Pdvsa expected to pay in foreign currency a portion of seizures
The attempt at "admitting the real situation" is extolled
Three and a half years after the seizure of oil service suppliers on the Eastern Coast of Lake Maracaibo, State of Zulia, west Venezuela, state-run oil holding Petróleos de Venezuela aired that talks are being held on the appraisal and way of payment of 35 out of 145 nationalized businesses in Zulia state.
For the private sector, the news means advancement in the attempt at settling a matter that has involved labor, logistical and operational problems for Pdvsa oil companies on the Eastern Coast.
In the words of Alfredo Hernández Raffalli, the president of the Venezuelan Oil Chamber, "it is a step of utmost importance for Pdvsa to avow to the real situation of businesses. It is a sound message as to Pdvsa obligation and commitment to acknowledge repayment of assets."
"Much progress has been made with review of documents and appraisal of assets," he explained. Now, he added, "the procedure or method to be used is being pondered, whether payment will be made in local currency or through combined scheme in foreign currency." The latter is because some assets were appraised in US dollars. Therefore, businesses hope to be acknowledged the due amount based on the same currency.
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.