It is "premature" to say whether Houston-based ConocoPhillips (NYSE: COP) will get fair compensation for its interests in Venezuela, Jim Mulva, chairman and chief executive, said at the company's annual meeting in Houston last month. The company's assets in the country were recently nationalized by President Hugo Chavez, and its operatorship was taken over by the country's national oil company, PDVSA. "We have not received any firm proposals yet; June 26 is the date that has been set for all terms to be agreed to by all the companies involved," Mulva said. "Our operatorship has been taken over on all of our ventures there, and quite a number of our employees have been replaced by PDVSA employees." Mulva cited arbitration as a last resort in resolving the Venezuela matter. "Our emphasis is toward finding an amicable solution by which ConocoPhillips can continue with these projects. Arbitration would be a failure on our part to come to an amicable solution." For more on this, see the June issue of Oil and Gas Investor. For a subscription, call 713-260-6441.

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