State-run steel maker's losses may account for USD 580 million
Output capacity down by 50%
During a board of director meeting held in Caracas, the board reaffirmed to the authorities the need to inform all small partners and the country itself about the running of the steel maker. "Since 2008, when the Government took control of Sidor, the CVG (state-run company Corporación Venezolana de Guayana) has unilaterally managed the company without giving explanations about their management in areas such as accounting, finance, trade, environment, and labor. It has ignored our legitimate right to be informed and participate in decision making."
Acuña remarked that before making any use of the resources "an auditing must be conducted to inquire into the current situation of the company. It is also important to determine those responsible for its reported damages."
In his view, "when the Government took control of the company, its assets accounted for USD 3,400 million roughly. Today, Sidor's debt is over USD 900 million and its assets have plunged to the extent that the company's output capacity has shrunk by 50%. Its technological infrastructure has been destroyed."
Translated by Jhean Cabrera
A simple reason: there is oil galore, would suffice to explain Guyana's actions. Another explanation lies in the little or none efforts made by the Venezuelan government to thwart the move by the Guyanese. This is certainly not a new problem, but a problem only recently highlighted because oil is involved. But what other resources does the disputed area hold? For most of us it is a section on the map with black and white stripes on it, a depiction of something distant, alien, a nothingness not worth paying much attention to in geography classes back in elementary school.