Ecuador Ordered to Pay $224 Million to Chevron and TexPet

A Washington court has been asked by oil companies Chevron and TexPet to enforce an arbitration award that requires the Ecuadorian government to pay $224.38 million. The award stems from a 2025 ruling by a Hague tribunal that upheld a prior judgment against the firms for environmental damage in the Lago Agrio region. The Ecuadorian state, facing fiscal deficits, is contesting the decision and seeking a correction that could reduce the payment.

The dispute traces back to 1993 when a group of about 30,000 indigenous Amazon residents sued Chevron for alleged contamination from its former Texaco operations (1965‑1992). After decades of litigation, Ecuadorian courts in 2011 ordered Chevron to pay $19 billion, later reduced to $9.5 billion on appeal. The companies responded with counter‑claims alleging fraud by the plaintiffs’ legal team. The current enforcement effort seeks to collect the reduced sum of $224 million from the Ecuadorian treasury.