Ibama Recommends Denying Petrobras Drilling in Amazon Region

The staff at Brazil’s Ibama agency has recommended denying Petrobras’ drilling request in the environmentally sensitive Foz do Amazonas region. This decision is awaiting final approval from Ibama’s President amid governmental pressure. The earlier denial was due to insufficient plans addressing potential ecological damage, with Petrobras’ appeal still under consideration.

The technical team at Brazil’s environmental agency, Ibama, has recommended that the organization reject the request from Petrobras to commence drilling in the ecologically sensitive Foz do Amazonas region. This information comes from two sources familiar with the ongoing discussions, indicating that the final decision will rest with Ibama’s President, Rodrigo Agostinho. The agency faces scrutiny from Brazil’s President, Luiz Inacio Lula da Silva, who has criticized Ibama for its hesitance in granting the drilling permit, suggesting that it operates contrary to government interests.

The refusal to issue the drilling license appears to be partly due to the lack of significant revisions in the plans intended to protect local wildlife in the event of an oil spill. Earlier this year, in May 2023, Ibama had previously denied Petrobras’ application for an offshore drilling license relating to the same area, citing environmental risks as the basis for their decision. Following this denial, Petrobras initiated an appeal for reconsideration, though Ibama’s conclusive decision remains awaited.

The drilling location that Petrobras seeks access to is situated in Brazil’s Equatorial Margin, which is recognized as a promising oil frontier. This area notably shares geological characteristics with regions in neighboring Guyana, where major fields are currently being explored by ExxonMobil. The forthcoming resolution by Ibama is crucial, as it could significantly impact both Petrobras’ operations and environmental conservation efforts in the Amazon region.

In conclusion, Ibama’s technical staff has advocated for the denial of Petrobras’ drilling request in the Foz do Amazonas region due to environmental concerns. The decision is subject to the approval of President Rodrigo Agostinho and reflects ongoing tensions between the agency and the federal government regarding environmental protection and resource extraction. The outcome will greatly influence both the oil industry and the local ecosystem.

Original Source: www.usnews.com