The Dicaro community, formed by the Waorani indigenous
group, had demanded economic support from the company.
The groups reached an agreement as part of a community
relationship plan, Petroecuador said, without disclosing the
details.
"The company will take the pertinent steps, within its
powers, to comply with the commitments," Petroecuador said in a
statement.
Community leaders could not immediately be reached for
comment.
An incident, which the firm called "vandalism," at the
facilities running the two blocks last week caused production to
fall to 6,337 barrels per day (bpd) on Sunday from an average of
13,500 bpd, according to official data.
Protests across a number of Petroecuador's oil blocks have
affected production in the past month, though the Waorani
protest at blocks 16 and 67 was the last one remaining.
The firm has also faced electrical issues at several blocks,
and in February, it had to suspend crude pumping for the
country's two oil pipelines after a nearby bridge collapsed.
Since then, the government has lowered its oil production
target for the year from 520,000 bpd to a maximum of 490,000
bpd.
(Reporting by Alexandra Valencia; Writing by Kylie Madry;
Editing by Richard Chang)
QUITO, April 11 (Reuters) - Ecuador's state oil company,
Petroecuador, said on Tuesday it had reached an agreement
with an indigenous group to end an ongoing protest at two of the
firm's oil blocks in the Amazon, which had crippled production
at the sites.
The neighboring blocks in the Orellana province, as well as
three others, were subject to a force majeure decision by the
company last month amid the protests.
Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.