Brazil’s state-owned oil company, Petroleo Brasileiro SA, has announced the completion of a wildlife rescue center, a significant milestone as it prepares to drill its first exploratory well in a promising yet controversial offshore area in the Northern state of the country.
The center has received approval from Amapa state authorities; however, it still requires an inspection by the environmental protection agency, Ibama, before it can commence operations, according to a statement from Petrobras.
This development meets the final requirement set by Ibama prior to its decision on whether to issue a permit for Petrobras to explore for oil in the Foz do Amazonas Basin, an area the company believes may hold reserves akin to those discovered by Exxon Mobil Corp. in nearby Guyana.
After Ibama conducts its inspection, Petrobras will need to relocate its drilling rig to the FAZ-M-59 block and perform a pre-operational assessment to demonstrate the effectiveness of its emergency response plans in the event of an oil spill. Ibama will then make a determination regarding the permit.
In 2023, Petrobras’ initial request to drill in this region was denied by Ibama due to concerns related to social and environmental impacts.
SOURCE: Bloomberg News