January
5, 2003
Citgo-PDVSA restructuring possible
(Tulsa World) - "Tulsa-based Citgo
Petroleum Corp., the U.S. unit of Venezuela's
state oil company, says it may take control of
its parent's U.S. and Caribbean assets in a restructuring
of the South American company's operations.
Citgo President Luis Marín
told Venpres news agency recently that the company
may acquire the shareholdings of Petroleos de
Venezuela SA in two U.S. refineries. A final decision
by PDVSA's board is expected in the first quarter
of next year, Marín said.
The consolidation would make 'one
company responsible' for PDVSA's North American
assets, Marín said (…).
Citgo may obtain PDVSA's 50 percent
share of a refinery in Chalmette, La., Marín
said. The plant has installed capacity of 184,000
barrels a day, and PDVSA acquired its shares in
1997 for $270 million.
Citgo also may acquire PDVSA's 50
percent share of the Merey- Sweeny LP joint venture,
which is able to process about 165,000 barrels
a day of heavy crude oil (…).
Marín recently said that
Citgo's net income for this year will total about
$500 million, up from $180 million in 2002.
Citgo sells its products through
about 14,000 independently owned stations in the
United States. PDVSA acquired 50 percent of Citgo
in 1986, and the other half in 1990".
