ABSTRACT
This chapter aims to assess Petroleos de Venezuela (PDVSA) preference for purchasing refinery assets as a means to enlarge market share, in the light of the experience of other oil producing companies. It explains PDVSA’s ability to minimise the adverse effects of the three variables earlier identified -that is, political context, market situation and government financial demands- and turn them into favourable factors enabling it to continue the implementation of its policy choice in 1989. During the third phase of policy implementation that began in late 1989, PDVSA set out to purchase the remaining 50% of Citgo’s assets. Despite the patent disagreement of the executive over the expansion of Citgo, PDVSA succeeded in carrying out as planned its consolidation in the US market. PDVSA’s objective to consolidate its position as oil Multinational went in opposite directions to the needs of the government, grappling with its international creditors.
