Bloomberg Learns about Maduro's Plans to Privatize PDVSA Oil
According to the agency, PDVSA invites foreign companies participating in joint projects to consider the possibility of new investments in the country, and if Maduro's proposal is accepted, these companies will count on a share in the profit of the Venezuelan corporation.
Sources of Bloomberg claim that it is about the possibility of partial privatization of PDVSA by converting part of the debt of the Venezuelan state-owned company to international companies into equity. Among the companies potentially interested in the negotiations, agency sources named Spanish Repsol S.A., Rosneft and Italian Eni S.p.A.
The Bloomberg interlocutors clarify that negotiations between the Venezuelan PDVSA and other companies are still at an early stage and are faced with difficulties caused by sanctions from Washington, which prohibit any American companies from investing in Venezuela. In addition, PDVSA, previously producing 3.5 million barrels per day, today operates at a record low production of 700 thousand barrels.
Earlier, Reuters, citing the former Minister of Petroleum Industry of Venezuela and industry sources, said that PDVSA provided the joint venture partners with oil fields for exploitation due to a lack of own funds and personnel.