ONGC Videsh steps up efforts to recover dividends from Russia and Venezuela

NEW DELHI: ONGC Videsh Limited (OVL), the overseas arm of ONGC, on Friday said it has stepped up efforts to recover divideds stuck in Russia and Venezuela due to the US sanctions.

OVL announced that its proposal to the US for a waiver to operate in Venezuela is in advanced stage and likely to be approved.

Speaking to the media, Rajashri Gupta, MD of OVL, stated the company has sought a ‘specific licence’ to operate in Venezuela, similar to the one granted to Chevron. Though the Office of Foreign Assets Control (OFAC) of the US has imposed sanctions on Venezuela, Chevron is permitted to operate in the country.

ONGC is seeking to recover $500 million in dividends pending since 2014 for its stake in Venezuelan projects. Alternatively, the company is willing to import oil instead of receiving the payment. OVL owns a 49% stake in Venezuela’s operational San Cristobal project and an 11% stake in under-development Carabobo project, both operated by Petróleos de Venezuela, S.A. (PdVSA).