A watered-down item in the defense spending bill that bans Pentagon purchases of crude oil from Angola will create only a few technical problems for Chevron, the biggest producer in that Marxist-led nation, the company says.
The provision in the $290-billion bill prohibits the Pentagon from buying Angola-derived petroleum products from a company that produces products there. That leaves Chevron free to sell any other oil to the Defense Department, a spokesman said.
Angola accounts for about 6% of Chevron's worldwide crude oil production of 1.6 million barrels per day, the San Francisco-based oil giant said. A spokesman said the company will probably have to certify that no products sold to the Pentagon came from Angola.
Sought Tougher Curbs
Earlier, critics of the activities of U.S. oil producers in Angola had sought to bar the purchase of any oil products from companies that produce oil in that nation. But protests from the Pentagon headed off the more sweeping restriction.