It appears that Venezuela is using 49.9% interest in Citgo (a subsidiary of PDVSA, Venezuela's state owned oil company) as collateral on a $1.5 billion dollar loan from Russia. Citgo's energy assets in the US include 3 refineries, 9 pipelines, many petroleum platforms and it has hundreds of retail stations. 95% of Venezuela's export earnings come from oil revenues and the US is their biggest buyer at nearly 50%. With Maduro trying to rewrite the Constitution to gain even more control, Rubio and others in Congress are looking at possible economic sanctions. With the economy in shambles, US sanctions could cripple their finances even more, allowing Russia to acquire the ownership of 49.9% of the company used as collateral. Maduro and his party are in a desperate position and may be feeling that further control is the only way to stay in power and have yet to call off the vote to expand those powers. The vote is scheduled for July 30th. The House passed one sanctions law yesterday against Russia, Iran, and NK with a 419-3 vote. The Senate passed their own sanctions Bill 98-2 but it has a procedural snag regarding the requirement that the House originate all revenue bills. While Trump opposed the bill, a veto would obviously be overridden. Wonder what sanctions, if any, Congress will adopt vs Maduro.
Venezuela using 49.9% of Citgo as collateral in $1.5 billion loan.
- Thread starter robertbass1252
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