Oil investor must pay for environmental mess

Burlington Resources is a subsidiary of Exxon Mobil that was producing oil in the Ecuadorian amazon.

As the price of oil started to climb, Ecuador sought to ‘re-balance’ the contracts through negotiation. When Burlington refused, Ecuador imposed a ‘windfall levy’ of 99 per cent. Ultimately, Ecuador took possession of the oil blocks and Burlington initiated a claim for expropriation. …

To discover more, please visit my friends at the International Institute for Sustainable Development. Their Investment Treaty News has now published my summaries of both the award in favour Burlington’s expropriation claim and the decision on Ecuador’s environmental counterclaim.