The Amazon Pink Dolphin’s Voice: Chevron’s South American Nightmare includes the support of Chavez & Latest Petroleum News.

Chevron’s South American Nightmare

Chevron is facing some very tough times in South America and this year could be telling for the success of their continued business in the continent.

The latest disaster occurred in November last year when they were responsible for a spill of more than 2,400 barrels of crude off the coast of Brazil. Although the spill was less than 0.1 percent the size of the BP deep water horizon spill in the Gulf of Mexico in 2010, Chevron is being sued more than $11 billion by its Brazilian prosecutors. It also faces an extra $121 million in fines and has had its Brazilian drilling license revoked, putting a bit of a dampener on the development of its new $2 billion oil field; the largest foreign run oil field in the area.

The company is currently waiting for the Brazilian state oil regulator ANP to end a months-long investigation of the November spill, which Chevron are hoping will result in them regaining their drilling license for the region.

Chevron is also involved in another legal battle in Ecuador. Where it is facing an $18 billion verdict due to the decades of pollution inflicted upon the Amazon region by Texaco, whom Chevron bought in 2001.

Latin America is only a small part (about 6 percent) of Chevrons international business, but a worst case scenario in both Ecuador and Brazil could see them have to pay out damages that would exceed their 2011 total profits of $26.9 billion.

Rex Mitchell, Chevron’s deputy comptroller, warned that paying damages in the Ecuadorian law suit could “cause irreparable injury to Chevron’s business reputation and business relationships.”

And the South American nightmare continues for Chevron with uncertainty over their future in Venezuela.

Ali Moshiri is Chevron’s head of exploration and production in Latina America and Africa and is a close friend of Venezuela’s president Hugo Chavez. However Chavez is up for re-election and is also suffering from pelvic cancer, without this special relationship Chevron may find its business in Venezuela severely restricted. As Fadel Gheit, an oil analyst at Oppenheimer in New York, explains, “a string of mishaps means things have gotten difficult” for Chevron. Mistrust is growing in South America over the reliability and safety of the oil major.

 

Source: Oil Price.com

 

Latest Petroleum News

Japan, EU avoid Iran sanctions

 

Eleven countries have pledged a reduction in crude oil purchases from Iran to obtain exemptions from U.S. sanctions, U.S. Secretary of State Hillary Clinton announced on 20 March 2012.

Those countries granted waivers are Belgium, the Czech Republic, France, Germany, Greece, Italy, Japan, the Netherlands, Poland, Spain, and the United Kingdom, the State Department said in a statement. Under the terms of the new National Defense Authorization Act of 2012 (NDAA), countries that facilitate financial transactions with Iran risk being cut off from the U.S. financial system. The exemption covers a renewable period of 180 days.

‘Actions taken by these countries were not easy,’ Clinton said in a statement. ‘They had to rethink their energy needs at a critical time for the world economy and quickly begin to find alternatives to Iranian oil, which many had been reliant on for their energy needs.’

Clinton called Japan’s participation “noteworthy” because of its energy challenges in the wake of last year’s tsunami and subsequent meltdown at the Fukushima Daiichi nuclear power plant.

With the passage of NDAA, the U.S. has ramped up its efforts to encourage Iran to abide by International Atomic Energy Agency (IAEA) regulations and reveal whether the country’s nuclear program is being used to develop nuclear weapons, as the U.S. and its allies suspect. The European Union has joined U.S. efforts by agreeing to a full oil embargo on Iranian crude exports by July 1 and freezing the assets of Iran’s central bank.

‘Only two months after the passage of the National Defense Authorization Act for 2012, we have made progress in shrinking Iran’s oil export markets, and isolating its Central Bank from the world financial system,’ Clinton said. ‘Diplomacy coupled with strong pressure can achieve the long-term solutions we seek and we will continue to work with our international partners to increase the pressure on Iran to meet its international obligations.’

Source: OilOnline

SELVA Vida Sin Fronteras acknowledges Kevin Schafer’s important contribution towards protecting the highly endangered Amazon pink fresh water dolphin. Title photographs of our “The Amazon Pink Dolphin’s Voice” were taken by Mr. Schafer. 

Editorial: Selvavidasinfronteras.org

Selvavidasinfronteras.wordpress.com

Advertisements

~ by FSVSF Admin on 28 March, 2012.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

 
%d bloggers like this: