Mr Chavez complained that companies like Venoco buy petroleum from the state oil company, Petroleos de Venezuela SA, and then make big profits by refining it into commercial products.
\”They have plants, they have money … and lubricants produce and sell for four to five times more than they cost\” as raw materials, he said. \”You are going to see how we will achieve this at lower costs, prices,\” he added.
We\’ll see how that works out shall we?
This idea that processors don\’t add value, they just whack up the costs, well, this \”we\’ll make it all cheaper by having the State do it\” has been tried before but not with any notable successes really.