Energy Update

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BRASILIA, Aug 26 (Reuters) - A former Brazilian president who was impeached on corruption charges in 1992 lashed out on Tuesday at the prosecutor investigating him in the current graft scandal focused on state-run oil firm Petrobras.

* Blast is 3rd fatal 2015 Petrobras mishap in Espirito Santo state

* U.S. threatens U.N. sanctions if Kiir backtracks on deal (Adds U.S. threat of sanctions of Kiir backtracks on deal, paragraph 15)

The Sustainable Energy Authority of Ireland (SEAI) is funding the Ireland division of U.S.-based Ocean Renewable Power Co. (ORPC) to identify feasible tidal energy sites in the coastal waters of County Donegal. 

NEW YORK, Aug 26 (Reuters) - U.S. crude oil stockpiles fell sharply last week as imports tumbled, while gasoline and distillate inventories rose despite a reduction in refinery runs, data from the Energy Information Administration showed on Wednesday.

SAO PAULO, Aug 26 (Reuters) - While many of Brazil's largest companies have grown savvy about hedging their debt against big currency swings, an increasing number could feel the heat from the real's plunge to a more than 12-year low due to poor planning and rising debt, bankers said.

BRASILIA, Aug 26 (Reuters) - Brazil's government is working on a deal to allow construction companies implicated in a massive corruption scandal to resume doing business with state-run oil company Petrobras in exchange for paying fines and damages, a government official briefed on the matter said on Wednesday.

* Environmental group challenges UK over use of pesticides (Adds industry reaction in paragraphs 5-6)

BRUSSELS, Aug 26 (Reuters) - Widely-used pesticides made by Bayer CropScience and Syngenta pose a risk to bees, the European Union's food safety watchdog said on Wednesday, reinforcing previous research that led to EU restrictions.

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