Brazil’s President Lula hails oil discovery near Amazon river

His decision to allow exploratory drilling in the area known as the Brazilian Equatorial Margin was heavily criticised by environmentalists, who raised concerns that any potential oil spills could devastate its ecosystem.

Brazilian President Luiz Inácio Lula da Silva has hailed the discovery of oil near the mouth of the Amazon river.

The company's chief executive Magda Chambriard said that the discovery confirmed that Petrobras's "optimism" of finding oil in the Brazilian Equatorial Margin had been warranted.