Brazil fracking legality judicial dispute

Brazil’s Superior Tribunal de Justiça (STJ) is preparing to rule on the legality of hydraulic fracturing, or fracking, for oil and gas production. The judicial dispute, which has persisted for over a decade, centers on whether the technique should face a total prohibition or be permitted under specific regulatory conditions.

The legal debate involves the Federal Public Prosecutor's Office (MPF), which argues for a ban based on environmental risks and the precautionary principle, and entities such as Petrobras and the National Agency of Petroleum, Natural Gas and Biofuels (ANP), who support the technology. Within the government, the Ministry of Mines and Energy supports unconventional shale oil exploration, while the Ministry of Environment opposes it due to potential health and ecological risks.

The upcoming court decision will address whether the precautionary principle necessitates a generic ban or if the activity can be managed through rigorous monitoring, scientific analysis of individual projects, and preventive measures. The outcome is considered a strategic factor for Brazil’s energy security and the legal certainty required to attract investment in the country’s unmapped unconventional resources.