News tidbits on the road (ALE.v, PRE.to, Venezuela, gold, SCCO)

Several items, each worth a lot more ink and time that I don’t have:

Alange Energy (ALE.v) said board members Luis Giusti and Horacio Santos, previously mentioned in these pages, have quit the board. They are being replaced by Serafino Iacono and Miguel de la Campa, who as co-chairmen of Pacific Rubiales (PRE.to) have also been mentioned recently. Go figure.

Venezuela gets another nationwide blackout, after Colombia restarts natural-gas shipments. PDVSA-Chevron joint venture Petropiar is “affected” by “perturbations.” So much for my “victory lap.” Blackouts don’t normally affect Petropiar, as it’s at the Jose refining complex that has a direct connection to the Guri dam.

Gold rose, reminding some of us of this.

Meanwhile, unpleasant news out of Peru: When I was there, the bus passed through this pastoral scene.

The town was a bit odd in that every storefront had three police officers camped out in the doorway. Literally camped out, in tents:

The locals have been protesting the new Tia Maria mine that is supposed to be built by Southern Copper (SCCO). Two days earlier, the cops had cleared an attempted roadblock by launching tear gas and rubber bullets from both ground and a helicopter. Then today, the demonstrations were back on, with the anti-mine folks burning offices of ruling party APRA and the cops killing two and injuring 44 demonstrators. Now have a think: With a presidential election coming Sunday, who benefits from polarization?

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One thought on “News tidbits on the road (ALE.v, PRE.to, Venezuela, gold, SCCO)

  1. westslope

    Good for Alange Energy. Pacific Rubiales is prepared to lay its own credibility on the line. That’s a strong signal of confidence and support.

    The cooperation, mutual support, and risk-sharing among the Colombian juniors and independent oil exploration companies are not unique but perhaps a little new to some North Americans, socially admirable others, and clearly attractive to investors who understand. Pacific Rubiales is often at the forefront of this inter-firm cooperation. This will ultimately help Colombians become richer.

    Commodity prices are set outside the sector. The companies compete for capital and qualified labour. Cartel power is impossible to attain yet the cross-directorships and joint-ventured blocks contribute to managing risk just like a social insurance safety net.

    Cooperation is a beautiful thing. This all flies in the face of popular conceptions of Adam Smith-type economic competition but then maybe a few pundits should role their models forward by a couple of centuries.

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