Three groups battling for control of "new" PDVSA

www.vheadline.com Posted: Thursday, February 20, 2003 By: Patrick J. O'Donoghue

El Nacional reporter, Mary Mogollon reports that there are three groups fighting for control inside the “new” Petroleos de Venezuela (PDVSA).  Company president, Ali Rodriguez, who belongs to Patria Para Todos (PPT), is fighting off takeover attempts from the so-called Garibaldi Group led by former PDVSA president, Hector Ciavaldini and firebrand Adina Bastidas.

• The third group consists of retired army officers belonging to Movimiento Quinta Republica (MVR).

Rodriguez can count on PDVSA-West and PDVSA-East directors, Felix Rodriguez and Luis Marin respectively, Labor Minister Maria Cristina Iglesias, Jose Albornoz in the National Assembly and Mario Isea.

The Garibaldi Group wanted Rodriguez’ head last October. Ciavaldini brought the following into PDVSA and they are still in key positions: Diego Uzcategui, Romulo Gilarte, Alfredo Pineda, Luis Davila, Luis Correa, Favio Gonzalez Ciavaldini, Alejandro Gomez, Jorge Perez, Argenis Rodriguez, Alfredo Riera and Hector Viveros.

MVR counts on Oswaldo Contreras Meza (Citgo) and Gustavo Perez Isea, head of the Security & Losses Department.

Mogollon alleges a conflict between Rodriguez and Ciavaldini over the purchase of gasoline during the national stoppage.

Rodriguez hired Pepex electronic systems to buy 14 million barrels of gasoline for the domestic market at Platts +7 (US) cents a gallon, but PDVSA Commerce & Supply management off its own bat did the same with Golf + 16,5 (US) cents a gallon (almost $1 more per gallon).

Ciavaldini is said to have clinched the deal in Manhattan with Glencore, which has a bad name in Venezuela since it was struck off PDVSA’s client list in 1994 when it was connected to Marc Rich.  Ciavaldini reinstated the company when he became president, along with Novarco, whose representative is a relative.