---

       T R O U B L E D   C O M P A N Y   R E P O R T E R

                 L A T I N   A M E R I C A

          Friday, July 31, 2020, Vol. 21, No. 153

                           Headlines



B R A Z I L

CESP COMPANHIA: Fitch Gives 'BB' LT FC IDR, Outlook Negative


E C U A D O R

ECUADOR: Seeks Support Over Threat of Foreign Fishing Fleets


M E X I C O

GRUPO AEROMEXICO: To Pay 30% of Interest Due on Stock Certificate
GRUPO AEROMEXICO: Wins Court OK to Reject Leases for 19 Planes


T R I N I D A D   A N D   T O B A G O

PETROLEUM CO: OWTU Optimistic Over Refinery Sale


V E N E Z U E L A

CITGO PETROLEUM: Caught Between Venezuela's Competing Governments
PETROLEOS DE VENEZUELA: Sent 33 Oil Tankers to Ally Cuba

                           - - - - -


===========
B R A Z I L
===========

CESP COMPANHIA: Fitch Gives 'BB' LT FC IDR, Outlook Negative
------------------------------------------------------------
Fitch Ratings has assigned first-time Long-Term Foreign- and
Local-Currency Issuer Default Ratings of 'BB' and 'BB+',
respectively, and National Scale rating of 'AAA(bra)' to CESP -
Companhia Energetica de Sao Paulo. The Rating Outlook for the
Foreign-Currency IDR is Negative, while the Rating Outlook for the
Local-Currency IDR and National Scale rating is Stable.

CESP's IDRs reflect its moderate to strong business profile within
the power- generation segment in Brazil, combined with a
conservative capital structure, strong liquidity position and
lengthened debt maturity schedule. Cash generation is highly
concentrated in a single asset, as 95% of its current 1,627MW of
installed capacity comes from Hydroelectric Power Plant Porto
Primavera, which limits the ratings.

Positively, Fitch expects the company to realize strong
pre-dividend free cash flow, reflecting robust operational cash
generation from medium- to long-term sales contracts with favorable
prices and the absence of relevant investments in the coming years.
A high volume of dividends should result in negative FCFs until
2022.

The ratings also incorporate the moderate diversification and high
quality of CESP's client base in terms of energy sold. Sales to
power distribution companies on the Regulated Contracting
Environment is not a concern and Fitch believes that the sales
portfolio at the Free Contracting Environment market will be
resilient against the impacts from Covid-19 on volumes and
delinquency. CESP's ratings reflect some degree of uncertainty
regarding the estimated amounts related to litigation liabilities,
as well as the risks of managing a short energy balance during the
current stressed hydrological conditions.

The Negative Rating Outlook for CESP's Foreign-Currency IDR
considers the Negative Rating Outlook for Brazil's sovereign rating
(BB-). Since the company receives all its revenues in Brazilian
reals, with no cash or committed credit lines abroad, Fitch does
not see its Foreign-Currency IDR above the Country Ceiling (BB). In
the event of a sovereign downgrade, the Country Ceiling will likely
be reduced and, as a consequence, CESP's Foreign-Currency IDR as
well. The analysis does not include the possibility of support by
controlling shareholders.

The Stable Rating Outlook of both the Local-Currency IDR and the
National Scale rating reflects the expectation that CESP will
maintain its solid cash-generation capacity and preserve strong
liquidity and conservative credit metrics, with net debt/EBITDA
limited to 2.5x.

KEY RATING DRIVERS

Positive Performance: CESP should continue improving its EBITDA
generation and margin in the next couple of years, based on higher
energy sales volumes and average prices, along with a more
efficient cost structure. Fitch forecasts net revenues of BRL2.0
billion in 2020 and 2021, with EBITDA of BRL1.0 billion and a 50%
EBITDA margin in 2020, increasing to BRL1.2 billion and 59%,
respectively, in 2021.

Those figures favorably compare with net revenues of BRL1.6
billion, EBITDA of BRL752 million and EBITDA margin of 48% in 2019.
The base case scenario considers energy sales volumes of 1,167MWa
in 2020 and 1,072MWa in 2021, and a weighted average sales price of
BRL216/MWh and BRL243/MWh, respectively. In 2019, sales volume
totaled 993MWa and the weighted average price was BRL202/MWh. The
expansion of the trading business through CESP Comercializadora's
activities, which started in early 2020, should continue to have a
limited contribution to cash generation.

Low Asset Diversification Limits Ratings: CESP's ratings
incorporate the risks associated with high concentration in its
asset base. Currently, HPP Porto Primavera accounts for 95% of the
total assured energy of the company (935MWa), already excluding HPP
Jaguari, whose concession was ended in May 2020 and is operated by
CESP on a temporary basis until a new bid occurs. HPP Paraibuna
concession, in turn, ends in March 2021. Therefore, Fitch's base
case assumes that, as of April 2021, Porto Primavera will be CESP's
single asset.

Moderate Client Base Diversification: CESP has a moderate
diversified client base. Sales in the regulated market were
negotiated with 32 distributors, with negligible counterparty risk,
but more than 90% of sales volume in the ACL market is concentrated
in six clients. Under Fitch's projections, around 25% of energy
sales in the 2020-2023 period will be traded in the regulated
market and 75% in the ACL market. Contracts negotiated in the ACL
market have a remaining weighted average term of 3.1 years, while
contracts sold in the ACR market will be effective until 2038 and
2039.

Strong Pre-Dividend FCF Is Positive: Fitch expects CESP to present
strong pre-dividend FCF due to robust cash flow from operations
(CFFO) and low capex levels. High dividend payments should result
in negative FCFs until 2022, but the company has flexibility to
reduce them, if needed, to limit leverage metrics. The base case
scenario for 2020 considers a CFFO of BRL377 million, with negative
FCF of BRL242 million after capex of BRL13 million and dividends of
BRL606 million. Fitch's projections for the 2020-2023 period
include total capex of around BRL50 million and total dividends of
around BRL4.0 billion, corresponding to dividend payout ratios
higher than 100%.

Conservative Leverage to Remain: Fitch believes that CESP will
maintain conservative leverage metrics with total debt/EBITDA and
net debt/EBITDA ratios limited to 3.0x and 2.5x, respectively, in
the coming years. In the base case scenario for 2020, these ratios
will be 1.8x and 1.3x, respectively. In the last 12 months ended
March 31, 2020, total debt/EBITDA was 1.6x and net debt/EBITDA,
0.7x. The company ended the first quarter of 2020 with total debt
of BRL1.8 billion, related to debentures issued in January 2019 to
pay the BRL1.4 billion grant for the early renewal of HPP Porto
Primavera's concession, in the context of CESP`s privatization.

Manageable Potencial Contingencies: Fitch considers CESP's
contingencies as manageable. The company maintains on its balance
sheet relevant provisions, related to old litigations, totaling
BRL1.9 billion. The base case scenario incorporates cash
disbursements of BRL1.2 billion over the projection horizon (2020
to 2023) and payments materially above this amount are unlikely. On
the other hand, CESP expects to receive BRL1.5 billion in the same
period (out of a total BRL1.7 billion until 2024), referring to the
indemnification of assets related to HPP Três Irmaos, which were
reverted to the federal government in the past, but not fully
amortized. Fitch's projections assume a first cash inflow of BRL428
million to occur in 2021, with subsequent annual installments
thereafter.

Hydrological Risk Not Impacting the IDR: CESP's exposure to
hydrological risk is moderate. Based on the projected energy spot
price, Fitch estimates an impact of BRL13 million on 2020 net
revenue in the ACL market for each lower centesimal point in the
Generation Scaling Factor. In the base case scenario, the agency
considered an average GSF of 0.84 over the entire projected period.
Contracts sold in the regulated market are fully protected against
hydrological risk due to the renegotiation carried out in 2016,
pursuant to Law 13,203/15, which eliminated the hydrological risk,
upon payment of an annual premium.

Resilient Client Base to Coronavirus Effects: CESP's credit profile
should not be materially affected during the Covid-19 pandemic.
Fitch does not foresee any issue in sales on the ACR market and
believes that the customer portfolio in the ACL market is resilient
to the current pandemic effects, considering the large size and
economic sectors of the main clients (energy and mining sectors
account for 72% of future contracted demand). Most of the existing
contracts in the ACL market do not provide flexibility in energy
consumption. Any flexibilities, when applicable, are limited to 5%
of the energy contracted on an annual basis, and are incorporated
in the projections of the rating case scenario. Losses from
flexibility are estimated at BRL13 million in 2020. Fitch believes
that, until the current data, few contracts had been subject to
renegotiation and, in such cases, the company has been successful
in providing non-costly deferrals. In addition, CESP has benefited
from the short position of the energy balance, as it has been able
to reduce the 2020 deficit at exceptionally low prices.

DERIVATION SUMMARY

CESP's Foreign-Currency IDR is two notches below the
Foreign-Currency IDR of AES Gener S.A. (AES Gener; BBB-/Stable).
This difference is reduced to one notch when comparing the
Local-Currency IDRs of both companies. Relative to Engie Brasil
S.A. (Engie Brasil; BBB-/Negative), CESP's Local-Currency IDR is
one notch lower. Engie Brasil's Foreign-Currency IDR of
'BB'/Negative is also constrained by Brazil's Country Ceiling of
'BB'.

In terms of the Local-Currency IDR, AES Gener and Engie Brasil
benefit from a more diversified asset base in the power sector than
CESP. Engie Brasil also presents larger scale and a conservative
financial profile, with net leverage below 2.0x, despite
significant capex disbursements for its transmission lines under
construction and wind power projects. AES Gener benefits from its
operations in investment countries, as most of its revenues are
originated in Chile and Colombia. According to Fitch's projections,
AES Gener's leverage, as measured by net debt/EBITDA, is expected
to remain at around 4.0x until 2021, pressured by the construction
of Alto Maipo HPP.

Considering the National Scale rating, CESP's 'AA+(bra)' is the
same as that of AES Tiete Energia S.A. and Eneva S.A. Although AES
Tiete benefits from a diversified base of the generation segment
and larger scale (3.3GW in installed capacity), distributed between
nine HPPs and three small hydroelectric plants, with a remaining
weighted average term of around nine years, Fitch projects more
stretched net leverage ratios for Tiete, between 3.0x and 3.5x, by
2022.

Eneva is the third largest thermal generator in Brazil with 2.2GW
of installed capacity allocated to six operating plants. The
company secures its own supply of natural gas, which fuels 66% of
its current capacity. The remaining capacity operates with coal
acquired from third parties. Compared to CESP, Eneva operates at
higher levels of financial leverage, especially due to the need of
continuous investments in hydrocarbon exploration and production.
Fitch estimates Eneva's total adjusted net debt/EBITDA ratio at
2.9x in 2020 and 2.3x in 2021. Both companies have a demonstrated
track record of operating efficiency.

KEY ASSUMPTIONS

Fitch's Key Assumptions within its Rating Case for the Issuer
Include:

  -- Non-renewal of the Jaguari HPP concession maturing in March
2021.

  -- Sales volume of 10.3TWh in 2020, 9.4TWh in 2021 and average of
7.2TWh between 2022 and 2023, in the generation business.

  -- Average sales price of BRL216/MWh in 2020, BRL242/MWh in 2021
and BRL243/MWh between 2022 and 2023, in the generation business.

  -- Average PLD price of BRL77/MWh in 2020, BRL118/MWh in 2021 and
BRL127/MWh between 2022 and 2023.

  -- GSF flat at 0.84.

  -- Capex disbursement of around BRL50 million in the 2020-2023
period.

  -- Dividends of around BRL4.0 billion in the 2020-2023 period,
and BRL606 million in 2020.

  -- Payments of BRL1.2 billion related to litigation in the
2020-2023 period.

RATING SENSITIVITIES

Developments that May, Individually or Collectively, Lead to
Positive Rating Action:

  -- The Outlook for CESP's Foreign-Currency IDR will be revised to
Stable from Negative in case of the same movement for the Outlook
of the sovereign rating (BB-).

  -- Diversification of the asset base.

  -- Total debt/EBITDA and net debt/EBITDA remaining at the current
levels, limited to 3.0x and 2.5x, respectively.

  -- Maintenance of a strong liquidity profile.

Developments that May, Individually or Collectively, Lead to
Negative Rating Action:

  -- A downgrade on the sovereign rating will likely trigger a
downgrade on the company's Foreign-Currency IDR.

  -- Total debt/EBITDA and net debt/EBITDA above 4.0x and 3.5x,
respectively.

  -- Strong operational issue related to the performance of Porto
Primavera HPP.

  -- Deterioration in the liquidity profile.

BEST/WORST CASE RATING SCENARIO

International scale credit ratings of Non-Financial Corporate
issuers have a best-case rating upgrade scenario (defined as the
99th percentile of rating transitions, measured in a positive
direction) of three notches over a three-year rating horizon; and a
worst-case rating downgrade scenario (defined as the 99th
percentile of rating transitions, measured in a negative direction)
of four notches over three years. The complete span of best- and
worst-case scenario credit ratings for all rating categories ranges
from 'AAA' to 'D'. Best- and worst-case scenario credit ratings are
based on historical performance.

LIQUIDITY AND DEBT STRUCTURE

Robust Liquidity: Fitch believes that CESP will maintain
conservative liquidity levels in the coming years, despite the
expected negative FCFs until 2022. The company's credit profile
benefits from a high cash balance and lengthened debt maturity
schedule. Due in 2025, the first amortization of the 11th issuance
of debentures - the company's sole debt with an outstanding amount
of BRL1.8 billion as of March 31, 2020 - will occur only in 2022,
in the amount of BRL446 million. The cash balance at the end of the
first quarter was BRL950 million, with short-term debt of BR25
million related to debenture interest. Debentures are guaranteed by
receivables from CESP.

REFERENCES FOR SUBSTANTIALLY MATERIAL SOURCE CITED AS KEY DRIVER OF
RATING

The principal sources of information used in the analysis are
described in the Applicable Criteria.



=============
E C U A D O R
=============

ECUADOR: Seeks Support Over Threat of Foreign Fishing Fleets
------------------------------------------------------------
EFE News reports that Ecuadorian President Lenin Moreno reported
that he has requested meetings with some Pacific coastal nations to
seek a regional stance in the face of the threat of international
fishing fleets.

He said that the Exclusive Economic Zone around the Galapagos
Marine Reserve "is not only one of the richest fishing areas but
also a nursery of life, not only for Ecuador but for the whole
planet, for biodiversity and food security," according to EFE
News.

"It is precisely due to that wealth that we're under immense
pressure in this zone from international fishing fleets," the
president said at a time when dozens of foreign fishing vessels are
currently in international waters near the Galapagos, thus sparking
local and international concern, the report notes.

During a speech to Ecuadorian naval personnel on the 485th
anniversary of the founding of the coastal port city of Guayaquil,
Moreno said that on July 16 the navy reported the presence of the
vessels near the Galapagos, which are Ecuadorian territory, the
report relates.

Given the situation, the Foreign Ministry informed "the Chinese
government, in a cordial but firm manner, that Ecuador will see to
it that its maritime rights over its exclusive economic zone
prevail, without distinction as to (which) flag" may be violating
them, Moreno said, the report discloses.

"At the same time, I am ready to engage in the necessary
consultations with Pacific coastal states, the brother countries of
Colombia, Panama, Costa Rica, Peru and Chile, to have a regional
posture on this kind of threat," he added.

Ecuadorian Defense Minister Oswalso Jarrin warned that foreign
vessels that illegally enter the country's territory would be
seized, adding that the foreign fishing fleet was in international
waters at that time, the report relays.

"At no time has a vessel from the international fishing fleet
violated, made incursions into, penetrated or entered (Ecuador's)
exclusive economic zone, Jarrin said at the time, noting that
"many" of the fishing boats are Chinese, although it was not known
whether they were government-owned or privately owned.

And he warned that if any boat enters Ecuadorian maritime waters
"it will be seized," as occurred in 2017, the report points out.

In August 2017, Ecuador detected a large illegal fishing fleet near
the Galapagos Marine Reserve, comprising 297 vessels, one of them
the Fu Yuan Yu Leng 999, which Ecuadorian naval forces seized and
was incorporated into Ecuador's naval fleet, the report notes.

With a keel measuring 99 meters (325 feet) and the ability to sail
without refueling for 60 days, the boat was captured with 300 tons
of illegally caught fish in its holds, the report relates.

According to the Ecuadorian navy, the fleet that is near the
Galapagos at present includes "about 260 vessels, including fishing
boats, supply and storage vessels" and has stationed itself
"outside the limit of (Ecuador's) exclusive economic zone," the
report relays.

The Galapagos archipelago is made up of 13 large islands, six
smaller islands and 42 islets, and because of its rich biodiversity
it is considered to be a natural laboratory that, among other
things, enabled English scientist and naturalist Charles Darwin to
flesh out his theory of evolution and the natural selection of
species, which is a key mechanism of evolution, the report
relates.

At this juncture, Norman Wray, the minister president of the
Galapagos Governing Council, has expressed his concern regarding
the species in the zone, the report relays.

For its part, the World Wildlife Fund in Ecuador expressed its
concern over the presence of the fishing fleet, saying that it
represents a recurring threat for fishing resources and marine
biodiversity, especially in the vicinity of the Galapagos Marine
Reserve, the report discloses.

The WWF also issued an "urgent" call to the Ecuadorian government
to take the necessary measures in the short, medium and long term
to ensure the preservation of the marine biodiversity, the
sustainability of fishing resources and "the resilience of our
seas," the report relates.

This situation is occurring in international waters, outside the
limits of Ecuador's territory, making it a complex problem that
must be dealt with on different fronts and levels, WWF-Ecuador said
in a statement obtained by the news agency.

The WWF also emphasized that there are no clear policies regarding
the management or sovereignty over international waters, that is,
the situation that Ecuador is currently facing is a geopolitical
problem that all countries with ocean coastlines face, the report
relays.

The international organization also emphasized the importance of
countries cooperating to administer a global asset like the oceans
responsibly and sustainably with an eye toward helping to guarantee
international food security for millions of people, the report
adds.

                         About Ecuador

The Republic of Ecuador is a country in northwestern South
America.
The sovereign state of Ecuador is a middle-income representative
democratic republic and a developing country that is highly
dependent on commodities, namely petroleum and agricultural
products.  Lenin Boltaire Moreno Garces is the county's current
President, who has been in office since May 2017.  As of May 12,
2020, Ecuador has defaulted on sovereign debt in 2020.

On April 3, 2020, Moody's Investors Service downgraded the
long-term foreign-currency issuer and senior unsecured rating of
the Government of Ecuador to Caa3 from Caa1 and changed the
outlook
to negative from stable.  Moody's decision to downgrade Ecuador's
rating reflects the increased and now very high probability of a
restructuring, distressed exchange or default on Ecuador's market
debt as a result of the economic and financial shock the country
is
experiencing due to the coronavirus outbreak that has led to
extremely tight financing conditions for Ecuador.

On April 13, 2020, S&P Global Ratings lowered its long- and
short-term sovereign credit ratings on Ecuador to 'SD/SD' from
'CCC-/C'. S&P removed the ratings from CreditWatch.  S&P said
Ecuador's already large budgetary financing needs have been
exacerbated by the plunge in global oil prices and the negative
global economic impact of the COVID-19 pandemic. The country is
one
of the worst affected by the virus outbreak in the region.

Also, in mid April 2020, Fitch lowered Ecuador's longterm foreign
currency issuer default rating to C from CC.  The 'C' rating
reflects Fitch's view that a sovereign default of some kind is
imminent following the "consent solicitation" made by the
Ecuadorian government to defer external bond payments while it
pursues a comprehensive restructuring.  A deferment in payments,
if
agreed to by bondholders, would constitute a distressed debt
exchange in Fitch's view.

As reported in the Troubled Company Reporter-Latin America,
Egan-Jones Ratings Company, on May 18, 2020, downgraded the
foreign
currency and local currency senior unsecured ratings on debt
issued
by the Republic of Ecuador to CCC- from CCC+. EJR also downgraded
the rating on commercial paper issued by the Company to D from C.




===========
M E X I C O
===========

GRUPO AEROMEXICO: To Pay 30% of Interest Due on Stock Certificate
-----------------------------------------------------------------
Noe Torres at Reuters reports that Mexican airline Grupo
Aeromexico, S.A.B. de C.V. will pay 30% of the interest, or 525,000
pesos, due on its Aeromex 00320 stock certificate in the period
June 25 to July 23, said bank CIBanco, which represents investors
in the securities.

Late last month, Aeromexico filed for Chapter 11 bankruptcy
protection.

                       About Grupo Aeromexico

Grupo Aeromexico, S.A.B. de C.V. -- https://www.aeromexico.com/ --
is a holding company whose subsidiaries are engaged in commercial
aviation in Mexico and the promotion of passenger loyalty
programs.

Aeromexico, Mexico's global airline, has its main hub at Terminal
2 at the Mexico City International Airport.  Its destinations
network features the United States, Canada, Central America, South
America, Asia and Europe.

Grupo Aeromexico and three of its subsidiaries sought Chapter 11
protection (Bankr. S.D.N.Y. Lead Case No. 20-11563) on June 30,
2020.  In the petitions signed by CFO Ricardo Javier Sanchez
Baker, the Debtors reported consolidated assets and liabilities of
$1 billion to $10 billion.

Timothy Graulich, Esq., of Davis Polk and Wardell LLP, serves as
counsel to the Debtors.

GRUPO AEROMEXICO: Wins Court OK to Reject Leases for 19 Planes
--------------------------------------------------------------
Grupo Aeromexico, S.A.B. de C.V. (BMV "AEROMEX") said July 23, 2020
that as part of the rights afforded within its voluntary financial
restructuring process under Chapter 11 of the United States
Bankruptcy, the Company on July 3 requested Court authorization to
reject certain lease agreements for 19 aircraft to their respective
lessors in an orderly manner.

These aircraft are not part of the Company's strategic fleet
requirements under current market conditions.  The aircraft
involved are: 5 Boeing 737-800s, 5 Boeing 737-700s and 9 Embraer
E-170-LR aircraft, as well as 4 GE CF34-8E5 engines (the
"Equipment").

This motion is part of the Company's measures to ensure a more
efficient and homogeneous fleet, in order to ensure a viable and
profitable commercial platform in the new post COVID-19 economic
reality.

The July 23 hearing approved the termination of the contracts in
agreement with the Company's request. Aeromexico will follow the
guidelines authorized by the Court and the logistical aspects
agreed with the lessors for the orderly return of the Equipment.
This will reduce costs associated with the leasing and maintenance
of the Equipment and is part of the efforts to rationalize the
fleet of its subsidiaries that operate under the Aeromexico and
Aeromexico Connect brands.

The Company called the court decision "positive," which has no
effect on the Company's network plan or frequencies.  In addition
to strengthening the Company's operation towards a more profitable
and sustainable future the lease rejection, the Company explained,
will contribute to the business plan which is being reviewed by
management, supported by operational and financial advisers.

                    About Grupo Aeromexico

Grupo Aeromexico, S.A.B. de C.V. and three of its subsidiaries
sought Chapter 11 protection (Bankr. S.D.N.Y. Lead Case No.
20-11563) on June 30, 2020.  In the petitions signed by CFO Ricardo
Javier Sanchez Baker, the Debtors were estimated to have
consolidated assets and liabilities of $1 billion to $10 billion.

Grupo Aeromexico, S.A.B. de C.V. is a holding company whose
subsidiaries are engaged in commercial aviation in Mexico and the
promotion of passenger loyalty programs. Mexico's global airline
has its main hub at Terminal 2 at the Mexico City International
Airport. Its destinations network features the United States,
Canada, Central America, South America, Asia and Europe.

At the time of filing, the Group's operating fleet of 119 aircraft
is comprised of Boeing 787 and 737 jet airliners and Embraer 170
and 190 models. Aeromexico is a founding member of the SkyTeam
airline alliance, which celebrated its 20th anniversary, and serves
in 170 countries by the 19 SkyTeam airline partners. Aeromexico
created and implemented a Health and Sanitization Management System
(HSMS) to protect its customers and employees at all steps of its
operations.

Davis Polk & Wardwell LLP and Cervantes Sainz are acting as
Aeromexico's legal counsel, Rothschild & Co. is acting as financial
advisor, and AlixPartners, LLP is serving as restructuring advisor
to the Company.  Epiq Bankruptcy Solutions is the claims agent.



=====================================
T R I N I D A D   A N D   T O B A G O
=====================================

PETROLEUM CO: OWTU Optimistic Over Refinery Sale
------------------------------------------------
Trinidad Express reports that OILFIELDS' Workers Trade Union (OWTU)
President General Ancel Roget said they remain optimistic that
negotiations for the sale of the Pointe-a-Pierre refinery to
Patriotic Energies and Technologies Co Ltd, a company owned by the
OWTU, will be completed before the August 10 general election.

Last September the Government announced Patriotic Energies as its
preferred bidder, accepting their proposal ahead of 76 other
bidders. In its proposal, Patriotic had offered upfront cash
consideration of US$700 million plus US$300 million for the
non-core assets of the company, according to Trinidad Express.

The report notes that Roget said the OWTU felt compelled to respond
following the announcement by Prime Minister Dr Keith Rowley that
all Patriotic had to do was sign off on the Asset Purchase
Agreement, the first of a two-phase process, and then they would
move on to the closing phase of the acquisition process.

He noted that the country is faced with thousands and thousands of
people who suffered job losses and cannot put a meal on the table
for their families because of a number of situations including the
Petrotrin retrenchment, the report notes.

"Every day that goes by is another day that thousands of families
are denied an opportunity to put food on the table.  Another day
that goes by is another day of joblessness for thousands of people.
But another day that goes by without this process being closed is
another day where in the midst of an opportunity to put food on the
table for all of those families, they are simply being denied.

"And that is why we believe that there should be a great effort and
anxiousness to ensure that no stone is left unturned, to ensure
that we close this process and we get on with the business of
reopening that refinery. Our one objective is to ensure that the
country has the real fuel security by the reopening of that
refinery, free from political interference, in the interest of all
of the people of Trinidad and Tobago."

                     'All About the People'

He stated that the refinery will provide some 4,500 jobs, not for
senior executives or hundreds of managers, but jobs for skilled
workers such as scaffolders, technicians, operators, safety
officers and labourers, who are all unemployed today, as well as
permanent sustainable jobs for those who will be employed in the
running of the refinery.

Roget added that nobody is going to prevent them from completing
the deal.

"Absolutely nobody, be he prince or pauper, prime minister or
opposition leader, labourer or general manager, man in the street
or man in the management, will prevent us from going forward to
acquire what belongs to the people on behalf of the people.

"Nobody will prevent the OWTU from going forward in this matter.
And therefore, we look forward to the co-operating hands, the
continued co-operating hands of those with whom we are discussing,
the Government, to ensure that this process is completed and that
jobs will be provided," Roget said.

He said their effort is all about the people.

"And though many people might talk about the people, our
conversation is a different one because our conversation reports to
you about the tens of millions of dollars of investment that we
would have made to reach this far.

"And so when that day, the tenth comes around and you the people
would be asked to make a decision, you need to have the information
to make that decision. And the OWTU is committed to providing you
with that information. Not on the basis of the politicking that
occurs on both sides, indeed on all of the sides, but on the basis
of the facts, the truth, and so that the voters will be able to
make the correct decision. What you do with that information is up
to you, but we will bring that information to you.

He said closing the sale is not an academic exercise or something
of an announcement. "It is related to us starting to mobilise, to
put boots on the ground, to put workers to work so that we can
begin the process of bringing foreign exchange.

"Before the restart, involved in the turnaround process will be the
injection of foreign exchange, much-needed foreign exchange into
our country's economy. So any which way you look at it, any which
way you turn it, this is going to benefit the people of Trinidad
and Tobago."

He said what is required now is a cooperating hand recognising the
urgency, the need for jobs, and the pain and suffering of the
people in the country.

"What is needed is a co-operating hand with the OWTU to close this
process and ensure that the country benefits."

Roget added that with the advent of Covid-19 exacerbating an
already difficult situation, the only hope, the only silver lining
in that dark cloud of economic doom is Patriotic Energies and
Technology.

                        About Petrotrin

State-owned Petroleum Co. of Trinidad & Tobago (Petrotrin) closed
its oil refinery in November 2018. Prior to closure, Petrotrin
underwent a corporate reorganization that started in the last
quarter of 2018.  The T&T government insisted that the
reorganization was necessary to improve the company's efficiency.

As a result of the reorganization, Petrorin's refining business
was shut down and new entities were created: three operating
subsidiaries (Heritage Petroleum Company Limited, Paria Fuel
Trading Company and Guaracara Refining Company Limited), and the
new holding company, TPH, to which the international bonds were
transferred from Petrotrin.



=================
V E N E Z U E L A
=================

CITGO PETROLEUM: Caught Between Venezuela's Competing Governments
-----------------------------------------------------------------
Charles Waine at Petroleum-Economist reports that hostilities
between Venezuela's rival governments are intensifying after
President Nicolas Maduro accused conspirators of orchestrating a
"fascist plot" to assassinate senior members of the United
Socialist Party, including Maduro, his wife and National
Constituent Assembly President Diosdado Cabello.

Communications minister Jorge Rodriguez, speaking on national
television, said the plotters aimed to take military bases in
Caracas, free former defence minister Raul Baduel from prison and
install him as the country's president, according to
Petroleum-Economist.  Rodriguez identified former Brigadier General
Eduardo Jose Baez Torrealba, who is based in the Dominican
Republic, as the plan's primary architect, the report notes.

Maduro also accused the US, Colombia and Chile of helping to
support the latest coup attempt, with the alleged involvement of
National Assembly leader Juan Guaido, the report relates.
Authorities claimed to have gathered 56 hours of footage of the
accused during a 14-month operation, including recordings appearing
to show them discussing an association with Guaido, the report
discloses.

In April, recently freed opposition leader Leopoldo Lopez, together
with Guaido, attempted to convince the military to abandon Maduro,
the report relays.  The coup failed, despite the support of a few
high-profile individuals, including former director of the
Bolivarian National Intelligence Service Manuel Cristopher Figuera,
who has since fled to the US, the report points out.  Former
national police chief Ivan Simonovis, who had been imprisoned or
under house arrest for 15 years, was also freed and joined Figuera
in the US. Both have testified against the regime, the report
relates.

Authorities have been attempting to wrest further support away from
Guaido. Venezuelan human rights lobby Foro Penal reported 775
political prisoners had been arrested following the failed coup in
April, and since then a further six military and police members
have also been sent to prison.  In May, Guaido accused Maduro of
kidnapping Edgar Zambrano, vice president of the National Assembly,
and Roberto Marreno, his senior aide, the report discloses.  Just
before the announcement of the second attempted coup, Guaido
reported the attempted kidnapping of several of his aides on the
Francisco Fajardo Highway, the report relays.

                         Vital Asset

The report relates that Maduro is now targeting the opposition's
control of US refiner Citgo, Venezuela's most important foreign
asset.  A lawsuit was filed by the Venezuelan authorities in
Delaware against the National Assembly elected board, seeking
recognition of his own five-person board, the report points out.

Citgo's financial situation is precarious.  50.1pc of Citgo's
shares were used as collateral for state-owned oil company Pdvsa's
2020 bonds and the remaining stake for a $1.5 billion loan issued
by Rosneft, the report notes.  Maduro continued to make payments on
the bonds until sanctions prevented him access, the report
relates.

In May, the Guaido-appointed Pdvsa board paid the $71 million
interest payment, but in October a further $913 million interest
payment is due, the report notes.  Today, there remains high risk
that bond holders will seize company shares if Citgo defaults.
"Venezuela's dire economic situation will make it considerably
harder to make bond payments later this year," says Amir Richani,
geopolitical analyst at Clipperdata, a tanker data and analysis
provider. "Failing to pay the Pdvsa 2020 bond could complicate
things for the opposition and risk Citgo," he added.

Other companies could try to take their own cut from Citgo,
capitalising on the collapse of the country's oil sector and the
inability of the company to service its debt, the report relates.
Last August, Canadian mining firm Crystallex won a $1.2 billion
arbitration case against Pdvsa when the company failed to honor its
contract, the report relays.  Numerous others could potentially
also come forward, the report notes.

"Everybody is going to try to attach Citgo," says David Voght at
IPD Latin America, a consultancy. "The bigger issue is that there
is possibly not enough to go around."

Guiado had called on the US to prevent the sale of Citgo, stressing
its importance to the eventual recovery of the oil sector and the
impact on US energy security should Rosneft attempt to seize it,
the report relates.  Citgo owns three US refineries at Corpus
Christi, Lake Charles and Lemont, with a combined crude capacity of
765mn bl/d, the report discloses.

Consultancy Baker & O'Brien highlighted in a report that post-IMO
2020 Citgo's profits could be even higher-as the company's delayed
cokers are able to produce products with only a small amount of
residual high-sulphur fuel oil and will likely benefit from a wider
heavy-light crude differentia , the report relays.

Citgo has since responded to the filled lawsuit, calling it "a
frivolous effort to use the courts to litigate the foreign policy
judgements of the President of the United States, and we are
confident that the relief it requests will be denied,"the report
adds.

                        About CITGO Petroleum

Citgo Petroleum Corporation is a United States-based refiner,
transporter and marketer of transportation fuels, lubricants,
petrochemicals and other industrial products.  Based in Houston,
Texas, Citgo is majority-owned by PDVSA, a state-owned company of
the Venezuelan government (although due to U.S. sanctions, in 2019,
they no longer economically benefit from Citgo.)

As reported in the Troubled Company Reporter-Latin America on
Troubled Company Reporter-Latin America on June 5, 2020, S&P Global
Ratings assigned its 'B+' rating and '1' recovery rating
to Citgo Petroleum Corp.'s $750 million senior secured notes due in
2025. The '1' recovery rating indicates S&P's expectation for very
high (90%-100%; rounded estimate: 95%) recovery in the event of a
default.

PETROLEOS DE VENEZUELA: Sent 33 Oil Tankers to Ally Cuba
--------------------------------------------------------
The Latin American Herald reports that the regime of Nicolas Maduro
has sent 33 tankers loaded with crude oil to its long-time ally
Cuba over the past six months, using all the resources available
from Venezuela's state-owned oil company Petroleos de Venezuela
(PDVSA), Carlos Vecchio said in a press conference.

The Ambassador to the US appointed by Venezuela's interim
government of Juan Guaido in 2019 claimed that the oil shipments
are estimated at 13,147,000 barrels with a value in the
international market of $348 million, according to OPEC indicators
and metrics, according to The Latin American Herald.

"These 13 million barrels sent to Cuba consist of oil and finished
products such as jet fuel, but it is worth noting that most of the
shipments are made up of top-quality light crude oil," Vecchio was
quoted as saying, the report notes.

Vecchio made clear that the shipments represent 12.21% of
Venezuela's crude oil total exports during the first half of this
year, taking into account that total exports over that period was
estimated at 107 million barrels, the report relates.

According to reports obtained by the Venezuela Embassy to the US,
oil exports to Cuba in May and June increased by 27.2% and 43%,
respectively, two months during which "Venezuelans were hit hardest
by the COVID-19 pandemic," he said, the report relays.

Vecchio also pointed out that the total amount in dollars of crude
oil exports to Cuba during the first half of this year equals 74%
of the money raised by the UN in humanitarian aid, the report
discloses.

It is unclear for Vecchio whether the 33 vessels are already under
sanctions of the U.S. Department of the Treasury related to the
shipment of crude oil and other byproducts from or to Venezuela,
arguing that this kind of money could have been destined to
different social projects such as $100 a month to a million health
professionals over a quarterly period, as well as medical equipment
and protection for them during the pandemic, the report points
out.

"This money could have also been invested in Venezuela's power
grid, in the recovery of refineries or in the acquisition of 15
tankers full of gasoline such as those bought from Iraq," he
added.



                            About PDVSA

Founded in 1976, Petroleos de Venezuela, S.A. (PDVSA) is the
Venezuelan state-owned oil and natural gas company, which engages
in exploration, production, refining and exporting oil as well as
exploration and production of natural gas.  It employs around
70,000 people and reported $48 billion in revenues in 2016.

As reported in Troubled Company Reporter-Latin America on June 3,
2019, Moody's Investors Service withdrew all the ratings of
Petroleos de Venezuela, S.A. including the senior unsecured and
senior secured ratings due to insufficient information. At the
time of withdrawal, the ratings were C and the outlook was stable.

Citgo Petroleum Corporation (CITGO) is Venezuela's main foreign
asset.  CITGO is majority-owned by PDVSA.  CITGO is a United
States-based refiner, transporter and marketer of transportation
fuels, lubricants, petrochemicals and other industrial products.

However, CITGO formally cut ties with PDVSA at about February 2019
after U.S. sanctions were imposed on PDVSA.  The sanctions are
designed to curb oil revenues to the administration of President
Nicolas Maduro and support for the Juan Guaido-headed party.


                           *********


S U B S C R I P T I O N   I N F O R M A T I O N

Troubled Company Reporter-Latin America is a daily newsletter
co-published by Bankruptcy Creditors' Service, Inc., Fairless
Hills, Pennsylvania, USA, and Beard Group, Inc., Washington, D.C.,
USA, Marites O. Claro, Joy A. Agravante, Rousel Elaine T.
Fernandez, Julie Anne L. Toledo, Ivy B. Magdadaro, and Peter A.
Chapman, Editors.

Copyright 2020.  All rights reserved.  ISSN 1529-2746.

This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding, electronic
re-mailing and photocopying) is strictly prohibited without prior
written permission of the publishers.

Information contained herein is obtained from sources believed to
be reliable, but is not guaranteed.

The TCR Latin America subscription rate is US$775 per half-year,
delivered via e-mail.  Additional e-mail subscriptions for members
of the same firm for the term of the initial subscription or
balance thereof are US$25 each.  For subscription information,
contact Peter A. Chapman at 215-945-7000.
.


                  * * * End of Transmission * * *