Chavez and PDVSA have more problems

[funk de fino]

Not only are PDVSA in debt to service companies to the tunes of billions of dollars, they now have a strike on their hands. While not affecting production it is affecting drilling which will hit them further down the line.

http://www.calgaryherald.com/technology/Venezuelan+dispute+halts+rigs/2902445/story.html

He better hope the service comanies play ball with them.

 

[MikeMangum]

From the article:

PDVSA said the stoppage by 800 workers that began Monday had not affected oil production as the 12 rigs were not yet producing. The stoppage could affect future production.

The oil company said the stoppage was illegal and it did not rule out taking legal steps against the strikers.

...

“These contractors will take measures. However, PDVSA could also take legal action since the workers are acting against a public asset and it is a national security issue,” said PDVSA eastern division labour relations manager Jorge Esteves.

I find it ironic how strikes are often illegal in the various workers' paradises. Of course, the article does mention one of the main causes of PDVSA's problems:

PDVSA has run up considerable debts with suppliers and contractors and from uncompensated expropriations and nationalizations of dozens of service companies.

If you steal from a company, generally they are going to want their property back, at a minimum, before they will be willing to do business with you again. Not many companies are going to want to do business in that situation and I would imagine that the number of oil service contractors willing to work with Venezuela has declined substantially.

 

[dudalb]

I have to mention a common saying among Russian Workers during the days of the USSR:

"As long as the Government pretends to pay us,we will pretend to work".