Author Topic: Two Venezuelan governments, two boards battle for control over Citgo Petroleum  (Read 543 times)

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Offline Elderberry

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Houston Chronicle by  Marissa Luck July 18, 2019

Embattled Venezuelan President Nicolas Maduro, who has consolidated power following a challenge by opposition leader Juan Guaido earlier this year, is seeking to regain control of the economically ravaged country’s most prized foreign asset: Houston-based Citgo Petroleum.

The future of the eighth largest oil refiner in the United States is at stake as directors appointed by Maduro ask a Delaware court to oust the board named by Guaido’s opposition government and return control to them.

Since February, Citgo — the U.S. subsidiary of Venezuela’s national oil company, PDVSA — has been run by the Guaido board, which is backed by the Trump administration.

Both sides were in Delaware Chancery Court on Thursday for oral arguments in a lawsuit filed by the Maduro board in late June.

The legal proxy war over Venezuela’s assets could decide who ultimately leads the refiner that employs 800 people in the Houston area and 3,400 people nationally.

If the case drag on, it could create unwanted uncertainty for Citgo at a time when it is trying to refinance millions of dollars in debt.

More: https://www.houstonchronicle.com/business/energy/article/Two-Venezuelan-governments-two-boards-battle-for-14106364.php