Published On: Tue, Nov 7th, 2017

GZE accuses government of breach of the non-disclosure agreement

GZE_ParliamentWILLEMSTAD - In a letter dated November 3 this year, to Prime Minister Eugene Rhuggenaath, Bingyan Chen of Guangdong Zhenrong Energy (GZE), accuses the Curaçao government of violating the non-disclosure agreement between to the parties. According to the GZE representative, the Multi-Disciplinary Project Team (MDPT) which negotiates the future of the oil refinery, has leaked confidential information to the media.

In his letter, Chen indicates that he has taken note of the actions of the MDPT, for example, leaking confidential information about the due diligence to the press. The GZE also took note of the statement in the media about the government looking for another partner to replace the Chinese Company. “This action to leak out incomplete information about the due diligence of GZE to the media while the GZE and MDPT consultations are still ongoing is a breach of the signed Heads of Agreement and the non-disclosure agreement. It creates unnecessary confusion and panic among the public,” said Chen.

“When it comes to investing billions in which no bank guarantee is requested from the country (Curaçao), the consistent support of government and the continuity of policy is absolutely essential for investors and banks,” said Chen in his letter. “The MDPT's action brings serious damage the investor’s trust and we can hardly understand what its purpose is.”

The GZE also holds the Venezuelan state oil company PDVSA co-responsible for the fact that China Center for International Economic Exchanges (CCIEE) cannot yet approve the Chinese company's capital investment. “Due to PDVSA’s lack of cooperation and certain essential documents, it will take time for CCIEE to approve the capital investment.”

In the letter to the Prime Minister, Chen asks Rhuggenaath to intervene and ensure that the MDPT is acting in a different way. The highlight in the letter is the call to work together and ensure that issues around the due diligence are resolved this month. The letter ends with the hope that Rhuggenaath will visit China. According to Chen, that visit could help the premier gain more confidence.

Photo: Mr. Chen (r) in Parliament last month

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