logo
Share SHARE
FONT-SIZE Plus   Neg

Chevron, Transocean Face $11 Bln Lawsuit In Brazil

A Brazilian federal prosecutor has launched a new lawsuit against oil giant Chevron Corp. (CVX) and driling contractor Transocean Ltd. (RIG) for 20 billion reais ($11 billion) related to a second oil leak occurred at Chevron's Frade field off Brazilian coast in early March.

In December 2011, the country's prosecutors had filed a $10.6 billion lawsuit against Chevron and Transocean for environmental damage caused by an oil spill in November in the Campos Basin, off the southern coastal state of Rio de Janeiro.

The Brazilian prosecutors then claimed that "Chevron and Transocean weren't capable of controlling the damages from a spill of 3,000 barrels of oil, which proves a lack of environmental planning and management"

Chevron had said in March that its unit Brasil Upstream Frade Ltd. has filed to temporarily halt production operations in Brazil after "a small new seep" was identified at the Frade Field in the Campos Basin. Frade field is the largest foreign run oil field in Brazil.

In the latest lawsuit, prosecutor Eduardo Santos de Oliveira also seeks to stop operations at Frade and prevent the U.S. oil company from transfering profits made in Brazil. It also seeks to prevent the company from moving equipment out of the country and receiving finance supported by the government.

CVX closed on Tuesday at $107.14, down from the prior close of $108.30, on a volume of 4.69 million shares.

Transocean is currently falling 2.12 percent in Zurich to 47.79 francs.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
Tech giant Apple Inc. has developed a new technology that will prohibit audiences using their iPhones to record concerts. The Cupertino, California-based company has secured a patent in the US for its new technology. The technology uses infrared signals to shut down cameras on audience members' smartphones. The... Snacks giant Mondelez International Inc. (MDLZ) made a takeover bid of $23 billion to acquire chocolate behemoth Hershey Co. (HSY) that would create the world's largest chocolate company. Nevertheless, shares of Hershey jumped over 15 percent after the company revealed that it has rejected the offer. "The... Mortgage rates dropped this week to the lowest level in more than three years hurt by the UK's shocking decision to exit European Union. Releasing the results of its primary mortgage market survey, Freddie Mac said that the 30-year fixed-rate mortgage or FRM averaged 3.48 percent for the week ended...
comments powered by Disqus
Follow RTT