Showing posts with label houston. Show all posts
Showing posts with label houston. Show all posts

Wednesday, June 2, 2010

Tragic BP Gulf Spill Casts Light on Chevron Disaster in Ecuador

The Amazon Defense Coalition put out this release today:

Tragic BP Gulf Spill Casts Light on Chevron Disaster in Ecuador


While BP Is Largest Spill In U.S.,Chevron's Ecuador Disaster Is Largest In World


Chevron Admits Dumping at Least 16 Billion Gallons of Toxic Waste into Rainforest

SAN FRANCISCO--(BUSINESS WIRE)--As the nation remains riveted on the tragic BP spill unfolding in the Gulf of Mexico, Chevron still holds the record for creating the world's largest oil-related contamination and it happened deliberately in the populated Amazon rainforest in an even more sensitive ecosystem than the marshes of Louisiana.

Chevron's illegal oil-related dumping is at the root of a class action lawsuit in Ecuador where the oil giant now faces more than $27 billion in damages for poisoning an area the size of Rhode Island with 18.5 billion gallons of toxic "produced water," or more than 474 times the amount of contamination estimated to have been spilled in the Gulf of Mexico tragedy, according to calculations made by representatives of the plaintiffs.

Chevron's contamination has decimated the traditional lifestyles of five indigenous groups in the area, and one group has disappeared, according to the lawsuit. The pollution occurred when Texaco (now owned by Chevron) was the exclusive operator of a large oil concession in the rainforest from 1964 to 1990.

A 17-year trial against Chevron taking place in Ecuador's courts – moved there from U.S. federal court in 2002 at Chevron's request – is expected to end later this year. Chevron has declared the trial court is "biased" against it and has announced it will not pay any adverse judgment.

The plaintiffs in the trial are tens of thousands of rainforest residents, including the surviving members of indigenous groups called the Secoya, Cofan, Siona, Huarani, and Kichwa.

These are the facts of Chevron's dumping in the Amazon and how it compares to the BP spill in the Gulf:

  • In the 1970s, Chevron's predecessor company Texaco (bought by Chevron in 2001) perforated hundreds of oil wells across a 2,000 sq-mile swath of rainforest that was home to the indigenous groups. The area where Chevron operated is one of the most biodiverse in the world, containing almost 10% of the world's plant species.
  • Instead of re-injecting toxic "produced water" (which contains high levels of salt, pure crude, and the carcinogen benzene) deep into the ground – the industry practice then recommended by the American Petroleum Institute – Chevron dumped 18 billion gallons of it into rivers and streams. These waters had been used thousands of years by the local population for its drinking water.
  • The BP tragedy was an accident; Chevron's discharge in Ecuador was deliberate.
  • Chevron, as reported by 60 Minutes last year, also built more than 900 unlined waste pits to permanently store toxic sludge – another violation of industry standards. It then built pipes to drain the sludge into nearby streams.
  • Chevron also burned gas without controls, creating enormous air pollution and a "black rain" phenomenon in the rainforest.

These facts have been documented in numerous testimonies, in more than 200,000 pages of trial evidence, and in the book Amazon Crude written by law professor Judith Kimerling and published in 1991 just before Texaco fled the country in 1992, according to representatives of the plaintiffs.

Experts have concluded that the Chevron discharged at least 345 million gallons of pure crude oil directly into the rainforest ecosystem, including 17 million from ruptured pipelines. To put this in perspective, the U.S. government has estimated that between 18 and 39 million gallons have been spilled thus far in BP's disaster in the Gulf, and approximately 11 million gallons of pure crude was spilled during the Exxon Valdez disaster.

Just like BP in the Gulf spill, Chevron continually tries to obfuscate the facts and cover up its responsibility in Ecuador:

  • In 1972, a Chevron executive issued a memo ordering that all documents in Ecuador documenting oil spills be destroyed.
  • Chevron claims it was "released" from further clean-up responsibility based on a "release" signed with the Government of Ecuador. But Chevron's "remediation" was a fraud. Evidence presented at trial shows that the small number of pits "remediated" are still as contaminated as sites not touched.
  • As a result of Chevron's fraudulent "remediation," two company lawyers and ten former Ecuadorian government officials are now under indictment in Ecuador for lying about the clean-up results.
  • During the trial in Ecuador, lawyers for the plaintiffs have been subjected to death threats, a Nixon-style dirty tricks campaign to remove a judge, and the use of junk science by Chevron "experts."
  • Chevron claims high cancer rates are caused not by exposure to toxins, but by the poor personal hygiene among the local population.
  • Chevron also has tried to silence its Ecuador critics – pressuring media outlets to deny advertising about the company's human rights problems and even going as far to have five people arrested at its shareholder meeting last week.

For photos of this horrible disaster, click here, or get the book Crude Reflections by Lou Dematteis and Kayana Szymczak. A complete summary of the evidence can be found here. For Chevron's lies, click here. To purchase a copy of an award winning documentary film about the case, "Crude," click here. For the latest developments, see www.chevrontoxico.com.

Wednesday, May 26, 2010

RAN’s Maria Ramos to Chevron CEO: You are Hiding the Truth about Egregious Human Rights and Environmental Abuses

Maria Ramos, the campaign organizer for the Rainforest Action Network's (RAN) "Change Chevron" campaign confronted Chevron CEO John Watson at the company's annual shareholder meeting in Houston today. While Chevron barred the majority of the individuals that were brought with various environmental groups, despite their having legal proxies, the company could not bar Ramos from being speaking during the meeting. Her comments are below.

Ramos' comments to the Board during the board re-election process:

I would like to echo outrage for disenfranchising legal shareholders from entering this meeting. These people have travelled from around the world from Angola, Nigeria, the Philippines, Ecuador, to speak about egregious human rights and environmental abuses. You are not letting shareholders hear the truth. That is not the Chevron way. I would like to speak directly to your nomination to the board Mr. Watson.

Highlighted as a qualification in the 2010 proxy statement for Mr. Watson's election to the Chairmanship of the Board of Directors of Chevron is Mr. Watson's role in leading Chevron's integration effort after its acquisition of Texaco Inc. Whether or not Mr. Watson's leadership in the merger with Texaco represents a qualification, or rather a poor lack of judgment is another question. Since taking the helm of Chevron, we have seen Mr. Watson continue to endorse this company's long running, expensive and dead-end strategy with respect to the dire situation in the Amazon -- a strategy which has cost both the company and the people of the Amazon dearly.

A particularly important question for shareholders is whether or not Mr. Watson, as architect of the Chevron-Texaco merger, adequately vetted Texaco before purchasing the company in 2001 for $31 billion -- a sum which is just $4 billion more than its current financial exposure in the Ecuador lawsuit. It strikes us that Chevron's management overpaid for Texaco by billions of dollars and thereby diminished shareholder value through its own negligence.

And an even more important and urgent question is -- given the position that Chevron is in, with the cloud of Ecuador threatening its stock price, and causing grave political and reputational risk -- are you Mr. Watson ready to take charge of this company, put an end to the days where lawyers and public relations officials are running the show, and come to an honest, fair, and equitable resolution with the people of Ecuador?

Mr. Watson, the question to you is if you have the courage to change Chevron?

Ramos' comments seconding the shareholder resolution requiring that at least one board member have "significant" environmental experience:

Maria Ramos again with Rainforest Action Network. I would like to second Stockholder proposal regarding the appointment of an independent director with environmental expertise - Item #4 on the proxy card.

It is disconcerting that your board has recommended a No vote on this proposal - by just looking around this room and having seen the protest outside and the many people from around the world who were not allowed in with legal proxies - it is clear that Chevron's track record is riddled with environmental abuses. It is neither some mass global conspiracy nor coincidence that has brought people from as far as Nigeria, Australia, Angola, Ecuador, Alaska Canada and Richmond California - all with accounts of environmental pollution, all supported by a broad body of evidence. The California Air Resources Board has found Chevron's Richmond refinery to be the biggest single source polluter in the state. Chevron blatantly continues the illegal practice of gas flaring in the Niger Delta. And in Ecuador, Chevron is on trial for widespread oil contamination, facing a possible $27 billion liability. New York Attorney General Andrew Cuomo announced his office would be launching inquiry to determine if the company is misleading shareholders over its Ecuador liability - this at the request of New York shareholders.

Shareholders should know that this proposal has received high level of support from investors, representing billions in Chevron stock - including the support of RiskMetrics - because there is a broad concern that Chevron's board has failed to comply with their governance obligations and has failed to address serious environmental risks.

On the Ecuador case: there is no evidence that Chevron board members ever visited Ecuador to understand the potential environmental liability. There is no evidence that Chevron board members have vetted the company's Ecuador liability independent of senior management.

Why the board would not want to better position Chevron to deal with the profound environmental challenges that the company is facing is troubling. The board's negative response to the proposal -- citing that board members should not be selected on the basis of a single criterion - is myopic, when faced with an onslaught of legal and public relations debacle. The board's negative response citing that the board already includes directors with experience on environmental matters -- well, If Chevron believes it already has this level and caliber of expertise, then shareholders should be told now - who that is, and what makes them experienced.

Some of the members of Chevron's board of directors have been on the board for 2, 3 decades -- Mr. Armacost, Chair of the Governance Committee has been on the board for 29 years. And I want to direct my comments to you -- it's a different world from when many of you started your positions on the board. The public's environmental values are deepening, their support for companies to take responsible action is growing.

Chevron is an oil company. It is inconceivable -- even as the oil spill off the Gulf is fresh on the mind -- that the board would not deem it important for an oil company to have adequate environmental oversight. It's only sensible to vote in favor of this proposal.