PDVSA announces a commercial relations suspension with ExxonMobil

The Venezuelan state-owned oil company Petróleos de Venezuela S.A. (PDVSA) announced, in an official communique, its decision to suspend commercial relations as well as the oil and products supply to Exxon Mobil due to the legal actions carried out by ExxonMobil against PDVSA.

In this regard, PDVSA has suspended oil sales to ExxonMobil, considering that the behavior assumed by the aforesaid North American company represents an abuse against Venezuela and against the commercial relations.

“PDVSA will honor thoroughly contractual agreements related to joint investments with ExxonMobil, PDVSA reserves the right to finish those contracts which provisions allow a termination”, reads the document.

By other hand, Venezuelan oil industry stressed that the transitory measures requested by ExxonMobil do not correspond with the economic and financial stability of PDVSA, which assets are over 109 billion dollars, nor with its payment history, nor the assets of the transnational in Venezuelan territory.

In this sense, the document reads that “the legal actions carried out by the North American transnational are unnecessary, intimidator, and aggressive against PDVSA”.

Likewise, it is important to remember that the legal actions against the Venezuelan oil company came after the decision of the Venezuelan State of nationalizing the Orinoco Oil Belt last May 1, 2007, based on the decree 5,200 dated on February 27 of the same year.