26 Oct 2005

A Colono's Report Ratifies Good Quality of Texaco Petroleum's Remediation at Shushufindi-24

Plaintiffs intent to misguide the Court lacks scientific basis

Nueva Loja, October 26, 2005- Judicial Inspection No. 28 of the 122 planned, was conducted at Shushufindi-24, site owned by Petroecuador. Efraín Novillo, President of the Superior Court in Nueva Loja, was able to verify Texaco Petroleum Company's (Texpet) environmental remediation in two pits.

Other Highlights:

  • During the inspection, plaintiffs intended to mislead the Court by presenting two charts which lacked all scientific grounds. During their presentation, they underscored that these charts were serious studies on metals naturally existing on soil. Later, it was verified that the information came from an Acción Ecológica's text published on the Internet which does not refer to metals in natural soils. The first chart mentioned concentrations in continental waters and compared them to Ecuador's 2003 Executive Decree 3516. The second chart did not make reference to natural soils either but provided information regarding mine locations in the country.
  • Chevron Corporation's outside counsel presented the Court with a document submitted by Alberto Wray, plaintiffs' legal representative, in which Miguel Masache, owner of a house located near the well, assured: "pits 1 and 2 were well remediated". Once the remediation works concluded, Masache negotiated with Petroecuador the area's revegetation. He requested planting of cedars, jacaranda, and drago, and a football court built in the remaining area. This was ratified by the same Masache in his testimony before the Court.
  • Chevron Corporation delivered to the Court a series of photographs taken before, during, and after the remediation works performed at the two pits. The company subcontracted the firm "PECS-DEMI-IECONTSA" to perform these works. As the analytical results conducted at the Central University Laboratory prove, all the hydrocarbons removal and water treatment complied with the contract's standards established by the Ecuadorian Government and the legal rulings in force at the time. For this reason, through the Act of November 22, 1996, the Ecuadorian Government legally freed Texpet from all obligations, responsibilities and claims for the environmental condition of Shushufindi-24.
  • Any environmental impact currently found at the site is of Petroecuador's responsibility because Shushufindi-24 is an active site which still produces crude oil for Petroecuador. In the last few years, at least 10 workovers have been conducted at the site and its environmental impact cannot be attributed to Texpet who stopped operating in Ecuador over 15 years ago.

Back to top