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India Co. Refutes Reports of Payments for Venezuela Oil

India Co. Refutes Reports of Payments for Venezuela OilIndia Co. Refutes Reports of Payments for Venezuela Oil

Claims of Reliance Industries Ltd.'s purchases of crude oil from Venezuela’s state-owned oil company, PDVSA, for cash payment to third parties are false, according to the company.
“Reliance has purchased Venezuelan crude oil from companies such as Rosneft long before the imposition of US sanctions, as they do get title to Venezuelan oil in return for reduction in their prior debt,” the statement said referring to the Russian oil company, Bloomberg reported.
Since sanctions were imposed, Reliance has made such purchases with the full knowledge and approval of the US Department of State and Reliance has informed USDOS of specific volumes and transactions.
While releasing quarterly results, Reliance’s joint chief financial officer, V. Srikanth, said it was sourcing Venezuelan crude from Russian and Chinese companies. 
“Payment made to them for supplies are adjusted against dues owed by Venezuela to these companies,” he added.
Reportedly, President Nicolas Maduro is funneling cash flow from Venezuelan oil sales through Russian state energy giant Rosneft, as he seeks to evade US sanctions designed to remove him from power.
The sales are the latest sign of the growing dependence of Venezuela's cash-strapped government on Russia, as the United States tightens a financial noose around Maduro.
Oil accounts for more than 90% of exports from the OPEC nation and the lion's share of government revenues.
Since January, when Washington imposed tough restrictions on PDVSA, Maduro's administration has been in talks with allies in Moscow about ways to circumvent a ban on clients paying PDVSA in dollars, the sources said. 
Russia has publicly said the US sanctions are illegal and it would work with Venezuela to weather them.

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