BRASILIA, Brazil — President Luiz Inácio Lula da Silva of Brazil is advocating for the approval of exploratory drilling at a site near the mouth of the Amazon River. Lula argues that revenues generated from oil could be used to support a transition toward greener energy solutions.
The drilling site, known as Bloc 59, is positioned approximately 160 kilometers (99 miles) off Brazil’s eastern coastline, within the Equatorial Margin. In May 2023, Brazil’s environmental agency, Ibama, denied an exploration license, highlighting concerns over a poorly developed wildlife protection strategy in the case of an oil spill that could adversely impact one of the planet’s most diverse ecosystems. The state-owned oil company, Petrobras, has since filed an appeal, and a ruling is still awaited.
“I want oil to be explored. However, prior to that, we need to conduct research to determine if oil exists and in what quantities,” Lula remarked during a radio interview with Diario. “We must not remain caught in endless discussions. While Ibama is a governmental body, it appears to be working against the government.”
The prospect of offshore drilling near the Amazon is likely to attract significant attention as Brazil prepares to host the upcoming United Nations climate summit, COP30. Scheduled for November in Belem, a port city situated close to the mouth of the Amazon, the event aims to address global climate concerns, including the reduction of fossil fuel consumption, which emits greenhouse gases that contribute to climate change.
To align both industrial and environmental goals, Lula expressed that the funds from oil exploration would be allocated to develop clean energy initiatives. Brazil stands as a notable oil producer, with output comparable to Iraq, while simultaneously being a leading exporter. On the flip side, governmental statistics reveal that around 90% of the nation’s electricity is derived from renewable energy sources, predominantly hydropower.
“We will adhere to all necessary protocols to safeguard nature, but we cannot overlook the resources we have beneath our feet and choose not to explore them—particularly since these resources will fund the essential energy transition,” Lula emphasized.
However, the move to explore new oil sources near the Amazon just ahead of COP30 could damage Brazil’s reputation as a leader in climate commitment, cautioned Marcio Astrini, executive secretary of the Climate Observatory, which comprises a coalition of 133 environmental, civil society, and academic entities.
“President Lula has frequently stated that Brazil should set a positive example,” he stated. “Increasing oil exploration is not a proactive approach in the context of the climate agenda.”
