Petrobras Fined $ 199 million for Environmental Infractions in 10 Years and only Paid 5%

Penalties for irregularities in oil exploration add up to unpaid compensations; company says it has the right to contest controversial points

Manaus

Petrobras committed environmental infractions that resulted in the application of more than 3,000 fines by Ibama (Brazilian Institute of the Environment and Renewable Natural Resources) in the last ten years. The penalties total R$ 985.6 million ($ 199 million).

VITÓRIA, ES, BRASIL, 01-03-2024: The Petrobras FPSO (Floating Production, Storage, and Offloading) oil extraction platform, P-57, located in Espírito Santo. (Foto: Bruno Santos/ Folhapress) - Folhapress

The progress of these infringement notices shows that there have been settlements of processes —including payment of part of the debts— in the amount of R$ 49.9 million, only 5% of the total. The remaining R$ 935.6 million is still outstanding.

Petrobras, in a statement, says it "reserves the right" to contest the fines "administratively in cases where there are controversial points."

Most of the fines relate to oil exploration processes, such as improper oil discharge into the sea, continuous disposal of water resulting from adopted procedures, and non-compliance with conditions established in licenses issued by Ibama.

Contestation strategies lead to processes dragging on for years, including prescription.

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