Venezuela devaluation to cost Halliburton $30M

Published on NewsOK Modified: February 11, 2013 at 2:01 pm •  Published: February 11, 2013
Advertisement
;

NEW YORK (AP) — Halliburton Co., the world's second-largest oilfield services, said it will take a $30 million charge related to Venezuela devaluing its currency.

In a filing with the Securities and Exchange Commission on Monday, Halliburton, which is a major provider of the pressure-pumping technique known as hydraulic fracturing, or "fracking," said it will take a foreign currency loss in the first quarter. The devaluation does not affect 2012 results.

Venezuela, a country heavily reliant on imports, announced Friday that it would devalue the bolivar. The country relies on dollar-denominated oil sales and the government hopes to ease the amount of money that it must borrow to continue functioning.

The government initiated stringent currency exchange controls in 2003. People and businesses must apply to a government currency agency to receive dollars at the official rate, but a black market on currency is flourishing. The bolivar on that market began falling some time ago.

Continue reading this story on the...