No menu items!

COSTA RICA'S LEADING ENGLISH LANGUAGE NEWSPAPER

HomeArchiveCosta Rica to go to court with U.S. oil company over contract

Costa Rica to go to court with U.S. oil company over contract

Costa Rica will go to court with U.S. company Mallon Oil after President Laura Chinchilla reaffirmed Wednesday morning that she would not sign an oil exploration contract.

In 2000, then-President Miguel Ángel Rodríguez (1998-2002) awarded Mallon Oil a contract to look for oil and natural gas in the north of the country for 20 years.

Approximately 200 court appeals, filed mainly by environmental groups, blocked the project for more than a decade. The Constitutional Chamber of the Supreme Court in April rejected the last of the appeals. But Chinchilla, backed by the support of many government officials and environmentalists, maintained she would not allow oil exploration to take place within the country.

On Monday, Mallon Oil sued the Costa Rican government after Chinchilla refused to sign the contract, the daily La República reported. Chinchilla then had 15 days to decide if she should sign the contract or go to court. Two days later, she made her decision final to not sign the contract.

Trending Now

Costa Rica Sees Ongoing Spike in Digital Fraud Tied to Travel and Payments

Costa Rica’s fraud problem is moving fast online, and travel is one of the clearest targets. What used to look like isolated scams now...

Ortega says Trump has a mental breakdown over war in the Middle East

Nicaraguan President Daniel Ortega said Monday that U.S. President Donald Trump is suffering from a mental breakdown after launching, alongside Israel, the war in...

El Salvador Permits Life Sentences Starting at Age 12

Salvadoran President Nayib Bukele signed reforms into law that permit life prison sentences for people convicted of serious crimes starting at age 12. The...

DEA Renews Extradition Request for Alleged Drug Trafficker

U.S. authorities have renewed their push to extradite Jonathan Álvarez Alfaro, the Costa Rican suspect known as “El Profe” or “Gato,” reviving a case...

Canadian Operators Halt Cuba Packages From June to October 2026

Sunwing Vacations and WestJet Vacations will suspend all flights and vacation packages to Cuba from June 20 through October 9, 2026. The Sunwing Vacations...

Costa Rica Real Estate Escrow Rules Explained for Foreign Buyers

There is a big difference between an escrow contract and a trust contract. In the escrow contract one party places certain funds in the...
Avatar

Latest News from Costa Rica

Costa Rica Coffee Maker Chorreador
Costa Rica Coffee Maker Chorreador
Costa Rica Travel Insurance
Costa Rica Travel