Brazil ANP Indicts Chevron 3rd Time Over Frade Oil Leak

RIO DE JANEIRO (Dow Jones Newswires), Dec. 30, 2011

Brazil's national oil industry regulator ANP said Friday it issued a third indictment to U.S. oil producer Chevron after an oil well leak at Frade oil field in Brazil, which it operates. 

The ANP said in a statement that Chevron was being indicted because it didn't take measures to preserve the reservoirs at the 9-FR-50DP-RJS well at Frade field. ANP technicians identified the non-observance of points included in the Frade field development plan which had been approved by the ANP, the regulator said. Failure to keep to the plan during the drilling of the well had led to the leak of hydrocarbons, the regulator said. 
ANP said a first indictment was issued to Chevron because the company didn't keep to the plan to abandon operations at the leaky well, as it didn't have the necessary equipment to adhere to the plan which the company itself had presented to the regulator. 
The second indictment was issued because the company didn't supply full information on the leak incident to the ANP. According to the regulator, the company had submitted an edited version of a film obtained by a remotely-operated vehicle sited at the points of leakage, rather than the full version of the film. 

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