Argentine steelmaker Ternium SA has requested the Venezuelan authorities to resume the negotiations on the compensation payable to Ternium in connection with the Siderúrgica del Orinoco (Sidor) nationalization announced last April.
This request follows the rejection by Venezuelan President Hugo Chavez of the latest proposal submitted by Ternium to the Venezuelan authorities, saying he saw no possibility for an agreement.
Ternium had owned 60 percent of Sidor until it was nationalized and continues to reserve all of its rights under contracts, Venezuelan and international law, including in particular bilateral investment treaties protecting the investment of Ternium and its affiliates.
Ternium believes that it is entitled to receive for its interest in Sidor adequate compensation that is not subject to any adjustments or claims.