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CONTENTS:
*State Department Report Voices Concern
*Overview of Jungle Contracts
*Mobil to Forge Ahead in Madre de Dios Drilling
*Reprieve for Ashaninka
*New Block 50 Contract (Hypocrisy Strikes!)
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PERU OIL NEWS is an irregular newsletter by:
perezoso@ccwf.cc.utexas.edu
PERU OIL NEWS is available on WWW at the following URL:
http://ccwf.cc.utexas.edu/~perezoso/pon.html
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STATE DEPARTMENT REPORT VOICES CONCERN
A US State Department report on human rights in Peru released last week
mentions the precarious human rights of Amazonian Indians vis a vis oil
exploration. It reads in part:
"Particularly in the jungle regions, colonists, coca cultivators,
guerrillas, and business interests encroach in native lands, many seeking
to exploit natural resources."
The report goes on the specifically cite Indian concerns about oil and gas
exploration in the Camisea region, where Shell and Mobil are seeking to
develop massive reserves, potentially including the construction of a
pipeline across the remotest part of the Amazon into Brazil. The report
also mentions that "malnutrition and disease are rampant among many of the
[Camisea area] tribes."
The report is critical of Peru's government, saying that:
"...indigenous people are in general unable to participate in decisions
affecting their lands, cultures, traditions, and the allocation of natural
resources. These decisions are made by the central Government in Lima."
Since the majority of oil contracts in Peru are linked to US interests, it
is very encouraging for the State Department to recognize the problems
that these company's activities engender. While the Peruvian Government
is clearly neglecting it's own Indian citizens, the US should discourage
companies from taking advantage of this neglect to perpetrate
unconscionable abuses themselves.
AN OVERVIEW OF RECENT JUNGLE E&P CONTRACTS
Basically done deals:
Company: Block Number: Location:
Advantage Rsrc 62 N jungle (w/Mobil)
Great Western 65 Maranon, 9 wells
Maple Gas 31-B,C,D Near Pucallpa
Mobil 62 N jungle
Murphy Oil 71 C jungle, 500km seismic
Occidental 4, 1-AB N jungle, border
Petroperu 8 NE jungle
Quintana 50 N jungle, 7 wildcats
Shell 38,42 Camisea,pipeline?
YPF 50 N jungle (w/Quintana)
Developing:
Advantage Rsrc 67 N jungle
ARCO 64 N jungle
Chieftan 73 NE jungle
Coastal 74 N of Pucallpa
ELF M-A, M-B MdD (w/Mobil)
Geat Western ??? ???
Mobil M-A, M-B Madre de Dios, pipeline?
Occidental 54,72 N jungle, Huallaga basin
?? 8, 8X NE jungle (w/Petroperu)
?? 55 Maranon Basin
MOBIL TO FORGE AHEAD IN MADRE DE DIOS
Mobil apparently will forge ahead with it's highly controversial plans for
drilling in Madre de Dios. The company has opened negotiations with the
Peruvian government to license the area (called Blocks M-A and M-B), a
strong indication that last year's geophysical survey indicated
significant reserves.
See Peru Oil News, #4, #5, and #6 for more information on Madre de Dios.
REPRIEVE FOR THE ASHANINKA OF THE ENE REGION
Ashaninka Indians from the Ene River basin have received a reprieve from
oil exploration when Eurocan failed to reach an agreement with the
Peruvian Government to produce in Block 66.
The Ashaninka of the Ene region have suffered severe human rights
violations at the hands of the Sendero Luminoso in recent years and are
only now regaining their freedom as a government military offensive in the
area slowly expels the Sendero.
The possibility remains that, as in the case of Block 50, that another
company may come to an agreement to pick up where Eurocan left off; but
there have been no reports of new negotiations to date.
NEW DETAILS ON YPF/QUINTANA PLANS FOR BLOCK 50
Details on YPF and Quintana's plans indicate that they intend to move
forward with at least 7 wildcat wells in Block 50, including 4 in the next
20 months. The first wildcats will apparently be drilled based on ECI's
plans for the block, outlined in Peru Oil News #5.
The Aguaruna and Huambisa inhabitants of the region are continuing their
efforts at dialog with the oil companies; but have so far not been
successful in getting the companies to agree to talk to them.
YPF owns an 80% interest in the consortium; but Houston-based Quintana
will be the operator (i.e. the company that manages on- site drilling).
Estimates of the companies' investment in the operation range between US
$36 and $80 million dollars.
A Different Standard for Indians?
Representatives of the Cullen family, which wholly owns Quintana, were
recently involved in a contentious zoning dispute in Houston. The Cullens
were attempting to influence a zoning board decision so as to have a new
road skirt one of their several large Harris County properties in the way
of their choice. They won.
By all indications the Cullen's company will do massive drilling and
deforestation in Block 50. The Aguaruna and Huambisa report that homes,
gardens, and hunting may be damaged or destroyed for thousands of Indians
if Quintana's plans proceed.
Yet Quintana has shown no indication that it will even meet with and
listen to Aguaruna and Huambisa leaders, much less develop negotiations
and agreements with the Indians to protect their homes, livelihood, and
environment.
Do Quintana's directors believe that because they are dealing with Indians
in Peru that the thousands of people they may adversely affect don't
deserve anything remotely resembling the zoning hearing they won in
Houston? Whose land is it anyway? Who has protected it thus far from the
environmental disaster that has occurred in other oil-rich areas? Would
the Cullens agree to be treated the way Quintana is treating the Aguaruna
and Huambisa?
END
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