Exxon Mobil Corp.'s four-year hunt for billions of dollars innationalized Venezuelan oil profits isn't finished after aninternational panel slashed the U.S. oil company's claim by 89percent.

Venezuela's state-controlled oil producer, known by the acronymPDVSA, was ordered to pay Exxon $746.9 million for the 2007 seizureof oil wells, crude-processing facilities and related equipment,according to a copy of the International Chamber of Commerce's Dec.23 ruling obtained by Bloomberg News. The award represents 11percent of the $7 billion sought by Exxon, the world's largestcompany by market value.

Exxon, the first international energy explorer to abandonVenezuela four-and-a-half years ago when Hugo Chavez consolidatedcontrol of the nation's oil industry, is counting on a separatearbitration case overseen by the World Bank to win billions inpotential profits the company says were lost as a result of thenationalization, said Lysle Brinker, director of energy equityresearch at IHS Inc.

Complete your profile to continue reading and get FREE access to Treasury & Risk, part of your ALM digital membership.

  • Critical Treasury & Risk information including in-depth analysis of treasury and finance best practices, case studies with corporate innovators, informative newsletters, educational webcasts and videos, and resources from industry leaders.
  • Exclusive discounts on ALM and Treasury & Risk events.
  • Access to other award-winning ALM websites including PropertyCasualty360.com and Law.com.
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.