With the support and assistance of the Government of Ecuador, U.S.-based contingency-fee lawyers and activist NGO organizations are seeking a financial windfall at the expense of Chevron Corporation and its shareholders. For the U.S.-based contingency-fee lawyers, this case has never been about facts, evidence or law. Instead, it has been a constant campaign of misinformation designed to pressure Chevron into a large financial settlement.
When the oil production concession between Texaco Petroleum (now owned by Chevron) and Petroecuador (the state-owned oil company) ended in 1992, Texaco Petroleum agreed to perform a $40 million remediation program to remediate sites mutually agreed to by both parties and the Government of Ecuador. During the remediation, dozens of government inspectors, laboratory personnel, and State representatives reviewed the remediation and granted Texaco Petroleum, and all its respective principals and subsidiaries, a full and complete release from any remaining environmental liability. Since 1992, the former concession area has been solely owned and operated by Petroecuador.
Chevron is fully aware of the challenges faced by the residents of this region and is sympathetic to their plight. However, Chevron firmly rejects the notion that it should be held accountable for addressing the overall problems of the region, caused because the government and the state oil company are unwilling or unable to shoulder their responsibility.
In short, this case has now descended into a judicial farce. Chevron is left with no alternative other than to speak openly about the denial of justice that is occurring in Ecuador. In our view, this proceeding no longer has any legal validity, and our company will fight this embarrassing display of hometown injustice in every conceivable forum.