Brazil's President Luiz Inácio Lula da Silva said on Monday that oil drilling in northern and northeastern coastal regions could be "a passport to the country's future" after visiting a Petrobras offshore drilling vessel following a find announced last week near the mouth of the Amazon River. This was reported by Qazaqyia.kz citing Associated Press.
Petrobras, Brazil's majority state-owned corporation, said on Friday that it had detected hydrocarbons during exploratory drilling about 180 kilometers (112 miles) off the coast of Amapa state. The country's coastal regions near the mouth of the Amazon are known as the Equatorial Margin.
The exploratory drilling began in October. Environmental and Indigenous groups have since sued the Brazilian government and Petrobras to halt exploration, arguing the licensing process failed to properly consult traditional communities, underestimated spill risks and did not adequately assess climate impacts. The company has long argued it has never caused spills in its drillings.
"When I say 'passport,'" Lula said, "I'm not denying my commitment to the fight for a day when we no longer need fossil fuels, because Brazil will continue to be the king of biofuel innovation and will remain a major player in renewable energy."
Lula, who faces what is expected to be a tight election in October for a fourth term as president, spoke at an official event in the municipality of Oiapoque in Amapa after visiting the vessel.
Under Lula, Brazil has backed the need to transition away from fossil fuels such as oil, coal and gas that heat the planet and impact its climate. The position was touted at the U.N. climate summit Brazil hosted last year, and also in other forums, such as an April meeting in Colombia that focused on shifting away from fossil fuels. At the same time, the country is ramping up new drilling investments.
The Equatorial Margin is believed to hold significant oil and natural gas reserves, and preliminary estimates suggest the basin could contain up to 10 billion barrels of oil, with a potential value of about 3.8 trillion reais ($720 billion).
"All of our studies indicate substantial potential. This discovery confirms our findings, and we will continue exploring," the Petrobras president, Magda Chambriard, said Monday about the latest find. The company still needs to conduct further research.