Girish Gupta

HOME

PHOTOS

VENEZUELA ECON

ONLINE

Twitter
Instagram
Facebook
LinkedIn
AngelList
Keybase
GitHub
IFTTT

BY COUNTRY

Afghanistan
Brazil
Colombia
Cuba
Ecuador
Egypt
Guyana
Iraq
Jordan
Lebanon
Mexico
United Kingdom
Venezuela

BY MEDIUM

Text
Photo
Radio
TV/Video

BY PUBLISHER

Al Jazeera
BBC
BuzzFeed
CBC
Christian Science Monitor
CNN
Daily Mail
Data Driven Journalism (EJC)
Datum
Ecologist
Economist Intelligence Unit
Emerging Markets
Financial Times
Foreign Policy
France 24
Fusion
GlobalPost
Guardian
Independent
La Prensa (Panama)
LatinFinance
Mancunion
Monocle
National (Abu Dhabi)
New Internationalist
New Statesman
New York Times
New Yorker
NPR
PBS
PRI
Radio France Internationale
Reuters
RTE
Sky News
Sun
Sunday Times
Telegraph
TIME
Times of London
USA Today
Vice
WLRN

ABOUT

About
CV
Contact (PGP Key)


Venezuela military company to start services to PDVSA in weeks
Mar. 8, 2016 — Caracas, Venezuela

Published by Reuters

Camimpeg, a new company formed by Venezuela's military, will begin providing state oil producer PDVSA with services including drilling, logistics and security in less than a month, a senior defense official said in an interview.

Deputy Defense Minister Alexander Hernandez said Camimpeg would have a commercial relationship with PDVSA [PDVSA.UL] and work alongside foreign companies.

Hernandez's comments came after speculation among investors and foreign oil partners that Camimpeg could be a means to shield assets from seizure in the event of a debt default.

PDVSA has a heavy repayment schedule this year, and Venezuela's economy is in crisis.

There are also fears that the military already has too much power and influence in Venezuela, where a deep recession, shortages of basic goods and triple-digit inflation are eroding the popularity of President Nicolas Maduro's government.

"Security will be associated because the company is made up of the armed forces," Hernandez said at the Fuerte Tiuna military base in Caracas. "It's an obligation."

Crime is a major problem for the oil industry in Venezuela, which has the world's largest crude reserves. Foreign companies, especially those operating in the vast, isolated fields of the Orinoco Belt, have long been clamoring for more protection..

"Camimpeg's services are broad, from exploitation and drilling of oil wells and distribution of their product to the treatment of raw materials, preparation of the area to be exploited, support, logistics, extraction of minerals, transport of valuables," Hernandez said.

The Fuerte Tiuna base, replete with apartment blocks, a shopping center, lake and parade ground, also houses warehouses where the military works with private companies to manufacture items such as uniforms and bottled water.

"This is an example of what can be achieved when the armed forces work with private companies," said Hernandez.

However, manufacturing across Venezuela is largely paralyzed due to shortages of raw materials, machinery and other items.

Companies from China, India, Russia and other countries had expressed interest in working with Camimpeg, which will begin operating in late March or early April, said Hernandez, without adding further details of specific projects.

"I wouldn't say this is a company in parallel with PDVSA," he said. "Rather a company at the service of PDVSA."

Filed from
Caracas, Venezuela






More...

Advisers urge deep discount in Venezuelan cryptocurrency offering
Jan. 16, 2018


Inflationary math
Dec. 12, 2017


Venezuela money supply up 14 percent in one week, fastest rise on record
Dec. 1, 2017


How a defrocked judge became the chief enforcer for Maduro's Venezuela
Nov. 15, 2017


De cómo un juez destituido se convirtió en el principal artífice judicial del presidente de Venezuela
Nov. 15, 2017


The 'Venezuela Econ' app: Harnessing data to understand a spectacular economic meltdown
Nov. 6, 2017


Venezuela's monthly inflation rises to 34 percent: National Assembly
Sept. 7, 2017


Ousted Venezuelan prosecutor says she fears for her life, will keep fighting
Aug. 10, 2017


Venezuela quells attack on military base, two killed
Aug. 6, 2017


Exclusive: Venezuelan vote data casts doubt on turnout at Sunday poll
Aug. 2, 2017


All eyes on Venezuela military after protests, vote
Aug. 1, 2017


U.S. 'sweetheart' of Venezuela sees worrying signs of authoritarianism
Jul. 29, 2017


Venezuela money supply surges 10 percent in one week, fastest in 25 years
Jul. 29, 2017


Exclusive: At least 123 Venezuelan soldiers detained since protests - documents
Jul. 6, 2017


Venezuela hikes minimum wage 50 percent, effectively down 17 percent
Jul. 2, 2017








© Girish Gupta