The Ecuadorian state-owned oil company Petroecuador yesterday invoked the ‘force majeure’ clause as it could not respect supplies to its customers due to anti-government protests that caused the occupation of infrastructures and road traffic blocks. The news portal Primicias reports today.
Petroecuador’s Deputy Director General, Washington Gallegos, indicated that since the Confederation of Indigenous Nationalities of Ecuador (Conaie) initiated the protest on June 13, there have been oil field occupations and the cessation of pumping by seven plants, for which the company lost 27,700 barrels of crude oil.
This, explained the manager, prompted him to sign a resolution that qualifies Petroecuador as a “fortuitous event or force majeure (…) the phases of exploration, exploitation, transport, industrialization and trade” of crude oil. The resolution also provides for preventive actions and notification to suppliers in the event of non-deliveries of crude oil within the time limits set by the contracts stipulated.
Source: Ansa
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