Brazil authorizes Chevron to resume production

RIO DE JANEIRO (AP) -- Brazil's National Petroleum Agency says it has authorized Chevron Corp to resume production on six offshore wells off the coast of Rio de Janeiro after more than 100,000 gallons of crude seeped into the ocean there.

The agency says Friday's authorization will last one year. In an emailed statement, the Rio-based agency said a security team would be monitoring the U.S.-based company's operations.

An estimated 110,000 gallons (416,300 liters) of crude seeped into the ocean near the Chevron well in November, 2011. The leaks resumed several months later, and the company's production in the Frade field was suspended. The field had been producing around 62,000 barrels a day.

Criminal charges against Chevron and driller Transocean Ltd. were dropped but both still face two civil lawsuits seeking $20 billion in damages.

Source: http://news.yahoo.com/brazil-authorizes-chevron-resume-production-162322653.html

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