World
  |
|
PDVSA 2007 income will be at least $61 bln -FinMin
Reuters
CARACAS
Petroleumworld.com 05 14 07Venezuelan state oil company PDVSA will have income of at least $61 billion this year, Finance Minister Rodrigo Cabezas said on Friday, responding to reports that the country's foreign reserves were dropping sharply.
The fourth-largest exporter of oil to the United States depends on its oil industry for the vast majority of its foreign currency reserves, which have dwindled as President Hugo Chavez steps up social spending for the poor majority.
PDVSA's income from oil and product sales was $55 billion last year. Including sales from foreign subsidiaries, such as the U.S.-based refiner Citgo, the figure was $102 billion.
"The industry, which some say is broke, will have an income of $61 billion, in the worst case scenario, in the year to Dec. 31," Cabezas told reporters.
PDVSA pumps dollars into Venezuela's coffers, but analysts say it is struggling to keep up production while average prices for its crude are lower than last year.
Venezuela's reserves have hit their lowest level in more than two years as the government pumps money into social projects and debt repayment.
The reserves stood at $24.7 billion on Wednesday, down $12.6 billion from the beginning of the year.
Cabezas said Venezuela would recoup its position to post reserves of $30 billion by the end of the year.
Reuters 11 05 07
Copyright© 2007 Reuters. All Rights Reserved.
Your
feedback is important to us!
We invite all our readers to share with us
their views and comments about this article.
Write to editor@petroleumworld.com
Any
question or suggestions, please write to:
editor@petroleumworld.com
Best
Viewed with IE
5.01+
Windows
NT 4.0, '95, '98 and ME +/ 800x600 pixels