Connect with us

Hi, what are you looking for?

Ecuador Political News

Chinese-Owned Oil Co. Seeks Its Share Of $1B Ecuador Deal

The Ecuadorian Flag

An oil company with ties to the Chinese government can seek its share of a nearly $1 billion settlement Ecuador agreed to pay to a subsidiary of Occidental Petroleum Corp. after shutting down a project to explore for oil deep in the country’s rainforest, an international tribunal has ruled.

Andes Petroleum Ecuador Ltd. filed a petition in New York federal court Monday to enforce the approximately $392 million award against Occidental Exploration and Production Co., which it won in March after an International Centre for Dispute Resolution tribunal concluded that the the Texas-based company had breached a provision of a 2006 deal the companies inked after it became apparent that the project was likely to be terminated.

The pact obligated Occidental to pay Andes Petroleum 40% of any amount it received in the resulting dispute with Ecuador. Occidental subsequently initiated arbitration against the country, winning some $1.77 billion in 2012 that was later reduced to $1.06 billion. Ecuador settled the dispute in 2016, agreeing to pay nearly $980 million.

To read the full story on Law 360, click here.


You May Also Like

Chevron Ecuador Blog Posts

1. Steven Donziger Is an Adjudicated Racketeer. The U.S. District...

News & Updates

Disbarred lawyer Steven Donziger likes to present himself to the...

News & Updates

A dishonest campaign is underway to rehabilitate disbarred lawyer Steven...

News & Updates

A Dutch appellate court has rejected Ecuador’s attempt to set...