Court orders Chevron to stop drilling for oil
Headline Legal News
A federal court has given Chevron Corp. and driller Transocean Ltd. 30 days to suspend all petroleum drilling and transportation operations in Brazil until the conclusion of investigations into two oil spills off the coast of Rio de Janeiro.
The court says in a statement posted Wednesday on its web site each company will be fined 500 million reals ($244 million) for each day they fail to comply with the suspension.
About 155, 000 gallons of oil crude began seeping from cracks in the ocean floor at the site of a Chevron appraisal well in November. Two weeks later, the National Petroleum Agency said the seepage was under control. But in March, oil again started leaking and Chevron voluntarily suspended production in the field.
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