ECUADOR:

Unprotected Protected Areas

Oil activity in Ecuador has been and continues to be a permanent threat to protected areas. Please respond to this Action Request about the activities of   Vintage Oil and the City Investing oil company.


Oil activity in Ecuador has been, and continues to be, a permanent   threat to protected areas. Unfortunately, and much against our wishes,  we now find ourselves obliged to end the old millennium and to begin  the new with the announcement of two terrible pieces of news related to oil:

The first refers to Yasuni National Park and the North American oil   company, Vintage Oil Ecuador S.A.. Vintage is the inheritor of the   infrastructure and operations of the French company Elf Aquitaine ,  which transferred its operations and rights to block 14 in October of  this year, has made its debut with its first oil spill. With this  event which we can begin to perceive the environmental management  methods which lie in wait both for this protected area and the peoples  which live in the surrounding areas. The spill occurred on the 17th of  December of 1999 due to a break in the pipeline, and polluted a  stretch of approximately 100 metres of a 10 metres wide stream which  flows into the Tiputini river. The Tiputini crosses Yasuni National  Park and later discharges into the Napo river and subsequently into the Amazon.

During its 12 years of operation, Elf made a negative mark on the   zone: affecting primary forest within the park, and thus making a  mockery of the idea of a protected area; affecting the hunting area of  the Huaorani people; building infrastructure and roads which have  become the gateway to the devastation of the forest, from which timber  such as Caoba, Cedro and Guayacan is illegally taken for sale in  Colombia. Game animals such as Monkeys, Armadillos, Danta, and Guanta  also are taken from the area and sold as meat in the city of Coca.

Elf operated in this area with polluting technology, did not re-inject   the formation water and produced frequent spills from the pipelines.  The same practices are operative today. However, the most paradoxical  and irrational thing is that besides all this damage, the company  produces only 4,500 barrels of oil a day (1.5% of national  production). This implies that for the production to be profitable and  for the company to stay operational, the Ecuadorian government has to   subsidise it, as it has been shown to do with all the trans-national  oil companies. Thus leading to the absurd situation in which the  Ecuadorian Government is actually subsidising the destruction of the  protected areas in the country.

The second piece of news is that this month , the City Investing oil   company entered the Cuyabeno Animal reserve in order to carry out  seismic prospecting . This leads us to wonder about the interests or  reasons which motivated the adoption by the Ministry of the  Environment of a resolution authorising oil activity in the Reserve  and Siona ancestral territory. This resolution flies in the face of  the environmental conservation discourse of the Minster, Yolanda   Kakabadze, who is also the President of the International Union for  the Conservation of Nature (IUCN).

The most astounding part of this is that precisely at the beginning of   the year, by means of an Presidential decree, the government declared  two zones within Yasuni National Park and Cuyabeno Animal Reserve to  be off limits to oil, timber and mining activities in perpetuity. We  ask ourselves once again, How will it be possible to protect an area  while at the same time it is being destroyed.?

The threat to these areas is even greater if we consider the danger   posed by the much heralded concession of the Ishpingo Tambacocha  Tiputini project within Yasuni National Park, and the construction of  a new heavy oil pipeline which will come out of these same areas.

We call on all people and organisations who receive this message send   letters demanding that the companies involved, together with the  Ecuadorian government, stop these events and the threats to protected  areas. We are attaching a sample letter which you can use.

In solidarity,

Alexandra Almeida
CAMPAÑA AMAZONIA POR LA VIDA
ACCION ECOLOGICA

Letter to Ecuador's Government

: A sample was given for a letter to Minister Yolanda Kakabadse. However it was deleted because it was in Spanish. Please use the info above and the points in the sample letter to Chase Manhattan to write a courteous letter to the minister. Send your letter to:

Sra.
Yolanda Kakabadse
MINISTRA DEL AMBIENTE
Quito, Ecuador
Fax: (593 2) 564 037


2nd. model: opposition letter to Chase Manhattan Bank

We have recently learned of Chase Manhattan Bank's involvement with the construction of Heavy Oil Pipeline in Ecuador.

The undersigned wish to express in the strongest terms their   opposition to the construction of this new pipeline in Ecuador  because:

1. SOCIAL & LEGAL ISSUES: The Heavy Oil Pipeline will encounter social  and legal opposition, as Ecuador has developed specific laws  governing. If the pipeline is constructed it will be necessary to  increase national production by 250,000 barrels per day. Oil that will  come from new concessions located in indigenous territory and  protected areas.  The indigenous people who live in these territories have told the  national government of Ecuador, and the oil companies themselves, that they will not permit the exploration for, and exploitation of oil.  They have declared their territories as intangible areas and have made   this public both on a national and international level.

In Ecuador, the national government has signed international treaties   such as Convention 169 of the International Labour Organisation,  Collective Rights have been enshrined in the Constitution, and  specific laws have been passed. All of that prohibit the carrying out  of projects which cause or can affect the environment or our rights.

2. POLITICAL RISK: to guarantee the operation of the heavy oil   pipeline it will be necessary to exploit the Ishpingo Tambacocha  Tiputini (ITT). The ITT has faced significant political risks that  have caused companies such as Shell and BP to withdraw. The ITT  project is located in the heart of Yasuní National Park, which has  been declared a Biosphere Reserve by UNESCO and which is also part of  the traditional territory of the Huaorani people.

The whole world has expressed its opposition to the possible   exploitation of these oil fields, due to their location in one of the  most fragile and diverse zones on the planet.

A number of campaigns have been carried out in defence of Yasuní   National Park , for which reason companies which were initially  interested, such as Shell and BP, have been forced to withdraw. In the  latter case, BP was obliged to sell the oil projects of ARCO before  the two companies were merged.

3. NOT FINANCIALLY VIABLE: It is also necessary to mention that the   Heavy Oil Pipeline project may NOT be financially viable, because it  relies on the success of the ITT project, a drilling operation based  on overestimated oil reserves and facing significal political  opposition.

The Heavy Oil Pipeline faces significant downside risk associated   with the environmental and social controversies surrounding the  pipeline and the ITT project. The undersigned groups strongly oppose  the Heavy Oil Pipeline and request thet Chase Manhattan Bank avoid or  cease all financial involvement in this project.

SIGNED,

Send it, please, to the follow adresses:

William B. Harrison
PRESIDENT AND CHIEF EXECUTIVE OFFICER
CHASE MANHATTAN BANK
270 Park Avenue
New York, NY 10017-2070
Fax: 212-270-1882

Walter Shipley
Chairman
CHASE MANHATTAN BANK
270 Park Avenue
New York, NY 10017-2070
Fax: 212-270-1882

James Lee
Vice Chairman
Global Investment Banking
CHASE MANHATTAN BANK
270 Park Avenue
New York, NY 10017-2070
Fax: 212-270-1882

Carter Booth
Managing Director
CHASE MANHATTAN BANK
270 Park Avenue
New York, NY 10017-2070
Fax: 212-270-1882

Dod A. Fraser
Managing Director
Corporate Finance, Global Oil & Gas
CHASE MANHATTAN BANK
270 Park Avenue
New York, NY 10017-2070
Fax: 212-270-1882


With copy to:

Teodoro Abdo
MINISTRO DE ENERGIA Y MINAS
Quito, Ecuador
Fax: (593 2) 571228


Yolanda Kakabadse
MINISTRA DEL AMBIENTE
Quito, Ecuador
Fax: (593 2) 564 037

Source: Accion Ecologica Wed, 29 Dec 1999