Thursday, January 12, 2017

ConocoPhillips Sues Russia's Rosneft & Venezuela's PDVSA for Fraud in CITGO Transfer

ConocoPhillips, the second largest independent exploration and production company based on reserves and oil production in the U.S., has filed suit against Venezuela’s state-owned oil company Petroleos de Venezuela, S.A. and Russia's state-controlled oil company Rosneft, challenging PDVSA's pledge of part of its U.S.-based Citgo refinery. The Houston, Texas-based ConocoPhillips claims PDVSA fraudulently transferred 49.9% of Citgo Holding Inc. as collateral for a loan from Russia’s Rosneft PJSC, according to a lawsuit filed in federal court in Wilmington, Delaware. While the suit alleges the loan was for $1.5 billion, Venezuela has declined to confirm the amount.  The suit is the latest salvo in the legal war between ConocoPhillips and PDVSA over the cash-strapped Venezuelan energy company’s handling of the Citgo assets.  More…

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