Chevron: Brazil Oil Leak Not Due To Company's Production Activities

U.S. oil and gas major Chevron Corp. said an oil leak off the coast of Brazil near its Frade field does not appear to be caused by the company's production activities in the area.

Chevron said it has deployed a remote operated sub-sea vehicle to investigate the leak, and determined it originated from a seep in the ocean floor, company spokesperson Kurt Glaubitz told the International Business Times on Thursday.

Roughly 60 barrels of oil have reportedly leaked and is accumulating on the ocean surface.

The San Ramon, California-headquartered company has operations in the area, roughly 230 miles offshore of Rio de Janeiro, which go as far deep as 3,800 feet.

Glaubitz said the leak does not appear to be related to company's production, but that drilling operations have been suspended as a precautionary measure.

Chevron Brazil has notified the appropriate agencies and is working with industry partners to deploy response vessels to control the sheen and minimize any environmental impact, Glaubitz said.

The leak was first reported to Chevron by Brazilian oil giant Petroleo Brasileiro, or Petrobras, which also operates in the area, when Petrobras officials noticed an oil slick on the ocean's surface Thursday morning, reported Dow Jones Newswires.

Editor's Note: This story corrects an earlier version erroneously reporting that Chevron said the leak was not caused by drilling activities. The updated article clarifies that Chevron's statement referred to its production operations in the area, and not to drilling activities.