels of crude have leaked from the Frade field, located 120 kilometers (75 miles) off the coast of Rio de Janeiro state.

“The accident could have been avoided if Chevron had complied with the Brazilian rules and its own guidelines,” ANP Director Magda Chambriard said. She also said a 68-page report detailing each of Chevron’s 25 rules violations will be released later.

The San Ramon, California-based multinational is the operator of the field with a 52% stake, while Brazilian state-controlled oil giant Petrobras and Japan’s Frade Japao Petroleo have 30 percent and 18% interests, respectively.

Frade lies in the Campos basin, where nearly 90 percent of Brazil’s oil and gas is extracted.

CFI

Recent Posts

Bridging the Gap: How AI Can Enhance Transparency, Governance and Unlock Africa’s Economic Potential Through FDI

A new era of transformation is dawning across Africa, though its light will not touch…

1 day ago

Africa’s $777bn Opportunity: Why Local Capital Must Power the Energy Transition

Africa stands at a critical energy crossroads. Countries must collectively come to terms with a…

2 days ago

Africa Enters an Age of Optimism

The upcoming UN General Assembly (UNGA) in New York presents an opportunity for world leaders…

6 days ago

Digital Health’s Q1 2025 Unicorn Baby Boom: Investors Bet Big on Innovation

The first quarter of 2025 saw an unprecedented rise in the valuation of digital health…

1 week ago

From Dubai Chocolate to AI: The Middle East in Transition

A sweet retail success in Dubai reflects a deeper transformation across the Middle East —…

1 week ago

Cube Labs: Transforming Scientific Discovery into Scalable Healthcare Innovation

Italy-based Cube Labs is redefining healthcare venture building by bridging the gap between academic research…

2 weeks ago