CARACAS Nov 22 Venezuela's state oil company
PDVSA confirmed it is using a 30-day grace period for coupon
payments on its 2035 bond, but said a JP Morgan report of
payment delays on other bond issues was wrong.
JPMorgan analysts reported on Monday that PDVSA had delayed
$404 million in payments on its 2021, 2024 and 2035 bonds. PDVSA
responded that it had "punctually" paid its obligations due this
month for 2021, 2024 and 2026 papers, and was also "in the
process of executing" payments for the 2035 bond.
PDVSA president Eulogio Del Pino later Monday night told
state television that the grace period for the 2035 bond had
been activated, without providing an explanation.
"This is the final interest payment (of the year)," said Del
Pino of payments on bonds other than the 2035 issue. "We have a
grace period of 30 days which we are using," he said, of the
Investors have for years been concerned that cash-strapped
PDVSA may ultimately be unable to meet its hefty debt
obligations amid a profound recession at home and a fall in oil
prices. As a result, Venezuela bonds trade at distressed levels.
Socialist President Nicolas Maduro says the country will
meet all its debt commitments and calls default talk a
right-wing conspiracy against him.
He has also accused global banks of leading a "financial
blockade" that has left Venezuela with few financing options
amid the oil market downturn.
(Reporting by Eyanir Chinea; Writing by Girish Gupta; Editing
by Alexandra Ulmer and Chizu Nomiyama)