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Chevron’s Ecuador Award ‘Unenforceable,’ Analysts Say

Chevron Corp., the second-largest U.S. oil company, may never pay a cent of the award of more than $18 billion levied by an Ecuadorean court for environmental damage dating back to the 1960s.

Chevron doesn’t have any refineries, storage terminals, oil wells or other properties in Ecuador that could be seized to pressure the company to pay, said Mark Gilman, an analyst at Benchmark Co. in New York. In anticipation of an adverse ruling, Chevron went to court in New York last week to obtain an order temporarily shielding the company anywhere in the world from collection efforts related to the case.