Petroecuador suffers heavy losses due to conflict with indigenous communities

The state-owned oil company Petroecuador suffers substantial losses due to the seizure of an extraction block in the Ecuadorian Amazon, perpetrated by protesters of the Waorani community, said this Monday the Minister of Energy and Mines, Fernando Santos.

“The loss of production is substantial”, Santos informed the local radio station Visionarias when updating on the seizure of block 16-67 in the Amazonian province of Orellana (east).

According to the minister, half of the daily production of 12,000 barrels of oil has been affected after the seizure of the blocks, demanding social benefits in education, health, and employment, as well as prior consultation and reparation for environmental damages caused by oil exploitation.

After the initial clashes between indigenous groups and security forces, in which two soldiers were injured, photographs of alleged damage to Petroecuador’s facilities were circulated and attributed to the demonstrators.

The Joint Command of the Armed Forces stated last week that the soldiers were violently attacked with shotguns and spears by Guaiyero community members located in the Yasuní National Park.

However, Waorani representative Juan Condo replied in an interview with Radio Centro that the frightened military had shot at the demonstrators.

Condo pointed out that the indigenous people had held a week-long dialogue without reaching an agreement regarding their demands for benefits for their communities from the state oil company.

The minister indicated they have already retaken control of the blocks, but the damage caused to the electrical control panels will take some time to repair.

According to Santos, the problems began when the company Repsol withdrew and handed over the wells to Petrolia, which in turn handed them over to Petroecuador.

He indicated that these private companies paid a monthly amount to the community leaders, which Petroecuador, a public company, could not do.

With information from Sputnik