Tuesday, March 15, 2016

Venezuela's Oil-for-Cash China Deals Endangered

Looks like China has been lending Venezuela USDs against some oil; now the deal may be going bad.  Looks like big trouble in USD zombie paradise...

state-owned oil producer Petroleos de Venezuela SA is in talks with China for money [Ed: "out of money!!"]  that would help the company pay $1 billion of bonds due in October. 
Since 2007, the Asian nation has lent more than $57 billion to the increasingly cash-strapped OPEC member in return for oil.  [Ed: ooooooh ... not good...]
If China doesn’t send any more money, Venezuela is going to have a real problem,  [Ed: not good...]
“The Chinese are not happy with the Venezuelans,” said Miguel Octavio, the head of research at BBO Financial Services Inc., which focuses on Venezuela. “They’re more uncertain now and feel they might be last in line to collect.

Boy, maybe China will have to send in their military to collect on the USDs they are owed.

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