Brazil To Fine Chevron For November Oil Spill By July

An aerial view shows oil that seeped from a well operated by Chevron in the Frade Field, which is located off the coast of Rio de Janeiro. — An aerial view shows oil that seeped from a well operated by Chevron in the Frade field off the Atlantic coast of Brazil's Rio de Janeiro state on Nov. 18, 2011. REUTERS

Brazil's oil regulator announced Monday it will fine Chevron Corp. for a November oil spill off the coast of Rio de Janeiro by this summer.

A spokesperson speaking to Dow Jones said the amount of the fine could be determined by next month.

By July, the amount of any possibly financial compensation should be defined, said the unnamed spokesperson.

The U.S. oil company has been under heavy scrutiny in recent months for the leaking of 2,400 barrels of oil through cracks on the ocean floor in November. The company was drilling for oil when it experienced a surge in pressure that fissured the ocean floor.

Another, much smaller leak, occurred later in the same vicinity, but only about one barrel of oil seeped from the ground. In two separate lawsuits, Chevron could be liable for $22 billion in environmental damages following the spills.

The company's executives are also currently facing criminal charges for their roles in the spills.

Chevron maintains it responded promptly and in accordance to its exploration agreements with Brazil's oil regulators.

Magda Chambriard, the director of Brazil's oil regulator, ANP, said she will ask her country's Mines and Energy Ministry to review its laws and possibly toughen its stipulations on financial punishments, reported Dow Jones.