Reliance Industries denies any cash payment for Venezuelan oil

Not in violation of any U.S. sanctions, says the company

Reliance Industries (RIL) denied reports that the company was involved in an arrangement that led to cash payment for oil supplies to Venezuelan state-owned oil firm PDVSA via third parties.

Terming the reports as ‘false’ and ‘reckless,’ RIL said in a statement, “Reliance has purchased Venezuelan crude oil from companies such as Rosneft long before the imposition of U.S. sanctions, as they do get title to Venezuelan oil in return for reduction in their prior debt.

“Since sanctions were imposed, Reliance has made such purchases with the full knowledge and approval of the U.S. Department of State (USDOS), and Reliance has informed USDOS of specific volumes and transactions. Such transactions do not lead to any consequent payment to PDVSA and do not violate U.S. sanctions or policies.”

Clarifying on the cash payments, RIL said, “Reliance’s price agreement with such sellers is at market [rates] and payments by Reliance for such supplies are settled in cash or by product supply bilaterally between Reliance and such sellers. It is false to suggest that Reliance would be settling such shipments via Rosneft to PDVSA. In these transactions, PDVSA is only the original physical supplier, as the crude oil originates in its export facilities.”

Source: Read Full Article