Venezuela Steals Private Oil Rigs

As Ronald Reagan once said, Socialism's great...until you run out of other people's money.

via Bloomberg:

Venezuela Union Says It Took Over 4 Helmerich Rigs (Update2)
By Steven Bodzin

Feb. 4 (Bloomberg) -- Venezuelan union Fedepetrol took control of four Helmerich & Payne Inc. rigs that the company was about to move out of oil fields, a union leader said.

“We’re not allowing the exit of the equipment from the zone” of oil fields in eastern Venezuela’s Monagas state, Jose Sanchez, secretary general of Fedepetrol in Punta de Mata, Venezuela, said today in a phone interview. “We are increasing our guard over the other seven rigs” operated by the company, he said.

Tulsa-based Helmerich & Payne is trying to remove the rigs after being unable to agree on new contracts with state oil company Petroleos de Venezuela SA, Sanchez said. The oil and gas driller said in a Jan. 29 earnings statement that it was owed about $100 million and planned to start pulling rigs from fields as contracts expired.

Oil-field service and drilling companies working in Venezuela say payments from the state oil company, known as PDVSA, are falling behind further than normal after oil fell from a record $147.27 in July. Oil for March delivery declined 46 cents, or 1.1 percent, to $40.32 today on the New York Mercantile Exchange.

Job Cuts

Workers want Helmerich & Payne to accept lower fees and continue their operations in the oil fields, Sanchez said. About 200 to 250 jobs at the rig and thousands more jobs in service industries will be cut for each rig removed, he said. He said Helmerich & Payne was invited to a meeting today to discuss the matter and didn’t attend.

Sooo... isn't NOT paying someone for their services called...a little something else? 

The money always runs out with Socialism.  It always has, it always will.  I guess you really can't educate fools.

You can't lay down with dogs and be surprised by the fleas. The above is still theft, even if it's for the "good" of the "State".

Have fun, folks...