Venezuela: President Hugo Chavez
Chavez moves in on gas compression units
Venezuela's President Hugo Chavez said yesterday his government was taking over a group of gas compression plants related to the oil industry, the latest move by the socialist leader to increase state control of the economy.
Chavez said the government was taking control of 70 gas compression units in 14 plants in several parts of the country including the Maracaibo and Orinoco oil heartlands.
"We continue advancing, recovering the control, property and management of all these plants and compression units. Nobody will stop us in this," he said.
"We have a timetable to take control of the production plants in the Orinoco belt," Chavez said.
Chavez did not give details of the companies affected but an industry source said the government took control of equipment belonging to US service company Exterran Holdings .
Exterran has several investments in Venezuela and in April announced a $97 million non-cash charge related to the government takeover of a gas injection plant controlled by US player Williams Companies and a water injection plant that both included Exterran as a minority partner.
In recent weeks, Chavez has stepped up a two-year nationalisation drive in the Opec nation, taking over oil service companies including Williams Companies.
Since 2007, he has put major energy projects, heavy industry and telecommunications in state hands.