Glas, Capaya, and Pástor, mentioned by the National Audit Office in alleged oil damage

Ecuadornews:

The National Audit Office has found evidence of criminal responsibility in the award process of the Singue oil well, located in Sucumbíos, whose exploitation was assigned to the DGC Consortium.

The contract was signed on March 21, 2012, by the then Minister of Non-Renewable Resources Wilson Pástor. The report of the agency notes that the Bid Committee of this contract was made up by Vice President Jorge Glas, the then Petroecuador Refining Manager Carlos Pareja Yannuzzelli, and legal coordinator of the Ministry of Non-Renewable Resources Maria Lorena Espinoza. The controlling agency states that this committee approved the report that recommended the award of the contract to the DGC consortium and the Gente Oil Ecuador Pte. Ltd. company. The latter company was managed by Silvana Pástor, daughter of the former Minister of Non-Renewable Resources.

The National Audit Office found in its examination that the negotiating team calculated the internal rate of return without a legal basis: Only 80% and not 100% of the officially recognized remaining reserves of this well were included in the contract, scheduled for 20 years. According to the agency, as of September 30, 2016, 144% of what had been planned for 20 years was exploited.

It was planned that only 2.04 million barrels of oil would be extracted in that span. Overexploitation reached 244%. And although the contractor annually reported on its operating figures, the Hydrocarbons Secretariat never took action to renegotiate the tariff. Thus, a loss for the State estimated at $ 5.2 million that was paid to the DGC consortium and the Gente Oil Ecuador Pte. Ltd. was detected. (I)

Source: http://www.larepublica.ec/blog/portada/2017/08/02/glas-capaya-y-pastor-mencionados-por-contraloria-en-supuesto-perjuicio-por-pozo-petrolero/