Termination agreement signed by Aruba and Citgo

Dit item is gearchiveerd op 04-06-2020.

ORANJESTAD - Prime Minister Evelyn Wever-Croes announced that the termination agreement with Citgo has been signed by Land Aruba and by Refineria di Aruba (RdA) and that Citgo is leaving permanently.

Citgo has to pay the outstanding tax debts of 30 million florins within 5 months and since May 1, the refinery, storage tanks, and the port have been returned to Aruba.

Prime Minister Wever-Croes indicated that the negotiations lasted just over a year. It all started when it became clear that Citgo would no longer meet the agreements in the contract. A contract of which the former lawyers, as well as the new lawyers of RdA, have indicated that the Country of Aruba could not unilaterally withdraw from the contract. This was because the sanctions by the US on Venezuela by the country (read the former government) were appointed as force majeure in the contract. So that means the only way to get out of the contract was to negotiate with Citgo.

The time has now come and negotiations are over. On April 30, the Prime Minister and her colleagues the Minister of Finance and the Minister of Infrastructure signed the agreement.

FUTURE

The future looks bright. There is a lot of interest in oil storage tanks and RdA can now quickly rent out the tanks, generating income of between 4 and 5 million florins per month.

The future of the refinery will be determined by a public tendering. This process will be started soon and will be very transparent.

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