January 21, 2020

International Trade

US$ 260 million reported in alcoholic beverage exports from Venezuela

Luis Enrique Cardenas, President of the Venezuelan Alcoholic Industry Chamber (CIVEA) reports that close to US$ 260 in alcoholic beverages were exported from Venezuela by the private sector during 2019, particularly to the European Union. (El Universal; https://www.eluniversal.com/economia/59929/exportan-260-millones-en-bebidas-alcoholicas)

 

Oil & Energy

U.S. extends CHEVRON Venezuela sanction waiver

The United States Treasury Department granted CHEVRON another three-month sanction waiver to continue operating in Venezuela, with the expiry date of this latest extension set for April 22. The Treasury Department has been granting Chevron three-month extensions of its sanction waiver for a while now, with the one it announced last October reportedly being a topic of heated discussion in the Trump administration in light of Washington’s attempts to stifle all oil revenues going into the coffers of the Maduro government. Some, however, notably Secretary of State Mike Pompeo, argued that the presence of a U.S. company in Venezuela would help to quicken the recovery of its oil industry when—and if—the government changes. Reuters noted that CHEVRON reported losses of US$ 104 million related to its business in Venezuela for the first nine months of the year. Yet if the Treasury Department stops granting it sanction waivers, Chevron would have to leave the country, which would cost it US$ 2.7 billion in assets. Besides CHEVRON, four oilfield services companies have been granted sanction waivers to continue doing business in Venezuela. However, SCHLUMBERGER, BAKER HUGHES, HALLIBURTON and WEATHERFORD have wound down their operations there to virtually nothing. (Oil Price: https://oilprice.com/Latest-Energy-News/World-News/US-Extends-Chevron-Venezuela-Sanction-Waiver.html; The Houston Chronicle: https://www.houstonchronicle.com/business/article/American-energy-companies-to-remain-in-Venezuela-14990649.php; Reuters, https://www.reuters.com/article/us-venezuela-chevron/u-s-grants-chevron-another-three-months-for-venezuela-operations-idUSKBN1ZH0DH)

 

Oil buyers steer clear of Venezuela over Petro payments

Buyers of Venezuelan crude oil have stopped dealing with this nation after officials started demanding payment of port fees in the country’s controversial Petro cryptocurrency. Sources told media outlet World Oil that exports of at least a million barrels of oil were put on hold after the government announced the fees must be paid in Petro tokens. Buyers were reportedly worried that paying in Petro may violate US sanctions. (Coin Rivet: https://coinrivet.com/es/oil-buyers-steer-clear-of-venezuela-over-petro-payments/)

 

Economy & Finance

Venezuela Petro dumped at a 50% discount at LocalBitcoins

Venezuelans are dumping the government-issued Petro, a crypto coin backed by a barrel of Oil, for half its value (US$ 30) at peer-to-peer exchanges like LocalBitcoins. The situation has worsened over the past few weeks as the government has scrambled to tame the USD/Bolivars rate but shutting down avenues for liquidation. At the time of writing, 50k Bolivars equals to $1 while 1 Petro (PRT) is pegged at US$ 60. The Maduro-led regime asserts that each coin is more than a medium of value but a crypto asset, like Bitcoin, in an economy stricken by economic turmoil and world’s leading hyperinflation. According to sources in Venezuela, the government airdropped 0.5 Petro to government workers and pensioners claiming that their effort reached 6 million people. As a crypto asset, the objective of the government was to probably avail a shield for its citizens. However, it soon emerged that people used the same airdropped Petro to buy ordinary stuff through Point-of-Sale and government-supported Petro Wallets. Both avenues were shut, paving the way for people to liquidate at peer-to-peer exchanges. At LocalBitcoins, the value of each Petro was consequently priced at US$ 30, 50% of what the government had set. (Coin Gape: https://coingape.com/venezuela-petro-dumped-at-a-50-discount-in-localbitcoins/)

 

Maduro opens international crypto casino

Nicolas Maduro has authorized the opening of an international casino at a luxury hotel in Caracas where bets must be placed in Petros, the country’s national oil-backed digital currency. Several cryptocurrencies and fiat currencies can be exchanged into Petros to wager in the casino. Maduro announced Friday that he has authorized the opening of a casino at the Humboldt Hotel in Caracas where bets must be placed in Petros. The hotel, located on the peak of El Avila hill, was reopened in 2018. Gamblers must acquire PTR to participate. Following Friday’s casino announcement, the media started reporting that Venezuela may be warming up to casinos again. The Humboldt Hotel’s casino is expected to begin operations in the coming months, but Maduro did not reveal whether he plans to open more casinos. (Bitcoin: https://news.bitcoin.com/maduro-opens-crypto-casino-venezuela/)

 

Politics and International Affairs

Pompeo vows US support as he meets Venezuela's Guaidó in Colombia

Venezuela's acting President Juan Guaidó has met with US Secretary of State Mike Pompeo in Colombia's capital, as he tries to shore up international support amid a power struggle with Nicolas Maduro.

• Venezuela is a "failed state", Pompeo said on Monday, after meeting Guaidó on the sidelines of a three-day counterterrorism ministerial meeting in Bogota. "I would fully expect there will be further action that the US would take to continue to support President Guaidó and the Venezuelan people," Pompeo told journalists. "We do not talk about particular sanctions, but everyone can fully expect that the US is not done," Pompeo warned, without specifying what action Washington will take.
• “I’ve heard this idea that we’ve underestimated Maduro. What’s been underestimated is the desire for freedom that rests in the hearts of the Venezuelan people,” he said. “We are collectively — the Europeans, the other countries in South America, the United States are determined to deliver that outcome for the people of Venezuela.”
• "The world must continue to support the Venezuelan people's effort to restore their democracy and put an end to Maduro's tyranny which harms millions of Venezuelans and has an impact on Colombia and indeed on the entire region", he added. "I want you to know that your president is a great leader who wants to take your country in the right direction — the direction of freedom, democracy, to restore economic prosperity," Pompeo said in remarks directed at the Venezuelan people.
• From Colombia, Guaidó is set to travel on to London, Brussels and Davos, Switzerland, to attend the World Economic Forum.  Guaidó would not confirm whether he will meet US President Donald Trump in Davos.
• Separately, Colombia and the US accused Maduro of harboring armed groups such as Colombia's Marxist-led National Liberation Army rebels and of having connections to everyone from drug traffickers to Lebanon's HEZBOLLAH movement. “After today’s event I think the world has it very clear that there is a dictatorship that finances terrorism,” Guaidó said.
• Pompeo blasted Maduro as an ally to terrorist groups that in contrast to other nations in Latin America is providing “a home” to Hezbollah. “This is unacceptable,” he said."[Maduro is] now running an operation that looks more like a cartel than anything else that one could describe. This isn't good for Venezuela, it's not good for the countries that are around Venezuela," Pompeo said.
• Pompeo kicked off the counter-terrorism conference at the General Santander Police Academy in Bogota – where 22 cadets were killed in a bombing last year – by decrying Maduro as an ally to terrorist groups including the National Liberation Army, the Colombian rebel group authorities say plotted the attack. “These groups must lay down their arms and the Maduro regime must be held to account for its support of them,” Pompeo said.
• The statements could open the possibility of the US including Venezuela in the list of states that support or finance terrorism.
• Maduro allies including Diosdado Cabello, head of the powerful National Constitutional Assembly, brushed off Guaidó’s international tour, dismissing the Bogota event as “a conference of terrorists.” “It doesn’t occupy any of our time, because in truth, it’s insignificant,” Cabello said.
• Guaidó told reporters the fight for democracy "finds alternatives, different pathways, and reinforced mechanisms." He said getting rid of Maduro is a "long-term strategy." "The dictators won't want to give up the power they've taken. ... We're much more like Syria than like Cuba ... in terms of migration, access to services, the inflation. There are no vaccines for our children. They are dying because of lack of food," Guaidó said.

(Al Jazeera: https://www.aljazeera.com/news/2020/01/pompeo-vows-support-meets-venezuela-Guaidó-colombia-200121061021165.html; The Wall Street Journal: https://www.wsj.com/articles/pompeo-meets-venezuelas-juan-Guaidó-vows-continued-u-s-support-11579565437; BBC News: https://www.bbc.com/news/world-latin-america-51169801; VOA News: https://www.voanews.com/americas/pompeo-promises-more-action-boost-venezuelas-Guaidó; Bloomberg: https://www.bloomberg.com/news/articles/2020-01-20/Guaidó-meets-foreign-backers-of-bid-to-oust-venezuela-s-maduro; AP: https://apnews.com/14d31109b0c60cb574a44d3ad8cd0fde; (PBS: https://www.pbs.org/newshour/world/Guaidó-meets-pompeo-condemns-venezuela-for-links-to-terrorism)

 

Colombia rolls out the red carpet for Guaidó

 “We are honored by your presence,” Colombian President Iván Duque told Guaidó during opening remarks in a stately reception. “You will always have a friend in Colombia.” Venezuela’s pro-Maduro Supreme Court has barred Guaidó from leaving the nation it’s unknown whether authorities will let him back again this time. “That risk always exists in Venezuela,” Guaidó said to a bevy of journalists as he headed into a meeting with Pompeo. Duque shot back at critics who have questioned Guaidó’s strength Monday, characterizing his efforts as “brave” in facing off against Maduro. “Maybe many speculate, ‘Why hasn’t Guaidó put an end to the dictatorship?’” Duque said. “This can’t be a discussion about individual capabilities. We know your bravery and that confronting a dictatorship with no limits is a task that goes beyond heroism.” (PBS: https://www.pbs.org/newshour/world/Guaidó-meets-pompeo-condemns-venezuela-for-links-to-terrorism

 

Guaidó to meet top EU diplomat in Brussels

Opposition leader Juan Guaidó, recognized as Venezuela's president by more than 50 countries including the United States and most European Union members, will come to Brussels on Wednesday to hold talks with the European Union's foreign policy chief Josep Borrell, Borrell told a news conference. (The New York Times: https://www.nytimes.com/reuters/2020/01/20/world/americas/20reuters-venezuela-politics-eu.html; Reuters, https://www.reuters.com/article/us-venezuela-politics-eu/venezuelas-Guaidó-to-meet-top-eu-diplomat-in-brussels-idUSKBN1ZJ1RX)

 

Guaidó to attend Davos forum

Venezuela’s opposition leader and acting president, Juan Guaidó will attend this week’s World Economic Forum in DAVOS, lawmaker Stalin Gonzalez told AFP on Monday. Guaidó is currently in Colombia, but Gonzalez, a Guaidó ally, said the National Assembly speaker will then head to Switzerland for the annual economic meeting that opens on Tuesday. Despite being banned from leaving the country by the regime of Nicolas Maduro, Guaidó surfaced in Bogota on Sunday, where Colombian President Ivan Duque welcomed him with full presidential honors. (The Japan Times: https://www.japantimes.co.jp/news/2020/01/21/business/venezuela-opposition-leader-juan-Guaidó-attend-davos-forum/#.XibkAMhKi8U)

 

European Parliament reaffirms support for Juan Guaidó, condemns Maduro coup attempt

The European Parliament has condemned the recent attempted coup to prevent Juan Guaidó from being re-elected President of the Venezuelan National Assembly. In a resolution adopted on Wednesday, the European Parliament strongly condemns the attempt by Nicolas Maduro’s regime to install pro-government candidate Luis Parra as new Chairman of the Venezuelan National Assembly on 5 January of this year. In the resolution, the European Parliament reaffirms their support for Juan Guaidó as the legitimate President of the National Assembly and interim President of Venezuela. MEPs deplore the recent grave violations, which are incompatible with legitimate election processes. The National Assembly of Venezuela is the only legitimately elected democratic body in the country, and its powers need to be respected, says the text. The European Parliament also recalls that the EU stands ready to support a genuine process towards a peaceful and democratic solution to the Venezuelan political crisis. The resolution calls on EU Foreign Policy Chief Josep Borrell to step up the European Union’s response to restore democracy in the country, including through targeted sanctions against individuals responsible for human rights violations, but also by extending these sanctions to their family members. The text was adopted by 471 votes to 101, with 103 abstentions. (European Parliament: https://www.europarl.europa.eu/news/en/press-room/20200110IPR70010/venezuelan-crisis-meps-reaffirm-their-support-for-juan-Guaidó)

 

Guatemala's new president cuts ties with Venezuela, as promised

Guatemala’s new President Alejandro Giammattei cut diplomatic ties with the regime of Nicolas Maduro on Thursday and ordered the closure of its embassy in Caracas. The conservative Giammattei, who took office on Tuesday, had already indicated he would cut ties upon assuming power. Maduro’s foreign minister Jorge Rodriguez, in a response on Twitter, accused Giammattei of bowing down to the administration of U.S. President Donald Trump. (Reuters: https://www.reuters.com/article/us-guatemala-politics-venezuela/guatemalas-new-president-cuts-ties-with-venezuela-as-promised-idUSKBN1ZF2SB)

 

Maduro says he’s still in control of Venezuela, ready for direct talks with the United States

Nicolás Maduro cast himself as the wily survivor of a dramatic, year-long struggle by the opposition at home and its allies in Washington to unseat him and said it’s now time for direct negotiations with the United States to end the political stalemate.

• He suggested a bonanza could be waiting for U.S. oil companies in this country should President Trump lift sanctions and press the reset button on U.S.-Venezuelan relations.
• Yet if anything, his words revealed the vast gulf that still exists between his authoritarian government and the opposition and U.S. officials who call him a dictator. His positions on key issues suggested no quick fix to the brutal humanitarian crisis that has led millions to flee poverty and hunger in this troubled socialist state.  Speaking in the ornate Miraflores presidential palace, Maduro did not display such willingness.
• He called any new presidential vote still years away. He also denied the assertions of U.S. and European diplomats and opposition negotiators that his government offered the opposition a deal including new presidential elections during talks brokered by Norway last year before they collapsed in the fall. He doubled down on his pledge to hold legislative elections this year — a vote his opponents insist he would use as a tool to further consolidate power. Maduro said he remained willing to sit down with Guaidó — but he seemed to dismiss the opposition’s key demand: that he exit in favor of a transitional government that would renovate the Supreme Court and national election councils to call new elections.
• Maduro seemed to dismiss his growing international isolation. “Do you want me to tell you the truth?” he asked, leaning in. “I don’t care even a little bit about what Europe does, or about what the U.S. does. We do not care at all. We only care about what we do … No matter how many thousand sanctions, they won’t stop us, or Venezuela.”
• Maduro repeatedly asserted his view that Trump had been misled by his policymakers, and he seemed baffled that Trump had courted North Korea’s Kim Jong Un but not him. “I believe Mike Pompeo has failed in Venezuela and is responsible for Donald Trump’s failure in his policy toward our country,” Maduro said. “I think Pompeo lives in a fantasy. He’s not a man with his feet on earth. I think Trump has had terrible advisers on Venezuela. John Bolton, Mike Pompeo, Elliott Abrams have caused him to have a wrong vision.”

U.S. officials have been considering more provocative steps to oust Maduro, including a naval blockade of Venezuelan oil destined for Cuba. Maduro said such a step would be “illegal,” but stopped short of calling it an act of war. Still, Maduro said significant changes could be in the offing if Washington opened a direct channel with him. (The Washington Post: https://www.washingtonpost.com/world/the_americas/maduro-says-hes-still-in-control-of-venezuela-ready-for-direct-talks-with-the-united-states/2020/01/18/7f609a6e-38a7-11ea-a1ff-c48c1d59a4a1_story.html)

 

Maduro’s foreign minister in Iran, starts 3-day visit

The Maduro regime’s foreign minister Jorge Arreaza began a three-day visit to Iran and was received by his Iranian counterpart Mohammad Javad Zarif, Venezuela's foreign ministry reported on its @CancilleriaVE Twitter account on 20 January. The Venezuelan ministry posted photos of Arreaza and Zarif shaking hands and embracing, with the words: "To start the work agenda that will be developed in Tehran, the foreign minister of the Islamic Republic of Iran, Javad Zarif @JZarif receives the [Venezuelan] foreign minister Jorge Arreaza @jaarreaza to have a bilateral meeting". (BN Americas: https://www.bnamericas.com/en/news/venezuela-foreign-minister-in-iran-starts-3-day-visit)

 

Maduro calls for Cuban ambassador to gain access to Venezuelan ministries

Nicolas Maduro said on state television that the Cuban ambassador to Caracas should have access to all the country's ministries in order to coordinate efforts. “For the Cuban ambassador, the doors of all ministries should be open for coordination,” TASS quoted Maduro as saying. He also added that Cuba could “count on Venezuela in everything.” (Teller Report: http://www.tellerreport.com/news/2020-01-21---maduro-calls-for-cuban-ambassador-to-gain-access-to-venezuelan-ministries-.ByKaINAQWI.html)

 

Colombia’s leading opposition senator to sue Guaidó

One of Colombia’s leading opposition figures said he would file criminal charges against Venezuelan opposition leader Juan Guaidó for claiming he was “financed through Venezuelan corruption money.” During a surprise visit to Colombia, Guaidó additionally called Senator Gustavo Petro an “accomplice” of Nicolas Maduro. Petro responded that “I am neither an accomplice of dictators nor an accomplice of “Los Rastrojos,” a Colombian drug trafficking organization that allegedly helped Guaidó cross the border last year. (Colombia Reports: https://colombiareports.com/venezuelas-opposition-chief-calls-colombias-leading-opposition-senator-accomplice-of-maduro/)

 

Venezuela attorney added to ICE Most Wanted list

Venezuelan attorney and businessman, Raul Antonio De La Santisima Trinidad Gorrin Belisario, has been added to the US ICE Most Wanted list for conspiracy to violate the Foreign Corrupt Practices Act and several counts of money laundering. The action follows an indictment filed August 16, 2017, in the Southern District of Florida, Gorrin’s subsequent escape from justice, and the updated FinCEN advisory of May 3, 2019, regarding widespread public corruption in Venezuela. The indictment alleges that Gorrin, 50, a Venezuelan citizen with a residence in Miami, Florida, paid millions of dollars in bribes to two high-level Venezuelan officials to secure the rights to conduct foreign currency exchange transactions at favorable rates for the Venezuelan government. Gorrin was last seen in Caracas, Venezuela, and currently remains at-large. ICE warns the public to not attempt apprehending the subject. If you have information about the whereabouts of this fugitive, immediately contact your local U.S. Immigration and Customs Enforcement (ICE) office or call the national hotline at 1-866-DHS-2-ICE as soon as possible. (News Americas Now: https://www.newsamericasnow.com/latin-america-news-venezuela-news-usice-wanted/)

 

The following brief is a synthesis of the news as reported by a variety of media sources. As such, the views and opinions expressed do not necessarily reflect those of Duarte Vivas & Asociados and The Selinger Group.

September 05, 2019

International Trade

Venezuela bans agricultural imports from Colombia for fear of Fusarium

Venezuela's Institute of Environmental Health (INSAI) published a statement of transboundary phytosanitary risks in which they propose preventive measures to prevent the spread of the Fusarium oxysporum f. sp. Cuban tropical 4 race fungus or Foc R4T in the plantations of musaceae. The measures include the temporary prohibition of the entry of propagation material of any plant species, or any means that transports soil or traces, as well as banning imports and import procedures for any agricultural product from Colombia. They also suggested that the officials of INSAI and the Territorial Agricultural Committees intensify phytosanitary surveillance in the border states, Barinas, Trujillo, Falcon, Lara and Merida; deploying at least 40 agronomists and military personnel in border areas of Zulia, and increasing the number of technical personnel in ports and airports to inspect ships, aircraft, and luggage from Colombia. Finally, they recommend fumigating the vehicles entering Venezuela with 20% quaternary ammonium or a similar disinfectant, and reinforcing the National Program for Prevention, Detection, Management, and Control. (Fresh Plaza: https://www.freshplaza.com/article/9140543/venezuela-bans-agricultural-imports-from-colombia-for-fear-of-fusarium/)

 

Oil & Energy

SINOVENSA works halted on PDVSA arrears

Chinese contractor HUANQIU Contracting and Engineering has suspended a project to expand Venezuela's SINOVENSA crude blending plant because of overdue payment. SINOVENSA is a joint venture led by Venezuelan state-owned PDVSA with a 51% stake, and China's state-owned CNPC with 49%. The plant is one of the few oil-processing facilities in Venezuela that has sustained operations despite a host of problems, including US sanctions that impede the supply of spare parts, power outages and equipment breakdowns and theft. SINOVENSA produces 16ºAPI Merey crude by blending extra-heavy crude from the Orinoco heavy oil belt's Morichal district with domestic light grades. The production is exported, mainly to China. In a 3 September letter seen by Argus, HUANQUI's senior executive in Venezuela Liang Qiang notified SINOVENSA project manager and CNPC official Zhao Xiongfei that construction of "complementary works" associated with SINOVENSA's capacity expansion from 105,000 b/d to 165,000 b/d would be suspended immediately pending full payment of two invoices totaling US$ 52 million issued in November 2018 and February 2019 . (Argus Media: https://www.argusmedia.com/en/news/1972352-sinovensa-works-halted-on-pdv-arrears?backToResults=true)

 

CITGO Petroleum cash builds, with dividends to parent frozen

CITGO Petroleum Corp, the U.S. refining arm of Venezuela’s state oil company, is accumulating hundreds of millions of dollars in cash it may not be able to pay out as dividends for at least a year, according to a new report by ratings firm S&P Global. The refiner had US$ 1.36 billion in cash at June 30 and should generate another US$ 1.4 billion in funds from operations over the next 12 months, the report said. S&P last week raised CITGO’s stand-alone credit profile to BB from BB-minus, reflecting its stronger liquidity. Some Venezuelan politicians were expecting Citgo, as the county’s largest foreign asset, to help finance Congress chief Juan Guaido’s interim government. The United States and most Western countries have recognized Guaido as Venezuela’s legitimate leader, although President Nicolas Maduro retains control of state-run Petroleos de Venezuela, S.A., known as PDVSA, and the nation’s military. (Reuters, https://www.reuters.com/article/us-citgo-petroleum-debt/citgo-petroleum-cash-builds-with-dividends-to-parent-frozen-idUSKCN1VO2TN)

 

Economy & Finance

Gold reserves fall to 75-year low as Guaido seeks to restructure debt

Venezuelan gold reserves have fallen to a historic low, Venezuela’s Central Bank revealed last week. According to official data, the value of gold bars held in the Central Bank vaults have declined to US $4.62 billion, down 18.5% from US$ 5.67 billion at the end of 2018. Venezuela currently has 102 tons of gold reserves, but a third of the total is being held by the Bank of England, which has refused to repatriate it back to Venezuela. In January, opposition leader Juan Guaido wrote a letter to the Bank of England asking it not to return the gold to Venezuelan coffers. In the subsequent seven months, the National Assembly president has repeatedly tried to seize power and form a transition government. Most recently, Guaido announced Tuesday that his office will contract US law firm Sullivan & Cromwell LLP as lead counsel for negotiations to restructure Venezuela’s foreign debt. (Venezuela Analysis: https://venezuelanalysis.com/news/14647)

 

Venezuela's Armed Forces Bank slams MASTERCARD for halting card service

A Venezuelan bank run by the troubled country’s military on Wednesday slammed MASTERCARD for cutting off service to the bank’s credit cards following U.S. sanctions against the government of President Nicolas Maduro. The measure is another sign of how U.S. sanctions are affecting the functioning of Venezuelan state institutions. But the practical impact is limited because the bank is small and hyperinflation has reduced use of credit cards, whose credit limits rarely keep up with price increases. MASTERCARD also halted services to state-run Agricultural Bank. Phone numbers published on that bank’s website were disconnected. (Reuters: https://www.reuters.com/article/us-venezuela-politics-mastercard/venezuelas-armed-forces-bank-slams-mastercard-for-halting-card-service-idUSKCN1VQ02Y)

 

Politics and International Affairs

Maduro deploys air defenses to Colombian border amid attack fears, orders military exercises

Nicolas Maduro is deploying missile defenses along Venezuela’s border to ward off a potential attack launched under false pretenses, he announced after declaring an “orange alert” over the Colombian threat. Maduro ordered the deployment of Venezuela’s missile defense system and commanded the military to patrol the Colombian border for two weeks starting on September 10, without specifying any details. Earlier he declared an “orange alert against the threat of aggression of Colombia against Venezuela” on Tuesday, two days after Communications Minister Jorge Rodriguez presented satellite photos charging Colombia with harboring terrorist training camps. The maneuvers are set to take place in the states of Zulia, Tachira Apure and Amazonas, which make up the 2,219 kilometers (1,379 miles) of Venezuela’s shared border with Colombia. In addition, Maduro said he lamented the rearmament of a dissident group of the Revolutionary Armed Forces of Colombia (FARC) guerrilla, adding that Venezuela has always wanted peace to be achieved in the civil conflict that has been raging on in the neighboring country for more than half a century. Meanwhile, the US Air Force has completed its first deployment to Guyana in over a decade, having sent 600 service members on a four-month humanitarian outreach mission with an eye toward forging a lasting alliance with the country’s military. (RT: https://www.rt.com/news/468061-venezuela-missile-defenses-colombia-border/; Latin American Herald Tribune, http://www.laht.com/article.asp?ArticleId=2482869&CategoryId=10717; Reuters, https://www.reuters.com/article/us-venezuela-politcs/venezuelas-maduro-warns-of-colombia-attack-orders-military-exercises-idUSKCN1VO2I6)

 

Maduro’s military exercises on border a 'threat': Colombia Minister

The Maduro regime's planned border military exercises are a direct threat to regional stability, Colombia's foreign minister said on Wednesday, as the neighboring countries renewed their frequent verbal sparring over security. Nicolas Maduro late on Tuesday ordered the armed forces to be on alert for a potential attack by Colombia and announced military exercises on the border, after a group of former guerrilla commanders said they would rearm. Former Revolutionary Armed Forces of Colombia (FARC) guerillas last week announced a rearmament in a video that Colombian authorities believe was filmed in Venezuela, spurring concern of a worsening of the Colombian armed conflict and expansion of armed groups in Venezuela. "It is a threat that reflects the consistent bad actions of a (Maduro) government which creates crisis situations," Foreign Minister Carlos Holmes Trujillo told journalists. "It's a threat that doesn't just have to do with Colombia, but with the stability and the tranquility of the region." "The dictatorial regime (of Maduro) favors the presence in its territory of terrorist organizations, not just Colombian ones, but from other parts of the world," Holmes added. (The New York Times: https://www.nytimes.com/reuters/2019/09/04/world/americas/04reuters-venezuela-politics-colombia.html; Reuters, https://www.reuters.com/article/us-venezuela-politics-colombia/venezuela-military-exercises-on-border-a-threat-colombia-minister-idUSKCN1VP2H6)

 

Ivanka Trump visits Venezuelan migrant camp in Colombia as US increases aid

Ivanka Trump visited a migrant camp in Colombia on Wednesday as part of an official U.S. delegation, as Washington boosts humanitarian assistance for the millions of people who have fled Venezuela’s collapsing economy. The Trump administration will increase assistance by US$ 120 million to provide emergency food and health care to Venezuelans throughout the region, according to State Department officials. That brings the total donated by the U.S. to address the crisis since 2017 to US$ 376 million, they said. Ivanka Trump, who is an adviser to her father, President Donald Trump, visited Cucuta on Wednesday -- a Colombian border city that is the first destination for many migrants leaving Venezuela by land. She was joined by U.S. Deputy Secretary of State John Sullivan. Sullivan and Ivanka Trump are making diplomatic visits to Colombia, Paraguay and Argentina this week. In Cucuta, they met with Julio Borges, who is International Affairs Commissioner for interim president Juan Guaido, who has been recognized by the U.S. and more than 50 other countries as Venezuela’s rightful head of state. Sullivan reiterated the U.S.’s support of Guaido, saying “we are determined to not yield in our commitment.” Ivanka Trump paid tribute to the female Venezuelan leaders, calling them “warriors.” She also met with Venezuelan women who had crossed into Colombia, some seeking health care they couldn’t access in their home country. Colombian Vice President Marta Lucia Ramirez visited the migrant center with the American delegation. When asked whether the U.S. is doing enough, Ramirez said: “I have to say sincerely the U.S. government is the one doing the best, but it never is enough.” Ramirez urged European nations to match U.S. sanctions on the Maduro regime. (Bloomberg: https://www.bloomberg.com/news/articles/2019-09-04/u-s-boosts-venezuela-migrant-aid-as-diaspora-passes-4-million; Reuters, https://www.reuters.com/article/us-colombia-usa/u-s-to-give-additional-120-million-to-help-venezuelan-migrants-idUSKCN1VP30F)

 

The following brief is a synthesis of the news as reported by a variety of media sources. As such, the views and opinions expressed do not necessarily reflect those of Duarte Vivas & Asociados and The Selinger Group.

June 20, 2019

International Trade

Venezuela received a new shipment of humanitarian technical assistance

On Monday, June 17th, the second shipment of Humanitarian Technical Assistance arrived, with 24 tons of medicines and medical supplies, as part of the cooperation between the Maduro regime and the Federation of Red Cross and Red Crescent Societies. Maduro’s Health Minister, Carlos Alvarado, said that with this shipment increases to 48 tons received through the Federation, totaling 569 tons of medicines and medical surgical equipment. (AVN, http://www.avn.info.ve/node/474357)

 

Oil & Energy

CHEVRON could finally be forced to leave Venezuela

CHEVRON's nearly century-long relationship with Venezuela might not survive the Maduro regime's fight with the United States. Not only is Venezuela's infrastructure crumbling, but the national oil company has been sanctioned by the Trump administration. CHEVRON, the last major US oil company still operating in Venezuela, could be forced to leave unless US officials extend sanctions waivers scheduled to expire on July 27. A CHEVRON exit would follow on the heels of other major American companies that have retreated from the chaos in Venezuela in recent years. A loss of CHEVRON's expertise and resources would only make matters worse for Venezuela's oil industry, which is already on the brink of collapse under Nicolas Maduro. And it could trigger losses for CHEVRON in a major market it's spent decades sinking time, money and sweat into. CHEVRON currently has five onshore and offshore production projects in Venezuela with PDVSA, the national oil company. CHEVRON even established its Latin American headquarters in Caracas. In January, US President Donald Trump imposed tough sanctions on PDVSA in a bid to push out Maduro. Those sanctions prohibited American companies from doing business with PDVSA. However, the US Treasury Department granted six-month waivers to CHEVRON and five oil services companies: HALLIBURTON, SCHLUMBERGER, BAKER HUGHES and WEATHERFORD International. Those waivers, set to expire on July 27, allow the companies to conduct transactions and activities with PDVSA. If the waivers lapse and US sanctions remain in place, analysts said that CHEVRON would need to suspend its joint ventures with PDVSA. CHEVRON said that "future events" could cause the environment in Venezuela to become "more challenged," leading to "increased business disruption and volatility" in financial results. Today, CHEVRON owns a 39% stake in a joint venture with PDVSA that produced 16,000 barrels per day of oil in the Boscan Field, which is in the state of Zulia. CHEVRON also owns stakes in three other onshore production joint ventures, two of which operate in Venezuela's Orinoco Belt. If the sanctions waivers aren't renewed and CHEVRON Leaves, the hope is that the company would be able to resume its operations once relations between the United States and Venezuela improve. However, analysts warn that would be no easy task. Venezuela's energy infrastructure is falling apart -- and a pause in activity would only worsen it. (CNN: https://www.cnn.com/2019/06/19/business/chevron-venezuela-oil-sanctions/index.html)

 

Russia squeezing embattled Maduro for tax-free gas expansion

Russia’s state-controlled oil giant, ROSNEFT PJSC, is extracting concessions from crisis-ridden Venezuela to enter the offshore natural gas market on the cheap, a potential headache for the U.S. and Europe. An accord signed by both Russia and Venezuela earlier this month will give ROSNEFT tax breaks to produce and export gas from the Patao and Mejillones fields off Venezuela’s east coast. The document, which also includes a “fair market price” in the event of an expropriation, makes changes to a bilateral agreement reached in 2009, according to a filing by the Russian government. The deal underscores how Russia is both propping up and gaining from the Nicolas Maduro regime at a time when the U.S. is sanctioning Maduro and China has cut its support. Venezuelan gas could eventually offer Russia new entry points into both Asia and Europe. As a result of the changes signed by Russian President Vladimir Putin, ROSNEFT and its suppliers will be exempt from value added and import taxes to develop the two gas fields, which are near to where EXXON MOBIL Corp. is rushing to extract oil in neighboring Guyana. The agreement was filed online by the Russian legal information website, which publishes orders by the president and applied international treaties. ROSNEFT is also considering entering another natural gas block, known as Deltana 5, that’s much closer to a border that’s been hotly contested.  ROSNEFT would have two options to export the gas. It could build a liquefied natural gas plant in Venezuela, or it could pipe the gas to Trinidad where there are LNG trains with spare capacity. (Bloomberg: https://finance.yahoo.com/news/russia-squeezing-embattled-venezuela-tax-040001813.html)

 

U.S. seeks info from ad-hoc CITGO board named by Venezuela's Guaidó

An ad-hoc board of directors for U.S. oil refiner CITGO, named by Venezuelan interim president Juan Guaidó, said on Wednesday it has received a request for information from U.S. officials, who are probing its parent company PDVSA for alleged corruption. "Recently, the U.S. Department of Justice ... has also requested information from CITGO," the board said on its Twitter account. "CITGO has communicated to the Department of Justice its complete disposition to cooperate to clear up presumed irregular actions or corruption." The CITGO board added that it was conducting an internal investigation into "the company's actions in the recent past." (The New York Times: https://www.nytimes.com/reuters/2019/06/19/world/americas/19reuters-venezuela-politics-citgo.html)

 

No end in sight, families of CITGO executives jailed in Venezuela push for answers

It's been 570 days, say family members, who worry about the men's health and insist they're innocent as they worry their situation has been forgotten. Carlos Añez, 34, says he was upset when his stepfather, a Citgo executive, was called for a last-minute meeting in Venezuela the weekend before Thanksgiving 2017. Once in the conference room at the PDVSA headquarters in Caracas, armed and masked security agents arrested the men — five American citizens and one U.S. resident. Later that day, Maduro’s chief prosecutor, Tarek William Saab, announced at a news conference that the executives had been detained on charges stemming from a deal to refinance CITGO’s debt. Saab accused them of signing off on a deal to refinance the company's debt with terms unfavorable to Venezuela and offering CITGO as collateral. The alleged agreement was with the investment fund Apollo Global Management and Dubai-based Frontier, a firm that was working to source deals for Apollo. But a deal was never signed. About seven weeks after Apollo declined a deal, the executives were arrested. Maduro called them “corrupt thieving traitors” and said they should go to the worst prison. The detained include former Citgo President Jose Pereira and five former company vice presidents: Jorge Toledo, Tomeu Vadell, Gustavo Cardenas, Jose Luis Zambrano, and Alirio Zambrano. After more than a year-and-a-half in detention, the six Americans finally had a preliminary hearing. The judge ordered they stand for trial, after they declared their innocence. No date was set. Some of the families say they are concerned that CITGO and the State Department may not be doing enough to secure the release of the executives. A State Department spokesperson said it is gravely concerned about the welfare and safety of these and other U.S. prisoners in Venezuela and are closely monitoring the cases. (NBC: https://www.nbcnews.com/news/latino/no-relief-sight-families-citgo-executives-jailed-venezuela-seek-answers-n1018071)

 

Canadian crude Gulf Coast exports rise as Venezuelan gap is filled

Heavy crudes have poured into the United States this spring, offsetting the loss of Venezuelan oil and producing a mini surplus, with Canadian heavy crude this month being exported from the U.S. Gulf Coast. U.S. refiners have lined up larger supplies from Canada, Iraq and Colombia since Washington in January began choking off the flow of dollars to Venezuela’s socialist government by barring transactions with PDVSA, Venezuela’s state oil company and once among the top three providers of heavy crude to U.S. refiners. The United States went from importing 561,000 barrels per day (bpd) of Venezuelan oil in January to zero barrels in May. This month, more than 130,000 bpd of heavy Canadian crude is scheduled to depart from Texas, four times the average exported in 2018, trade sources said. (Reuters, https://www.reuters.com/article/us-usa-crude-exports/canadian-crude-gulf-coast-exports-rise-as-venezuelan-gap-is-filled-trade-sources-idUSKCN1TJ2AC)

 

Economy & Finance

Is Maduro trafficking Nazi gold stolen from Holocaust victims?

The Simon Wiesenthal Center is looking into whether Venezuelan dictator Nicolás Maduro has been trafficking Nazi gold that includes ingots made from fillings taken from Jews murdered in the Holocaust. The Center said in a statement on Wednesday that it’s studying information exposed by the Wall Street Journal indicating that Maduro has managed to hold onto his regime through selling some 73.3 tons of gold valued at US$ 3 billion, to Middle East and Turkish companies between 2017 and February 2019. In March, it was reported that a further 7.4 tons of gold ingots, valued at US$ 300 million, were sent in two flights of a Russian aircraft from Caracas to Entebbe, for "refining" and sent on to a Middle Eastern country. “Despite the African Gold Refinery claims that the final destination was Dubai, via Turkey, if the final destination was a ‘Muslim country,’ possibly to Iran as end-user to fund terror, Maduro may be the agent of a historic irony: Gold stolen from Jews in the Shoah to finance another genocidal intent, this time against the Jewish State,” the Center stated. "We urge a full investigation into the activities of African Gold Refinery and its management’s reportedly nefarious role in the theft of the Venezuelan people’s property, the dubious origin of its gold transport and involvement in a possible Holocaust travesty,” it added. (The Jerusalem Post: https://www.jpost.com/Diaspora/Is-Veneeulas-Maduro-trafficking-Nazi-gold-stolen-from-Holocaust-victims-593042)

 

Midtown’s Tower Fifth gets pushback from Venezuelan leader

Real estate tycoon Harry Macklowe’s proposed Midtown Manhattan skyscraper, dubbed Tower Fifth, is now likely to get skinnier — thanks to US sanctions against the Venezuelan regime. After the Post reported Wednesday that Macklowe’s Tower Fifth skyscraper will be built partially in a space where the Venezuelan consulate now stands on East 51st Street, the Venezuelan Ambassador to the US tweeted out the story with some harsh words to Nicolas Maduro. “None of [Venezuela’s] assets are for sale in the US,” Ambassador Carlos Vecchio tweeted with a link to The Post story. “Maduro regime attempted to sell VZ consulate in NY, one of the usurper’s criminal acts that we stopped to protect assets of the nation,” said Vecchio, who was appointed by Juan Guaidó, who the US recognizes as the interim president of the country. (New York Post: https://nypost.com/2019/06/19/midtowns-tower-fifth-gets-pushback-from-venezuelan-leader/)

 

Politics and International Affairs

UN human rights chief Michelle Bachelet arrives in controversial Venezuela visit

UN human rights chief Michelle Bachelet arrived in Venezuela on Wednesday for a three-day visit where she is expected to hold separate talks with both Nicolas Maduro and interim president Juan Guaidó. She is also expected to speak to civil society leaders and "victims of human rights violence and abuses", the UN rights office said. Her visit, at the invitation of the government, comes in advance of a UN Human Rights Council three-week session.  Bachelet will deliver a statement at the end of her visit on June 21, and she is also expected to submit a report to the UN Human Rights Council in the next month. In recent months, the rights chief has been critical of Maduro's crackdown on opponents. In a report to the UN Human Rights Council in March, Bachelet said Venezuelan security forces, backed by pro-government armed groups, had quashed peaceful protests with excessive use of force, killings and torture. She has also criticized US sanctions against Maduro's government, cautioning that they are exacerbating the crisis and possibly hurting "people's basic rights and wellbeing". Some analysts believe her visit will reflect positively for Maduro. "With this visit the UN Commissioner, indirectly, recognizes the legitimacy of the government of Nicolas Maduro," said Luis Vicente from DATANALISIS, a think-tank in Venezuela. The fact that her three-day trip is even taking place is also seen as something of a minor triumph for rights activists. Bachelet’s predecessor, Zeid Ra’ad al-Hussein, was repeatedly denied access to the country for criticizing what he said was the government’s refusal to recognize a humanitarian crisis. In contrast, Maduro appears to be rolling out the red carpet for Bachelet, who survived jail and exile during Chile’s military dictatorship. On the eve of her arrival, the government freed 21 opposition activists considered political prisoners, including a substitute lawmaker and 18 people detained during recent anti-government protests. Previously, Maduro began allowing the Red Cross to deliver humanitarian aid. But several politicians close to Guaidó who have been arrested in recent weeks remain behind bars, including his chief of staff Roberto Marrero and National Assembly Vice President Edgar Zambrano.  In addition to meeting with Maduro, Bachelet will meet with socialist party boss Diosdado Cabello, as well as the Supreme Court head and attorney general. She also plans to see victims of human rights violations and their relatives, the U.N. agency said. Notably absent from a draft agenda are visits to detention centers such as the Helicoide prison, where many of the nearly 700 activists considered to be political prisoners by the opposition are being held. José Miguel Vivanco, Americas director for Human Rights Watch, urged Bachelet to insist on receiving access to a prison and the JM de los Rios Children’s Hospital in Caracas, which doctors describe as a waiting room for sick and dying children. He warned Bachelet’s visit will be a disappointment if she just meets with officials, opposition leaders and civil society representatives. “She can do that via Skype from Geneva,” he said. “She’s there to represent the victims. The litmus test is whether she can gain access to a prison of her choice, inspect conditions and meet in private with political prisoners. That’s the only thing that will give purpose to this trip.”  Supporters of Guaidó, however, have called for protests out of fear Bachelet will get a highly curated, unrealistic view of the crisis.  However, Geoff Ramsey, a Venezuela researcher at the human rights group Washington Office on Latin America (WOLA), said the visit would still be worthwhile, telling AP: "Any progress we see of releasing political prisoners or efforts to organize new elections I don't think are going to be providing oxygen to Maduro. This could be a galvanizing moment for the opposition at a time when they badly need it." (Al Jazeera: https://www.aljazeera.com/news/2019/06/rights-chief-bachelet-heads-venezuela-day-visit-190619061657764.html; Newsweek: https://www.newsweek.com/maduro-trump-venezuela-Guaidó-1444914; France 24: https://www.france24.com/en/20190620-venezuela-united-nations-bachelet-human-rights-chief-first-visit-crisis)

 

NSC denies Washington Post report that Trump is losing patience and interest on Venezuela

According to The Washington Post, President Donald Trump is losing interest in Venezuela after a bid to oust Nicolas Maduro by US backed opposition figures in April failed. An official told the Post that Trump had always thought of Venezuela as "low-hanging fruit" on which he "could get a win and tout it as a major foreign policy victory." "Five or six months later.... it's not coming together," the official said. Two senior White House officials told The Post that the president "chewed out the staff"  - national security adviser John Bolton and Latin America policy director Mauricio Claver-Carone - after the failure on April 30 to shift Maduro from power because they "got played" both by US-backed opposition leader Juan Guaidó, and Maduro regime figures - who claimed to have supported ousting Maduro. The time, the White House had been assured that key figures in the security forces and government were ready to switch their allegiance, The Washington Post reported. The issue has largely fallen off Trump's Twitter feed, with the president last mentioning Venezuela on June 4, when he claimed Russian forces had withdrawn from the country. However, the report was rejected by National Security Council spokesman Garrett Marquis who described the official's claims as, "patently false." "The United States never said that its effort in Venezuela would be limited to one round. The administration's maximum-pressure policy relies upon consistency and discipline to achieve the ultimate goal," another senior official told the paper. (Business Insider: https://www.businessinsider.com/trump-bored-of-venezuela-as-maduro-clings-to-power-report-2019-6; https://www.washingtonpost.com/; Newsweek: https://www.newsweek.com/maduro-trump-venezuela-Guaidó-1444914)

 

Pence thanks Latin America for generosity in supporting Venezuela’s freedom

Vice President Mike Pence renewed on Tuesday the “firm” commitment of the Donald Trump administration to Venezuela’s “legitimate” president, Juan Guaidó, and the Venezuelan people and thanked other Latin American countries for their “generosity” in helping defend the cause of freedom in Venezuela. The US government stands “with our neighbors ... We will continue to stand strong until freedom, democracy and the rule of law are restored” in Venezuela, Pence said on a visit to the US Navy hospital ship USNS Comfort at the Port of Miami, a vessel which on Wednesday will set sail on an 11-country tour of the Caribbean, Central and South America, the ship’s second visit to the region in the past six months. Pence said he was happy to visit Miami “for the departure of the USNS Comfort, bringing the compassion of the American people to those suffering here in our hemisphere and around the world.” (Latin American Herald Tribune, http://www.laht.com/article.asp?ArticleId=2480035&CategoryId=10717)

 

Colombian armed groups recruiting desperate Venezuelans, army says

Venezuela’s crisis is spilling across the border into Colombia as Marxist rebels and right-wing paramilitaries recruit migrants to strengthen their ranks, according to five Colombian military commanders.  Violence still simmers in Colombia despite a 2016 peace deal with leftist FARC rebels, meant to end five decades of conflict. Dissident FARC fighters, the rebel National Liberation Army (ELN), right-wing paramilitaries and drug-trafficking gangs are battling each other and the military. Keen for recruits, these armed groups are targeting Venezuelans as they traverse the porous 2,219-km (1,380-mile) frontier at illegal border crossings, according to the military officials, human rights officials and migrants themselves. Five military commanders told Reuters that as many as 30% of insurgents in Colombia’s eastern border region are Venezuelans, willing to take up arms in return for food and pay. Nationwide, an estimated 10% of fighters are Venezuelan, the commanders said. Their estimates were based on information from informants, deserters, captured rebels and residents.  Reuters was not able independently to confirm the information provided by the commanders or speak directly to any Venezuelans who had been recruited by an armed group. Several Venezuelan migrants told Reuters they had been approached by armed groups for recruitment on entering Colombia. A FARC dissident, who asked not to be identified, told Reuters the group was also present on Venezuelan soil and was recruiting Venezuelans. Colombia’s right-wing paramilitary groups, which battled the ELN and FARC for decades, are also recruiting migrants, the military officials said. (Reuters: https://www.reuters.com/article/us-venezuela-politics-colombia-exclusive/exclusive-colombian-armed-groups-recruiting-desperate-venezuelans-army-says-idUSKCN1TL14E)

 

After loss at sea, Venezuelan archbishop calls for trafficking probe

A top Vatican official in Venezuela has called on authorities to investigate a rise in human trafficking after an apparent smuggling operation gone wrong left more than a dozen people missing. Archbishop Roberto Luckert in an open letter published on Facebook on Tuesday said the sinking of a boat carrying Venezuelan migrants to Trinidad and Tobago in April showed the dire consequences of trafficking. The letter urged authorities “to investigate, follow, prosecute and convict those responsible for the crimes of human trafficking.” It was signed by Luckert and another clergyman. Thirty-seven passengers were on board the boat which left Venezuela and sank on April 23. Rescuers found nine survivors and one body, and the other migrants remain unaccounted for. It was unclear whether the passengers left Venezuela voluntarily or were forced as part of a trafficking operation, as the Archbishop’s letter suggested. (Reuters: https://www.reuters.com/article/us-venezuela-trafficking-archbishop/after-loss-at-sea-venezuelan-archbishop-calls-for-trafficking-probe-idUSKCN1TK392)

 

OP-ED: Can negotiation actually break the stalemate in Venezuela? by Felix Seijas

The announcement of negotiations in Oslo between Nicolás Maduro’s government and the Venezuelan opposition took most of the country by surprise. Though the basis for the talks was built quietly over several months, their beginning marked a new phase in the country’s political conflict. Exploratory talks began just two weeks after the April 30 uprising, indicating that the opposition had already been testing the possibility of negotiations while pursuing its preferred path of a dramatic rupture within the government. With those talks underway, Guaidó now faces two fundamental problems. The first is that he must deal with currents within the opposition that do not want a negotiated exit for Maduro. Pressure from international actors, especially the Lima Group and the European Union, which have been consistent in calls for a peaceful resolution to the conflict, may help in this regard. A second, related problem is how to sell the benefits of dialogue to a skeptical public that remembers the fruitless attempts at negotiation with Maduro in Caracas in 2016 and the Dominican Republic in 2018. But despite the risks, the circumstances today are very different. Maduro is likely to still feel that he’s holding most of the cards, but time is not on his side as it once was. Thus, the possibility of success in Oslo, while perhaps slim, should not be discounted. The challenge lies in convincing those with the weapons that clinging to their trenches will cost them more in the long run than reaching an agreement and exiting the stage. To do this, it is essential to continue to increase pressure on Maduro, and Guaidó should concentrate his efforts on three goals: keeping the opposition coalition as unified as possible, keeping the public mobilized, and coordinating with international allies to continue to create effective mechanisms to pressure the regime. If any of these fails, the goals at Oslo may well be unattainable.  The Trump administration does not have a seat at the table in Oslo, but it is difficult to imagine that anything is happening without its full knowledge and consent. Diosdado Cabello is another player to keep an eye on. If Cabello were to get backing from Cuba, it could lead to consequential changes in the balance of power within chavismo. If talks are successful, the most likely outcome will be a call for new elections with safeguards to ensure a fair result. The two sides, for now, are far from such an agreement, and the odds of success at this point do not seem high. But for Venezuela, it is well worth the attempt.  - Seijas is a Venezuelan political analyst and statistician, Ph.D. He is the director of the Delphos poll. (Americas Quarterly: https://www.americasquarterly.org/content/can-negotiation-actually-break-stalemate-venezuela)

 

The following brief is a synthesis of the news as reported by a variety of media sources. As such, the views and opinions expressed do not necessarily reflect those of Duarte Vivas & Asociados and The Selinger Group.