Chevron, Transocean settle spill lawsuits in Brazil

|About: Chevron Corporation (CVX)|By:, SA News Editor

Federal prosecutors in Brazil reach a deal with Chevron (CVX +0.6%) and Transocean (RIG -1.5%) to settle lawsuits seeking up to $20B in damages stemming from a 2011 offshore oil spill; no details have been revealed.

Prosecutors and local officials were criticized for the heavy-handed response to what was considered a relatively minor spill at the Frade field, where between 2,400 and 3,700 barrels of crude seeped from cracks in the seabed off Brazil's coast.

Brazil may be seeking to clear the air before next month's auction of the Libra prospect, believed to be one of the largest deepwater oil fields ever discovered.