• 3 minutes e-car sales collapse
  • 6 minutes America Is Exceptional in Its Political Divide
  • 11 minutes Perovskites, a ‘dirt cheap’ alternative to silicon, just got a lot more efficient
  • 1 hour GREEN NEW DEAL = BLIZZARD OF LIES
  • 51 mins e-cars not selling
  • 3 days CHINA Economy Disaster - Employee Shortages, Retirement Age, Birth Rate & Ageing Population
  • 7 hours The European Union is exceptional in its political divide. Examples are apparent in Hungary, Slovakia, Sweden, Netherlands, Belarus, Ireland, etc.
  • 4 days If hydrogen is the answer, you're asking the wrong question
  • 4 days How Far Have We Really Gotten With Alternative Energy
Tom Kool

Tom Kool

Tom majored in International Business at Amsterdam’s Higher School of Economics, he is Oilprice.com's Head of Operations

More Info

Premium Content

Petrobras To Appeal Amazon Oil Rejection In Lula Litmus Test

  • Last week, Brazil's Ibama environmental agency rejected the environmental license for exploratory drilling in the deep waters of the Amapa at the mouth of the Amazon.
  • The ruling indicates a fracture in the Lula camp that has created two factions, one keen to drive oil drilling forward, and the other more concerned with protecting the environment.
  • Brazil’s state-run oil giant Petrobras is preparing to file a request to appeal the decision.

Brazil’s state-run oil giant Petrobras is preparing to file a request to appeal a decision to reject the environmental license for exploratory drilling in the deep waters of the Amapa at the mouth of the Amazon. Claiming that it has already met the project’s technical needs, Petrobras said it would comply with additional requirements from the country’s Ibama environmental agency to gain approval for the drilling of a exploratory well in bloc FZA-M-059. 

Last week, Ibama ruled to block the drilling in a major blow to the government of President Luiz Inacio Lula da Silva. 

The ruling indicates a fracture in the Lula camp that has created two factions, one keen to drive oil drilling forward, and the other more concerned with protecting the environment. This inter-camp rivalry has led Lula to proceed more cautiously, with Amazon oil now positioned as an important litmus test for the administration. 

In terms of additional measures Petrobras would be willing to take, the oil giant committed to expanding a “fauna stabilization base in the city of Oiapoque in addition to a base already built in Belem, so that in the remote possibility of an oil spilling assistance to the fauna can be carried out in both locations," according to a statement

Earlier this week, Ibama head Rodrigo Agostinho told CNN that the environmental regulator was not likely to grant Petrobras’ appeal, citing the agency’s refusal to bow to political pressure. "Petrobras can resubmit the request, but most likely the technical team will not change its opinion without changes to the project," added Agostinho. Agostinho’s statement followed Lula’s comments that it would be “difficult” to imagine drilling in the mouth of the Amazon causing environmental problems to the rainforest. 

By Tom Kool for Oilprice.com

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage





Leave a comment

Leave a comment




EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News