Prime Minister Andrew Holness has tabled a bill in parliament to pave the way for the compulsory acquisition of Venezuela’s 49 % stake in Petrojam.

Hours before the move, the Foreign Affairs Minister said the government was still in talks with Venezuela, but government has to be responsible and remain open to negotiating.

She noted that the government has written to PDV Caribe to express that the move being taken by the government is not a hostile one.

In the meantime, the minister said the government is aware that there might be challenges to its acquisition of Venezuela’s shares and has considered the ramifications of this, in developing the bill tabled today.

Responding to questions at an emergency press briefing held this morning, Mrs. Johnson Smith noted that while this is the first such acquisition to be undertaken by Jamaica, the government has taken due process.

Meanwhile, Johnson Smith says Petrojam’s banks and suppliers have again raised serious concerns about the impact of the new executive order, by the United States, which imposes sanctions against Venezuela and its various state-owned entities.

She states that they have requested indemnities of the company as a basis of continued services.

Mrs. Johnson Smith was giving an update on the efforts by Jamaica to repurchase the 49% shareholding in Petrojam held by PDV Caribe and the rationale behind the government’s move to compulsorily acquire the shares which were sold in 2007.

The Foreign Affairs Minister noted that PDV Caribe had accepted the government’s last settlement price offered, however, both parties were not able to reach an agreement on terms.

She said she could not disclose the terms of the agreement as the negotiations are still ongoing.

At the same time, she stated that the government was forced to act to protect Jamaica’s energy security and economic stability, especially as it relates to new sanctions issued by the Canadian government against Venezuela.

Mrs. Johnson Smith said Jamaica must protect itself from the risks posed by the current ownership structure of Petrojam.

She further noted that the Jamaican government remains open to negotiations.