Venezuela is hailing the ruling by the International Chamber of Commerce as a victory. Exxon Mobil had sought roughly $12 billion in compensation from state oil company PDVSA, after President Hugo Chávez’s government nationalized an Exxon oil project in the country’s Orinoco Belt.
PDVSA says it will pay only $255 million of the total award. It says Exxon Mobil has already seized $300 million from the state oil company’s US accounts and that Exxon owes PDVSA about $350 million.
In a written statement, Exxon said the Venezuelan company’s frozen US assets and PDVSA’s cancellation of Exxon’s project debts both could be used to help pay the award.
Exxon has filed a separate claim on the same dispute with the World Bank. That case is set to be argued in February. There are more than a dozen pending claims against Venezuela stemming from other state takeovers, including one by Houston-based ConocoPhillips.