US-based Chevron will pay BRL95.2m ($42m) to settle civil lawsuits regarding an offshore oil spill in November 2011 at the Frade field offshore of Brazil.

The payment will close the book on two civil lawsuits that sought up to $20bn in damages for Chevron’s role in the oil spill at the company’s offshore field.

An estimated 2,400 to 3,700 barrels of oil was leaked into the Atlantic Ocean after a drilling accident at the field.

Chevron’s payment is said to meet requirements of prosecutors for all damages related to the oil spill.

"An estimated 2,400 to 3,700 barrels of oil was leaked into the Atlantic Ocean after a drilling accident at the field."

The company has also paid a BRL42.9m ($19m) fine to environmental protection agency Ibama and BRL25.6m ($11.2m) to oil regulator ANP.

Transocean, which was Chevron’s Frade field drilling contractor at the time of the spill, will not make any payment. In late 2012 Chevron said it would take complete responsibility for the accident.

Transocean will be freed from the potential penalties, if the lawsuits are dismissed. Ibama and ANP will monitor Chevron’s performance going forward.

The Frade field is located 370km off of the coast of Rio de Janeiro, in the Northern Campos Basin, Brazil, and lies at a water depth of 1,128m containing 200m to 300m barrels of recoverable oil.

Chevron has 51.74% interest in the field. Other partners include Petrobras, with 30%, along with Frade Japá o Petròleo, with 18.26%.

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