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Crystallex International Corporation is a Canadian-based gold company with a successful record of developing and operating gold mines in Venezuela and elsewhere in South America

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Message: Court doubts considering situation in Venezuela in PDVSA case

RA,

Rosneft and the private investors will not make any contributions to pay Crystallex. They have a perfected first lien on CITGO's shares and will be paid back one way or the other. So, they need not do anything to protect their investment, since the value of the CITGO shares far exceeds their invested amount.

To be in the same position as Rosneft and the 2020 Investors, Crytsallex needs to manage to hold a perfected first lien on a portion of the CITGO shares worth $1.7 billion (principal + interest) with the aid of the DE court. It may not get to sell the shares now because of political interference (i.e. Trump and OFAC), but it will secure its collection down the road.

Crystallex could even form an alliance with the 2020 bondholders to mount a legal challenge to execute their leins once the Maduro regime is out and the political intereference must be dropped as legally unwarranted. 

 

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