Stiff penalty

Wednesday 31 July 2002

-- Pollute and pay. Angola has communicated this to all business establishments operating in the country. In a major haul-up, the African nation has fined us oil major ChevronTexaco Corporation us $2 million for polluting beaches and damaging fishing prospects in the Cabinda region. Angola has notified the company about the penalty and also intimated the country's Supreme Court and the petroleum ministry. The fine was slapped after investigations in May and June revealed that Cabinda oil spills were caused by obsolete tubing. ChevronTexaco has promised to invest us $108 million to replace pipes. The company claims it reduced crude production in Angola by 12 per cent after the pipeline transporting oil from the Malongo area to its export terminal in Cabinda developed a leak.

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