Simply Politics and News

[StephanieVanbryce]

Hey - things are just not going the way they used to .. see following .. just another little tidbit .. there are many, many more ..

Peru Threatens to Revoke Hunt Oil's Pipeline Concession, Reports Amazon Watch

Author: Amazon Watch
Published on December 8, 2005, 08:19



Texas-based Hunt Oil's Consortium faces suspension or loss of its concession to run a controversial, $1.6 billion, Camisea pipeline carrying gas from the Peruvian Amazon to the Pacific Coast. Four major liquid gas spills from the pipeline in just fifteen months of operation have prompted an emergency review by a joint commission from Peru's Ministry of Energy and Mines (MEM) and energy regulator (OSINERG).

The latest spill dumped approximately 6,000 barrels into the rainforests of the Machiguenga Communal Reserve on November 24. In protest, hundreds of Machiguenga Indians launched a river blockade, now in its 5th day.

The commission will resume deliberations Friday, December 9 on an independent audit of the entire 430-mile pipeline. An audit could shut down pipeline operations until its safety can be guaranteed. Unfavorable findings could result n the revocation of the concession from Transportadora de Gas del Peru (TGP), of which Hunt Oil is majority shareholder and Argentina's Techint is the operator.

"We will have the results of an audit of the Camisea pipelines [soon], and these could lead to fines and even to the operator losing the concession if it failed to comply with the technical norms of the contract," said Gustavo Navarro, Director of Hidrocarburos de Peru, the nation's top energy official, in interview with Reuters.

"We'll continue the non-violent blockade of the Urubamba River in order to pressure the government and the companies to take appropriate measures," said Luis Vasquez Rios, Machiguenga protest spokesperson.

Last week, environmental organizations sent a letter to Ray Hunt, CEO, blasting the Company for failing to prevent unnecessary harm to the rainforests. It the letter, Amazon Watch, Oxfam America, Environmental Defense, SEEN, World Wildlife Fund, Friends of the Earth and the Amazon Alliance called on Hunt to conduct "comprehensive hydrostatic testing of the entire pipeline in order to detect defects and prevent future spills."

Amazon Watch also criticized the Inter-American Development Bank (IDB) which provided $75 million in financing for the pipeline: "The IDB claimed its investment would bring world class environmental safeguards, yet the reality is that Camisea has been a world class disaster," said Atossa Soltani, Executive Director of Amazon Watch.

© Copyright 2005 by YubaNet.com

http://www.yubanet.com/artman/publish/article_28789.shtml