• 3 minutes Australian power prices go insane
  • 7 minutes Wind droughts
  • 11 minutes  What Russia has reached over three months diplomatic and military pressure on West ?
  • 3 hours Is Europe heading for winter of discontent with extensive gas shortages?
  • 17 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 20 hours Hopes Are Dashed For International Oil Companies In North Iraq
  • 23 hours "The Global Digital ID Prison" by James Corbett of CorbettReport.com
  • 7 mins 87,000 new IRS agents, higher taxes, and a massive green energy slush fund... "Here Are The Winners And Losers In The 'Inflation Reduction Act'"-ZeroHedge
  • 3 days Changing Gazprom ADRs to Russian shares
  • 2 days Oil Stocks, Market Direction, Bitcoin, Minerals, Gold, Silver - Technical Trading <--- Chris Vermeulen & Gareth Soloway weigh in
Zainab Calcuttawala

Zainab Calcuttawala

Zainab Calcuttawala is an American journalist based in Morocco. She completed her undergraduate coursework at the University of Texas at Austin (Hook’em) and reports on…

More Info

Venezuelan Default Swap Bonds At 19.25 Cents On The Dollar

The value of Venezuelan oil company PDVSA’s debt bonds stood at 19.25 cents on the dollar, according to the results of the first stage of an auction to land on a final payout value for the securities.

The default swaps would insure investors in case of Caracas’ total bankruptcy, promising at least some payment on their contracts. The final value for the swaps should be published later today.

The International Swaps and Derivatives Association declared both Venezuela and the PDVSA in default in November after Caracas missed several debt payments. S&P Global Ratings also declared Venezuela in default last month, just as the country’s Vice President Tareck El Aissami met with creditors to discuss the restructuring of its debt. According to reports from the meeting, it only lasted about half an hour and did not result in any agreement on how to proceed. The ratings agency said Caracas failed to make a $200-million payment on a debt by the end of the 30-day grace period.

Russia threw a lifeline to Venezuela last month after the two countries signed a deal to restructure $3.15 billion worth of Venezuelan debt owed to Moscow. Under the terms of the deal that Russia’s Finance Ministry announced, Venezuela will be repaying the debt over the next ten years, of which the first six years include “minimal payments”. But the deal doesn’t include funds that Venezuelan companies—including state oil firm PDVSA—have borrowed from Russia, Venezuelan Economy and Finance Minister Simon Zerpa said, as quoted by Reuters.

Russia, as well as China, are the main sources of funds for the Venezuelan regime now that the U.S. slapped a series of sanctions on Venezuela’s government and its oil company PDVSA, including on issuance of new debt.

By Zainab Calcuttawala for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News