Brazil's government slapped US oil giant, Chevron with a 28 million dollar fine for causing an offshore oil spill off Rio de Janeiro's coast.
The state's environment secretary said further fines could be imposed.
(SOUNDBITE) RIO DE JANEIRO STATE ENVIRONMENT SECRETARY, CARLOS MINC, SAYING (Portuguese) :
"We will file a civil action for compensations for damage and diffused goods such as marine biodiversity and coastal environment. And it is important to mention that in a public lawsuit there is not a 50-million limit. Our initial estimate is that this value could double, it could reach 100 million reals."
Chevron's Brazil CEO, George Buck, took full responsibility for the leak of about 2,400 barrels.
(SOUNDBITE) CHEVRON BRAZIL'S CEO, GEORGE BUCK, SAYING (English) :
"Chevron takes full responsibility for this incident. We responded to it quickly and effectively and we will continue to respond to it. Any oil on the surface of the ocean is unacceptable to Chevron and we will work diligently until there is none."
At its height, the leak released 200 to 330 barrels per day into the ocean.
Though relatively small and mostly contained, the leak highlights the environmental risks of tapping Brazil's oil at great depths.
This could also add to delays in plans to develop the offshore fields.
With ambitions to produce 7 million barrels of oil per day by 2020, it could make Brazil the third-largest oil producer after Russia and Saudi Arabia.
Marie-Claire Fennessy, Reuters.
