On Bauer Business Focus — A conversation about oil in Venezuela with Andrew Schneider, business reporter for KUHF 88.7 FM.
In early November, Superior Energy released a report stating that two of their hydraulic snubbing units had been seized by the Venezuelan government in Anaco, Venezuela. The seizure took place after a Venezuelan company owed $9 million in debt to Superior Energy and Superior demanded payment.
Looper Reed & McGraw P.C. Associate J. Wayne Ballew stopped by Bauer Business Focus recently to discuss Superior Energy and the politics of oil in Venezuela.
“It’s becoming sort of a routine or a counter to somebody’s demand for payment with ongoing AR (payables) that are continuing to mount,” Ballew said.
Even with the political uncertainty in Venezuela, some U.S. and other foreign companies continue to do business there.
“Given the stability, or [in]stability of the regime, there’s a cost of doing business or a portion of your planning that can go into what would ultimately be a seizure by the government or an ousting by the government, and that’s a factor taken into account at the onset and on an ongoing basis by these projects,” Ballew added.