Spanish Energy Giant Repsol Reveals $5.4 Billion Debt Owed by Venezuela
According to the Economic Desk of Webangah News Agency, Spanish firm Repsol has publicly confirmed a substantial outstanding debt from the Venezuelan government, totaling €4.55 billion, which converts to roughly $5.36 billion. This figure incorporates various financial obligations, including past-due liabilities for the provision of necessary oil and gas resources, outstanding interest payments, and financing extended for the Petroquiriquire joint venture with Petróleos de Venezuela, S.A. (PDVSA).
Repsol also made a separate disclosure within its fourth-quarter earnings statement regarding recent actions by the United States government. Specifically, the company noted that Washington issued new licenses last Friday, which now allow for the potential recommencement of oil and gas operations within Venezuela.
The Spanish energy group projects that its combined daily oil and gas production could reach an equivalent of 560,000 to 570,000 barrels of oil by the close of the current year. This contrasts with the fourth quarter’s performance, which reached 548,000 barrels per day before accounting for any potential output increases from Venezuelan assets.
Repsol’s most significant investments within Venezuela center around the Petroquiriquire joint venture, where the Spanish company maintains a 40 percent stake in the entity responsible for producing both oil and gas.
Furthermore, the company shares a 50 percent equity stake in Cardon IV with Italian firm Eni. Cardon IV is a licensed gas operation primarily focused on the production and sale of natural gas inside Venezuela. Repsol also holds a 60 percent interest in the Quiriquire Gas Company and an 11 percent stake in Petrocarabobo, both of which are engaged in the exploration and production of hydrocarbons in the nation.
This development comes shortly after reports indicated European energy corporations, including Eni and Repsol, were actively seeking recovery of approximately $6 billion owed by Venezuela for supplied gas and naphtha cargoes. This information was reportedly published by the Financial Times last month, following an aerial action conducted by the United States against Venezuela.
