TCRLA_Public/080911.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                      L A T I N   A M E R I C A

            Thursday, September 11, 2008, Vol. 9, No. 181

                            Headlines

A R G E N T I N A

ALITALIA SPA: Unions Reject Proposed Benefit Cuts
ALITALIA SPA: Gov't. Picks Banca Leonardo to Value Assets for Sale
ALITALIA SPA: Commissioner to Manage Cargo & Service Operations
GLOBUS SUR: Proofs of Claim Verification Deadline Is October 1
ICARFO SA: Trustee Verifying Proofs of Claim Until November 13

LAVALLE 1506: Proofs of Claim Verification Deadline Is November 4
RUHECOS SRL: Proofs of Claim Verification Deadline Is November 5


B E R M U D A

INTELSAT LTD: Bags ART-IND Contract for Programming Transmissions
INTELSAT LTD: Inks Multi-Year Deal With Arqiva Limited


B R A Z I L

BANCO NACIONAL: To Launch Regional Infrastructure Projects
BANCO NACIONAL: Declares Bids for Operation of Railroad Corrido
MAGNESITA SA: To Purchase LWB Refractories for EUR277 Million


C A Y M A N  I S L A N D S

ANTHRACITE FEEDER: Proof of Claim Filing Deadline Is Sept. 18
ASC PARTNERS: To Hold Final Shareholders Meeting on Sept. 17
CIL EAGLE: Holding Final Shareholders Meeting on Sept. 17
EAGLE LAKE SPECIAL: Proof of Claim Filing Is Until Sept. 18
EAGLE LAKE SPECIAL (HUB): Claims Filing Deadline Is Sept. 18

EOC CORP II: Deadline for Proof of Claim Filing Is Sept. 17
FLORA INVESTMENTS: Proof of Claim Filing Is Until Sept. 18
GLG GLOBAL: Deadline for Proof of Claim Filing Is Sept. 18
MINIMAX HOLDINGS: Holds Final Shareholders Meeting on Sept. 17
SCHOLARLY PUBLICATIONS: Claims Filing Deadline Is Sept. 18

STABLE ALPHA: Deadline for Proof of Claim Filing Is Sept. 18
WELL INVESTMENTS: Proof of Claim Filing Deadline Is Sept. 18


J A M A I C A

DIGICEL LTD: Teams With Western Union to Expand Diaspora Program


M E X I C O

AXTEL SAB: S&P Affirms Corporate Credit Rating at BB-/Stable


V E N E Z U E L A

GENERAL MOTORS: Mulls Withdrawing Operations in Venezuela
PETROLEOS DE VENEZUELA: To Manufacture Orimatita With CVG
PETROLEOS DE VENEZUELA: Appoints New Members of Board of Directors
PETROLEOS DE VENEZUELA: Eyes Consolidation of Chevron & Hocol JVs


                         - - - - -


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A R G E N T I N A
=================

ALITALIA SPA: Unions Reject Proposed Benefit Cuts
-------------------------------------------------
Alitalia S.p.A.'s unions have rejected the employment contract
proposed by Compagnia Aerea Italiana s.r.l., Agenzia Giornalistica
Italia reports, citing union sources.

Under CAI's proposal:

    * pilots' vacation will be reduced from 42 to 30 days a year,
      with extra day off for every five years of service in the
      company;

    * attendants' fixed salary will be reduced by 43% while their
      variable salary will be reduced by 28%-31%;

    * flight hours per flight personnel will be reduced between
      750 and 900 hours;

    * ground personnel benefits for work during holidays, Sundays
      and nights, will be reduced; and

    * work-hour per week will pass from 37.5 to 40.

"It is the worst, unfeasible, and not viable, this is not material
to arrive to an agreement," FILT-CGIL union secretary general
Franco Nasso told AGI, referring to the reaction of all unions
that attended the meeting with the Italian government, Alitalia
and CAI.

Mr. Nasso said the proposal needs to be "deeply modified."

Unions of flight attendants said they would present a
counterproposal for the employment contract.

As reported in the TCR-Europe, CAI proposed to shed off around
3,250 employees at Alitalia as part of the rescue plan that aims
to return the national carrier into profitability within two-to-
three years.  The rescue plan for Alitalia had entailed 5,000-
6,000 job cuts.

Italian Labor Minister Maurizio Sacconi said that following the
merger between Alitalia and AirOne S.p.A., around 14,250 would
continue to work for the newco.  Around 11,500 will be placed at
the newco while 2,750 will be outsourced.

Of the outsourced jobs, 1,600 will be in ordinary maintenance, 450
in cargo, and 700 in administration, call center, and information
technology, Mr. Sacconi was quoted by AGI as saying.

As reported in the Troubled Company Reporter-Europe on Sept. 3,
CAI, a consortium of local investors planning to acquire Alitalia,
has submitted a EUR400 million conditional offer to acquire some
assets of the national carrier.

The consortium includes:

    * AirOne S.p.A. of Carlo Toto;
    * IMMSI S.p.A. of Roberto Colaninno;
    * Atlantia S.p.A. of the Benetton family;
    * Intesa Sanpaolo S.p.A.;
    * Fondiaria SAI S.p.A.; and
    * 11-12 other investors.

The offer, valid for a few weeks, is subject to several conditions
including:

    * approval from Italian anti-trust agency and from the
      European Commission; and

    * acceptance by the trade union of 5,000-7,000 job cuts.

Augusto Fantozzi, Alitalia S.p.A.'s extraordinary commissioner,
confirmed receiving the offer.

                          About Alitalia

Based in Rome, Alitalia S.p.A. -- http://www.alitalia.it/--
provides air travel services for passengers and air transport of
cargo on national, international and inter-continental routes,
including United States, Canada, Japan and Argentina.  The
Italian government owns 49.9% of Alitalia.

Despite a EUR1.4 billion state-backed restructuring in 1997,
Alitalia posted net losses of EUR256 million and EUR907 million
in 2000 and 2001 respectively.  Alitalia posted EUR93 million in
net profits in 2002 after a EUR1.4 billion capital injection.
The carrier booked annual net losses of EUR520 million in 2003,
EUR813 million in 2004, EUR168 million in 2005, EUR625.6 million
in 2006, and EUR494.64 million in 2007.

Alitalia S.p.A. declared insolvency on Aug. 29, 2008, and filed
for commencement of extraordinary administration procedure at the
Tribunal of Rome.  Italian Prime Minister Silvio Berlusconi has
appointed Augusto Fantozzi as extraordinary commissioner.


ALITALIA SPA: Gov't. Picks Banca Leonardo to Value Assets for Sale
------------------------------------------------------------------
The Italian government has appointed Gruppo Banca Leonardo S.p.A.
to appraise Alitalia S.p.A. assets that Compagnia Aerea Italiana
S.r.l. is interested in buying, Bloomberg News reports.

As reported in the Troubled Company Reporter-Europe on Sept. 3,
CAI submitted a EUR400 million conditional offer to acquire some
of Alitalia's assets.

The CAI is a consortium that includes:

    * AirOne S.p.A.;
    * IMMSI S.p.A.;
    * Atlantia S.p.A.;
    * Intesa Sanpaolo S.p.A.;
    * Fondiaria SAI S.p.A.; and
    * at least 11 other investors.

The offer, valid for a few weeks, is subject to several conditions
including:

    * approval from Italian anti-trust agency and from the
      European Commission; and

    * acceptance by the trade union of 5,000-7,000 job cuts.

Augusto Fantozzi, Alitalia S.p.A.'s extraordinary commissioner,
confirmed receiving the offer.

                          About Alitalia

Based in Rome, Alitalia S.p.A. -- http://www.alitalia.it/--
provides air travel services for passengers and air transport of
cargo on national, international and inter-continental routes,
including United States, Canada, Japan and Argentina.  The
Italian government owns 49.9% of Alitalia.

Despite a EUR1.4 billion state-backed restructuring in 1997,
Alitalia posted net losses of EUR256 million and EUR907 million
in 2000 and 2001 respectively.  Alitalia posted EUR93 million in
net profits in 2002 after a EUR1.4 billion capital injection.
The carrier booked annual net losses of EUR520 million in 2003,
EUR813 million in 2004, EUR168 million in 2005, EUR625.6 million
in 2006, and EUR494.64 million in 2007.

Alitalia S.p.A. declared insolvency on Aug. 29, 2008, and filed
for commencement of extraordinary administration procedure at the
Tribunal of Rome.  Italian Prime Minister Silvio Berlusconi has
appointed Augusto Fantozzi as extraordinary commissioner.


ALITALIA SPA: Commissioner to Manage Cargo & Service Operations
---------------------------------------------------------------
Alitalia S.p.A's service, cargo and other operations will be
placed in the hands of extraordinary commissioner Augusto
Fantozzi, Agenzia Giornalistica Italia reports citing Italian
Welfare Minister Maurizio Sacconi.

According to the report, Mr. Sacconi said that Compagnia Aerea
Italiana s.r.l., which submitted a EUR400 million conditional
offer to acquire some of Alitalia's assets, plans to outsource the
services provided by the units.  However, the report notes, CAI
will continue the units' operations "until the best outsourcing
solution is approved."

Agenzia Giornalistica Italia relates that according to Mr.
Sacconi, the Italian government supports the outsourcing of
Alitalia's non-core services.

As reported in the Troubled Company Reporter-Europe on Sept. 9,
2008, CAI CEO Rocco Sabelli said reorganized Alitalia will focus
on providing passenger transport services and will stop its cargo
and heavy maintenance operations.  Alitalia will continue focusing
on its core operations while offloading unrelated units.

As reported in the TCR-Europe on Sept. 3, CAI is a consortium of
local investors planning to acquire Alitalia.  The consortium
includes:

    * AirOne S.p.A.;
    * IMMSI S.p.A.;
    * Atlantia S.p.A.;
    * Intesa Sanpaolo S.p.A.;
    * Fondiaria SAI S.p.A.; and
    * at least 11 other investors.

CAI's offer, valid for a few weeks, is subject to several
conditions including:

    * approval from Italian anti-trust agency and from the
      European Commission; and

    * acceptance by the trade union of 5,000-7,000 job cuts.

Augusto Fantozzi, Alitalia S.p.A.'s extraordinary commissioner,
confirmed receiving the offer.

                          About Alitalia

Based in Rome, Alitalia S.p.A. -- http://www.alitalia.it/--
provides air travel services for passengers and air transport of
cargo on national, international and inter-continental routes,
including United States, Canada, Japan and Argentina.  The
Italian government owns 49.9% of Alitalia.

Despite a EUR1.4 billion state-backed restructuring in 1997,
Alitalia posted net losses of EUR256 million and EUR907 million
in 2000 and 2001 respectively.  Alitalia posted EUR93 million in
net profits in 2002 after a EUR1.4 billion capital injection.
The carrier booked annual net losses of EUR520 million in 2003,
EUR813 million in 2004, EUR168 million in 2005, EUR625.6 million
in 2006, and EUR494.64 million in 2007.

Alitalia S.p.A. declared insolvency on Aug. 29, 2008, and filed
for commencement of extraordinary administration procedure at the
Tribunal of Rome.  Italian Prime Minister Silvio Berlusconi has
appointed Augusto Fantozzi as extraordinary commissioner.


GLOBUS SUR: Proofs of Claim Verification Deadline Is October 1
--------------------------------------------------------------
The court-appointed trustee for Globus Sur S.A.'s bankruptcy
proceeding, will be verifying creditors' proofs of claim until
October 1, 2008.

The trustee will present the validated claims in court as  
individual reports on November 12, 2008.  A court in Argentina
will determine if the verified claims are admissible, taking into
account the trustee's opinion, and the objections and challenges
that will be raised by Globus Sur and its creditors.

Inadmissible claims may be subject to appeal in a separate
proceeding known as an appeal for reversal.

A general report that contains an audit of Globus Sur's
accounting and banking records will be submitted in court on
December 29, 2008.

The trustee is also in charge of administering Globus Sur's assets
under court supervision and will take part in their disposal to
the extent established by law.


ICARFO SA: Trustee Verifying Proofs of Claim Until November 13
--------------------------------------------------------------
Luis Moisin, the court-appointed trustee for Icarfo SA's
reorganization proceeding will be verifying creditors' proofs of
claim until November 13, 2008.

Mr. Moisin will present the validated claims in court as  
individual reports.  The National Commercial Court of First
Instance No. 1 in Buenos Aires, with the assistance of Clerk
No. 1, will determine if the verified claims are admissible,
taking into account the trustee's opinion, and the objections and
challenges that will be raised by Icarfo SA and its creditors.

Inadmissible claims may be subject to appeal in a separate  
proceeding known as an appeal for reversal.

A general report that contains an audit of Icarfo SA's
accounting and banking records will be submitted in court.

La Nacion didn't state the submission dates for the reports.

Creditors will vote to ratify the completed settlement plan  
during the assembly on September 2, 2009.

The debtor can be reached at:

                     Icarfo SA
                     Avenida San Juan 1388
                     Buenos Aires, Argentina

The trustee can be reached at:

                     Luis Moisin
                     Avenida Corrientes 4560
                     Buenos Aires, Argentina


LAVALLE 1506: Proofs of Claim Verification Deadline Is November 4
-----------------------------------------------------------------
Manuel Mansanta, the court-appointed trustee for Lavalle 1506 SA's
bankruptcy proceeding, will be verifying creditors' proofs of
claim until November 4, 2008.

Mr. Mansanta will present the validated claims in court as  
individual reports.  The National Commercial Court of First
Instance No. 23 in Buenos Aires, with the assistance of Clerk
No. 45, will determine if the verified claims are admissible,
taking into account the trustee's opinion, and the objections and
challenges that will be raised by Lavalle 1506 and its creditors.

Inadmissible claims may be subject to appeal in a separate
proceeding known as an appeal for reversal.

A general report that contains an audit of Lavalle 1506's
accounting and banking records will be submitted in court.

La Nacion didn't state the submission dates for the reports.

Mr. Mansanta is also in charge of administering Lavalle 1506's
assets under court supervision and will take part in their
disposal to the extent established by law.

The debtor can be reached at:

                     Lavalle 1506 SA
                     Leguizamon 1065
                     Buenos Aires, Argentina

The trustee can be reached at:

                     Manuel Mansanta
                     Avenida Cordoba 1351
                     Buenos Aires, Argentina


RUHECOS SRL: Proofs of Claim Verification Deadline Is November 5
----------------------------------------------------------------
Abraham Gutt, the court-appointed trustee for Ruhecos SRL's
bankruptcy proceeding, will be verifying creditors' proofs of
claim until November 5, 2008.

Mr. Gutt will present the validated claims in court as individual
reports.  The National Commercial Court of First Instance No. 4 in
Buenos Aires, with the assistance of Clerk No. 7, will determine
if the verified claims are admissible, taking into account the
trustee's opinion, and the objections and challenges that will be
raised by Ruhecos SRL and its creditors.

Inadmissible claims may be subject to appeal in a separate
proceeding known as an appeal for reversal.

A general report that contains an audit of Ruhecos SRL's
accounting and banking records will be submitted in court.

La Nacion didn't state the submission dates for the reports.

Mr. Gutt is also in charge of administering Ruhecos SRL's assets
under court supervision and will take part in their disposal to
the extent established by law.

The debtor can be reached at:

                     Ruhecos SRL
                     Avenida Corrientes 6495
                     Buenos Aires, Argentina

The trustee can be reached at:

                     Abraham Gutt
                     Tucuman 1484
                     Buenos Aires, Argentina



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INTELSAT LTD: Bags ART-IND Contract for Programming Transmissions
-----------------------------------------------------------------
Intelsat Ltd. said that International Network Distribution (IND),
and a subsidiary of the ART Group (Arab Radio and Television
Network), have signed a multi-year contract extension for capacity
on Intelsat’s IS-8 satellite, located at 166 degrees East.  IND is
one of 33 DTH platforms that Intelsat supports around the globe.

The contract is set to increase service delivery to the growing
demands of Australian consumers while providing IND the ability to
increase its services by launching new high-quality channel
offerings through a multiplexer that will be managed by Intelsat
at its teleport in Napa, California.  The agreement is seen to be
a positive sign for this regional market that has grown
significantly in the past five years.

“Working with Intelsat has been instrumental in providing high
quality channels to meet growing viewer demands throughout the
Americas and Australasia.  We believe this contract will give us
the capacity for major market growth,” said Karim Abdallah, CEO of
IND.  “IND’s global presence, along with its alliances with major
broadcasters from the Middle East and Europe such as Al Jazeera
news channel and RAI Italia, Italy’s state broadcaster, has
positioned IND as the premier distributor of foreign language
channels globally.  We will continue to serve Arabic speaking
Australians by linking them to their homeland with premium quality
programming through our wholly owned and operated Australian MySat
DBS platform.”

“Ethnic programming continues to be a significant driver for
industry growth, creating demand for global satellite capacity.  
In today’s global society, being able to watch regional
programming remains paramount, especially for the ethnically
diverse audience of Australia,” said Mike DeMarco, Intelsat’s Vice
President, Video Services.  “IND’s complex requirements also are
typical of today’s global programmers.  Our transmission and mux
services solutions offer IND the freedom to add channels from
different sources and origination points, establishing a more
diversified offering, all through one satellite operator.  In
addition to this contract, Intelsat has provided satellite
capacity to IND for its long-term business growth in other regions
by distributing its content to Latin America via the Intelsat 9
satellite and to the rest of Asia via the Intelsat 2 satellite.”

Intelsat’s IS-8 satellite is one of the premier DTH platforms for
international programmers to Australia and home to some of the
best-known broadcasting and cable television networks serving the
region.  In addition, the spacecraft is the delivery platform for
PanGlobal TV, which provides programmers immediate access to the
established and growing Australian DTH neighborhood.  PanGlobal TV
is a joint marketing alliance between Intelsat and GlobeCast
Australia.  IND complements a total lineup on IS-8 of more than 75
channels, which originate from more than 20 countries in Asia,
Europe, Latin America and the Middle East.

Intelsat will be exhibiting in Hall 1, Stand C71 at IBC 2008, the
international tradeshow for professionals involved in the
creation, management and delivery of content for the broadcasting
industry, which is being held at the RAI Centre in Amsterdam on
12-16 September.

                             About IND

IND, ART’s global distribution arm, is the leading aggregator and
marketer of niche television services to various ethnic
communities in four continents.  Among the languages distributed
by IND are Arabic, Italian and Greek.  Through its offices
worldwide and alliances with major content providers and
distribution platforms, IND continues to provide the best
Middle Eastern and European programming and links communities to
their homeland.

                            About Intelsat

Headquartered in Pembroke, Bermuda, Intelsat, Ltd. --
http://www.intelsat.com/-- is the largest fixed satellite
service operator in the world and is owned by Apollo Management,
Apax Partners, Madison Dearborn, and Permira.  The company has a
sales office in Brazil.

Intelsat Ltd.'s June 30 balance sheet showed total assets of
US$12.05 billion, total debts of US$12.77 billion and
stockholders' deficit of US$722.3 million.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
July 3, 2008, Moody's Investors Service assigned ratings to
approximately US$1.2 billion of new debt instruments issued by
Intelsat Corporation, an indirect wholly-owned subsidiary of
Intelsat, Ltd.  At the same time, Moody's also affirmed
Intelsat's Caa1 corporate family rating, Caa1 probability of
default rate and SGL-3 speculative grade liquidity rating while
maintaining the stable ratings outlook.  The rating action was
prompted by refinance activity resulting from required change of
control offers applicable to debt instruments that were
outstanding prior to Intelsat's recent acquisition by private
equity investors.

As reported in the Troubled Company Reporter-Latin America on
June 27, 2008, Standard & Poor's Ratings Services assigned
ratings on an aggregate US$7.1 billion in proposed new debt
instruments issued by various subsidiaries of Bermuda-based
Intelsat Ltd.  Proceeds from the new debt will be used to
replace existing credit agreements and bridge facilities.  The
credit agreements were put in place to finance the change of
control provisions under three separate debt issues that were
triggered by the Feb. 4, 2008, acquisition of the company by an
investor group led by BC Partners.  At the same time, S&P
affirmed the 'B' corporate credit rating on Intelsat, as these
proposed debt issuances were already incorporated into S&P's
rating.  S&P said the outlook is stable.


INTELSAT LTD: Inks Multi-Year Deal With Arqiva Limited
------------------------------------------------------
Intelsat Ltd. has signed a multi-year contract with Arqiva Limited
for Intelsat capacity at 1 degree West.  Arqiva will use the
capacity to distribute both DTH and cable programming throughout
Europe as well as support new MPEG-4 HD channel distribution.

The 1 degree West neighborhood, one of the fastest growing
platforms for video distribution in the region, serves nearly
5 million DTH households and more than 10 million cable homes
throughout Central and Eastern Europe and the Nordic region.  The
1 degree West neighborhood is served by Intelsat’s IS-10-02
satellite, along with Telenor Satellite Broadcasting’s THOR
satellites.  Intelsat expects to expand its capacity serving the
region through ownership of 10 transponders on THOR 6, which is
scheduled for launch in 2009.

“We recognize the value of the 1 degree West neighborhood, which
provides access to the leading platforms within Romania, Hungary,
the Czech Republic, Slovakia, Serbia and Croatia, as well as the
Nordic region,” said David Owen, Head of Product Management for
Arqiva Satellite Media Solutions.  “The 1 degree West neighborhood
and Intelsat’s satellite coverage provides us with an ideal
location to serve our broadcaster customers, meeting their needs
for European HD channel distribution.”

“The value Intelsat offers its customers at 1 degree West is our
ability to provide ready access to DTH and cable systems
throughout Scandinavia, Eastern Europe and even to additional
cable subscribers in Western Europe,” said Mike DeMarco,
Intelsat’s Vice President, Video Services.  “The 1 degree West
neighborhood brings significant advantages to new and established
broadcasters wishing to launch single or multiple channels
throughout this rapidly-growing market.”

Intelsat will be exhibiting in Hall 1, Stand C71 at IBC 2008, the
international tradeshow for professionals involved in the
creation, management and delivery of content for the broadcasting
industry, which is being held at the RAI Centre in Amsterdam on
September 12-16.

                            About Intelsat

Headquartered in Pembroke, Bermuda, Intelsat, Ltd. --
http://www.intelsat.com/-- is the largest fixed satellite
service operator in the world and is owned by Apollo Management,
Apax Partners, Madison Dearborn, and Permira.  The company has a
sales office in Brazil.

Intelsat Ltd.'s June 30 balance sheet showed total assets of
US$12.05 billion, total debts of US$12.77 billion and
stockholders' deficit of US$722.3 million.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
July 3, 2008, Moody's Investors Service assigned ratings to
approximately US$1.2 billion of new debt instruments issued by
Intelsat Corporation, an indirect wholly-owned subsidiary of
Intelsat, Ltd.  At the same time, Moody's also affirmed
Intelsat's Caa1 corporate family rating, Caa1 probability of
default rate and SGL-3 speculative grade liquidity rating while
maintaining the stable ratings outlook.  The rating action was
prompted by refinance activity resulting from required change of
control offers applicable to debt instruments that were
outstanding prior to Intelsat's recent acquisition by private
equity investors.

As reported in the Troubled Company Reporter-Latin America on
June 27, 2008, Standard & Poor's Ratings Services assigned
ratings on an aggregate US$7.1 billion in proposed new debt
instruments issued by various subsidiaries of Bermuda-based
Intelsat Ltd.  Proceeds from the new debt will be used to
replace existing credit agreements and bridge facilities.  The
credit agreements were put in place to finance the change of
control provisions under three separate debt issues that were
triggered by the Feb. 4, 2008, acquisition of the company by an
investor group led by BC Partners.  At the same time, S&P
affirmed the 'B' corporate credit rating on Intelsat, as these
proposed debt issuances were already incorporated into S&P's
rating.  S&P said the outlook is stable.



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BANCO NACIONAL: To Launch Regional Infrastructure Projects
----------------------------------------------------------
The Brazilian and Argentinean Presidents, Luis Inacio Lula da
Silva and Cristina Kirchner, sealed a cooperation agreement
between Banco Nacional de Desenvolvimento Economico e Social SA,
the Development Bank, Banco de Integracion y Comercio Exterior
(BICE) and Banco de la Nacion Argentina (BNA) on Sept. 8, at
Palacio do Planalto.

The goal is to start regional infrastructure projects:

   * focusing on the expansion of Brazilian and Argentinean
     exports;

   * modernization of production capacities of both countries and

   * strengthening of production chains.

Within this context, the three financial institutions will take
joint actions to disseminate their financing facilities intended
to investments and exports of goods and services for integration
projects.  The agreement is intended to organize internships for
the technical staff of the institutions, hold seminars and
interchange information on new products and business opportunities
in both countries.

It is worth noting that the three entities have been supporting
exports of goods and services from their countries to South
America and, in particular, between Brazil and Argentina.  The
agreement will coordinate and allow this financial support to be
enhanced.

Since 1997, BNDES has supported Brazilian exports to South
America, and has carried out, so far, US$3.2 billion operations.
To Argentina alone, BNDES loans to exports of Brazilian goods and
services amount to US$1.3 billion.  Among these operations, in
2005, financing to emergency expansion of gas pipelines (TGS and
TGN) and the expansion plan for the gas pipelines Albanesi and
CAMMESA, currently in progress.

BNDES current portfolio of financing to Brazilian exports to
Argentina (among prospective operations, under inquiry, under
analysis, approved and contracted) reaches roughly US$6 billion,
leveraging approximate investments of US$12 billion.  The key
sectors to which exports are directed are: energy (gas pipelines
and power plants), water and sanitation and urban transport.

                      About Banco Nacional

Banco Nacional de Desenvolvimento Economico e Social SA is
Brazil's national development bank.  It provides financing for
projects within Brazil and plays a major role in the
privatization programs undertaken by the federal government.

                        *     *     *

Banco Nacional continues to carry a Ba2 foreign long-term bank
deposit rating from Moody's Investors Service, and a BB+ long-
term foreign issuer credit rating from Standards and Poor's
Ratings Services.  The ratings were assigned in August and May
2007.


BANCO NACIONAL: Declares Bids for Operation of Railroad Corrido
---------------------------------------------------------------
Banco Nacional de Desenvolvimento Economico e Social SA issued on
Sept. 10, a call for bids for feasibility studies on the
implementation of Railroad Corridor between Atlantic and Pacific
oceans in South America.  The deadline to submit the inquiry
letter ends Sept. 24.

The institution selected in this phase will be called to present a
detailed design of technical studies, analyzed BNDES Project
Structuring Area.  If the report is approved by the Bank’s board,
the bidder will have 10 months to develop studies and present
results, which will be available on the Internet.

The technical studies must map and analyze the routing
alternatives; assess the integration of railroad with other
transport facilities (roads, waterways, ports); full demand
survey; preliminary economic and financial assessment of routes,
forecasts of revenue, investment budgets and operating costs; and
institutional and regulatory assessment of the countries that may
join the corridor.  The route must connect the south and southeast
Brazilian ports to Chilean ports.

Properly qualified legal entities under private and public law
with headquarter in Brazil may submit inquiry-letters for non-
reimbursable financing to BNDES.  Such qualification must be
according to the description.

As a development bank, BNDES assigns, through the Project
Structuring Fund (FEP) non-reimbursable funding on research and
technical studies guiding public policies or identifying potential
projects.

In this specific case, the South American economic integration
expansion depends on the physical integration so as different
countries and regions may exchange goods.  The connection of
international trade routes through the Atlantic and Pacific oceans
is the main challenge for the streamlining of such commercial
interchange.

For this project to see the light, the cargo railroad transport
must overcome the problems found in different countries, such as
unequal conditions, the need to implement railroad sections and
system integration.  This way, for the effective implementation of
railroad logistic corridors in the region, railroad section must
be refurbished, expanded, operated and/or built.  Also, a legal
and institutional milestone among countries and railroad
concessionaires must be setup.

This way, the identification, analysis and diagnosis of railroad
transport route alternatives between South American countries are
capital for the planning and development of Railroad Corridor.

                      About Banco Nacional

Banco Nacional de Desenvolvimento Economico e Social SA is
Brazil's national development bank.  It provides financing for
projects within Brazil and plays a major role in the
privatization programs undertaken by the federal government.

                        *     *     *

Banco Nacional continues to carry a Ba2 foreign long-term bank
deposit rating from Moody's Investors Service, and a BB+ long-
term foreign issuer credit rating from Standards and Poor's
Ratings Services.  The ratings were assigned in August and May
2007.


MAGNESITA SA: To Purchase LWB Refractories for EUR277 Million
-------------------------------------------------------------
Magnesita SA will pay EUR277 million in cash and stock to acquire
LWB Refractories from Rhone Capital, the Associated Press reports.  
LWB Refractories is a German company with more than 100 years
experience in the manufacture and development of refractory
products.  It has a number of production facilities in many parts
of the world, including a plant in China.

According to the report, Magnesita will assume EUR380 million in
debt.  AP relates that Magnesita said its acquisition of LWB
Refractories will make them the world's third largest producer of
refractory materials used in steel industries.  The deal is
subject to regulatory approval.

Headquartered in Montes Claros, Brazil, Magnesita Refratarios
S.A. is Brazil's largest manufacturer of refractories used for
industrial high-temperature processes such as iron and steel,
cement, glass and others.  The company reported net sales of
BRL1.2 billion and EBITDA of BRL236 million (around US$663
million and  US$131 million, respectively) in the 12 months
ended March 30, 2008.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
May 21, 2008, Standard & Poor's Ratings Services assigned its 'BB'
long-term corporate credit rating to Brazil-based refractory
producer Magnesita Refratarios S.A.  At the same time, S&P
assigned its 'brAA-' Brazil national scale rating to the company.  
The outlook is stable.



==========================
C A Y M A N  I S L A N D S
==========================

ANTHRACITE FEEDER: Proof of Claim Filing Deadline Is Sept. 18
-------------------------------------------------------------
Anthracite Feeder Company (JR-5) Ltd.'s creditors have until
Sept. 18, 2008, to prove their claims to Scott Aitken and Connan
Hill, the company's liquidators, or be excluded from receiving any
distribution or payment.

In their proofs of claim, creditors must indicate their full
names, addresses, the full particulars of their debts or claims,
and the names and addresses of their lawyers, if any.

Anthracite Feeder's shareholder decided on July 22, 2008, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidators can be reached at:

               Scott Aitken and Connan Hill
               P.O. Box 1109GT
               Grand Cayman, Cayman Islands


ASC PARTNERS: To Hold Final Shareholders Meeting on Sept. 17
------------------------------------------------------------
ASC Partners LDC will hold its final shareholders meeting on
Sept. 17, 2008, at 10:00 a.m., at the offices of Walkers,
Walker House, 87 Mary Street, George Town, Grand Cayman, Cayman
Islands.

These matters will be taken up during the meeting:

   1) accounting of the wind-up process, and
   
   2) authorizing the liquidators of the company to retain the
      records of the company for a period of five years from the
      dissolution of the company, after which they may be  
      destroyed.

ASC Partners' shareholders decided on Aug. 4, 2008, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.

The liquidator can be reached at:

                Jonathan Calley
                c/o Tax Manager Apex Silver Mines Corporation
                1700 Lincoln Street, Suite 3050
                Denver, Colorado
                USA

Contact for inquiries:

                David Marshall
                c/o Walker House
                87 Mary Street, George Town
                Grand Cayman, Cayman Islands
                Tel: (345) 814-4582
                Fax: (345) 814-8245


CIL EAGLE: Holding Final Shareholders Meeting on Sept. 17
---------------------------------------------------------
CIL Eagle Lake Ltd. will hold its final shareholders meeting on
Sept. 17, 2008, at 10:00 a.m., at the registered office of the
company.

The accounting of the wind-up process will be taken up during the
meeting.

CIL Eagle's shareholder decided on June 31, 2008, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.

The liquidator can be reached at:

              Condor Nominees Limited
              c/o Barclays Private Bank & Trust (Cayman)Ltd.
              4th Floor, FirstCaribbean House
              P.O. Box 487
              George Town, Grand Cayman
              Cayman Islands


EAGLE LAKE SPECIAL: Proof of Claim Filing Is Until Sept. 18
-----------------------------------------------------------
Eagle Lake Special Situations Fund Ltd.'s creditors have until
Sept. 18, 2008, to prove their claims to Eagle Lake Capital LLC,
the company's liquidator, or be excluded from receiving any
distribution or payment.

In their proofs of claim, creditors must indicate their full
names, addresses, the full particulars of their debts or claims,
and the names and addresses of their lawyers, if any.

Eagle Lake Special's shareholder decided on Aug. 5, 2008, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

               Eagle Lake Capital LLC
               c/o Maples and Calder
               P.O. Box 309
               Ugland House
               Grand Cayman, Cayman Islands


EAGLE LAKE SPECIAL (HUB): Claims Filing Deadline Is Sept. 18
------------------------------------------------------------
Eagle Lake Special Situations Fund (Hub) Ltd.'s creditors have
until Sept. 18, 2008, to prove their claims to Eagle Lake Capital
LLC, the company's liquidator, or be excluded from receiving any
distribution or payment.

In their proofs of claim, creditors must indicate their full
names, addresses, the full particulars of their debts or claims,
and the names and addresses of their lawyers, if any.

Eagle Lake Special's shareholder decided on Aug. 5, 2008, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

               Eagle Lake Capital LLC
               c/o Maples and Calder
               P.O. Box 309
               Ugland House
               Grand Cayman, Cayman Islands


EOC CORP II: Deadline for Proof of Claim Filing Is Sept. 17
-----------------------------------------------------------
EOC Corp. II's creditors have until Sept. 17, 2008, to prove their
claims to Robert E. Bigelow III, the company's liquidator, or be
excluded from receiving any distribution or payment.

In their proofs of claim, creditors must indicate their full
names, addresses, the full particulars of their debts or claims,
and the names and addresses of their lawyers, if any.

EOC Corp's shareholders agreed on April 9, 2008, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.

The liquidator can be reached at:

               Robert E. Bigelow III
               c/o Blue River Asset Management LLC
               7 North Willow Street, Suite 8A
               Montclair, New Jersey
               USA


FLORA INVESTMENTS: Proof of Claim Filing Is Until Sept. 18
----------------------------------------------------------
Flora Investments (Cayman) Ltd.'s creditors have until Sept. 18,
2008, to prove their claims to Anita Rampersad, the company's
liquidator, or be excluded from receiving any distribution or
payment.

In their proofs of claim, creditors must indicate their full
names, addresses, the full particulars of their debts or claims,
and the names and addresses of their lawyers, if any.

Flora Investments' shareholders agreed on July 31, 2008, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

               Anita Rampersad
               c/o Scotiabank & Trust (Cayman) Ltd.
               P.O. Box 501
               Grand Cayman, Cayman Islands


GLG GLOBAL: Deadline for Proof of Claim Filing Is Sept. 18
----------------------------------------------------------
GLG Global Futures Fund's creditors have until Sept. 18, 2008, to
prove their claims to Stuart K. Sybersma and Ian A.N. Wight, the
company's liquidators, or be excluded from receiving any
distribution or payment.

In their proofs of claim, creditors must indicate their full
names, addresses, the full particulars of their debts or claims,
and the names and addresses of their lawyers, if any.

GLG Global's shareholders agreed on July 30, 2008, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.

The liquidators can be reached at:

           Stuart K. Sybersma and Ian A.N. Wight
           Attn: Mervin Solas
           c/o Deloitte, Cayman Islands
           P.O. Box 1787GT
           Grand Cayman, Cayman Islands
           Tel: (345) 949-7500
           Fax: (345) 949-8258
           

MINIMAX HOLDINGS: Holds Final Shareholders Meeting on Sept. 17
--------------------------------------------------------------
Minimax Holdings Ltd. will hold its final shareholders meeting on
Sept. 17, 2008, at 10:00 a.m., at the registered office of the
company.

These matters will be taken up during the meeting:

   1) accounting of the wind-up process, and
   
   2) authorizing the liquidators of the company to retain the
      records of the company for a period of six years from the
      dissolution of the company, after which they may be  
      destroyed.

Minimax Holdings' shareholders agreed on July 17, 2008, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

                Westport Services Ltd.
                P.O. Box 1111
                Grand Cayman, Cayman Islands

Contact for inquiries:

                Bonnie Willkom
                Tel: (345)949-5122
                Fax: (345)949-7920


SCHOLARLY PUBLICATIONS: Claims Filing Deadline Is Sept. 18
----------------------------------------------------------
Scholarly Publications International Inc.'s creditors have until
Sept. 18, 2008, to prove their claims to Mr. Baldwin Rigby and Ms.
La Vorn Taylor, the company's liquidators, or be excluded from
receiving any distribution or payment.

In their proofs of claim, creditors must indicate their full
names, addresses, the full particulars of their debts or claims,
and the names and addresses of their lawyers, if any.

Scholarly Publications' shareholders agreed on July 30, 2008, to
place the company into voluntary liquidation under The Companies
Law (2004 Revision) of the Cayman Islands.

The liquidators can be reached at:

           Mr. Baldwin Rigby and Ms. La Vorn Taylor
           c/o The Bank of Nova Scotia Trust Co. (Bahamas) Ltd.
           404 East Bay Street, Scotia House
           Nassau, Bahamas
           Tel: (242) 502-5724
           Fax: (242) 326-0991


STABLE ALPHA: Deadline for Proof of Claim Filing Is Sept. 18
------------------------------------------------------------
Stable Alpha II Unit Trust's creditors have until Sept. 18, 2008,
to prove their claims to Deloitte & Touche, as advisor on certain
aspects of the termination process, or be excluded from receiving
any distribution or payment.

In their proofs of claim, creditors must indicate their full
names, addresses, the full particulars of their debts or claims,
and the names and addresses of their lawyers, if any.

Stable Alpha's trustee decided on July 11, 2008, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.

The advisor to the trustee can be reached at:

                Deloitte & Touche
                Attn: Jessica Turnbull
                P.O. Box 1787GT
                Grand Cayman, Cayman Islands
                Tel: (345) 949-7500
                Fax: (345) 949-8258


WELL INVESTMENTS: Proof of Claim Filing Deadline Is Sept. 18
------------------------------------------------------------
Well Investments Ltd.'s creditors have until Sept. 18, 2008, to
prove their claims to Peter D. Anderson and S. Alan Milgate, the
company's liquidators, or be excluded from receiving any
distribution or payment.

In their proofs of claim, creditors must indicate their full
names, addresses, the full particulars of their debts or claims,
and the names and addresses of their lawyers, if any.

Well Investments' shareholder decided on July 31, 2008, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidators can be reached at:

                Peter D. Anderson and S. Alan Milgate
                c/o Rawlinson & Hunter
                P. O. Box 897
                Third Floor, One Capital Place
                George Town, Grand Cayman
                Cayman Islands
                Tel: (345) 949-7576
                Fax: (345) 949-8295



=============
J A M A I C A
=============

DIGICEL LTD: Teams With Western Union to Expand Diaspora Program
----------------------------------------------------------------
Digicel Ltd. has teamed with The Western Union Company further
expanding its Diaspora program in the United States.

The Western Union(R) network of more than 45,000 Agent locations
in the United States will offer great convenience to the estimated
five million members of the Caribbean and Central American
Diaspora communities residing in the United States.  Consumers can
now purchase and pay for instant phone credit (airtime/minutes) at
participating Western Union Agent locations in the United States
and send them to friends and family
living in Jamaica, Haiti, El Salvador, Guyana.  In the future,
additional participating countries will include: Anguilla,
Antigua, Dominica, Grenada, St. Kitts, St. Lucia, St. Vincent,
Barbados, and Trinidad and Tobago.

Digicel Top Up, Digicel’s credit remittance service, enables
members of various Diaspora markets such as the United States,
United Kingdom, Canada, Cayman Islands, Bahamas, Turks & Caicos,
and the Dominican Republic to buy instant Digicel phone credit for
friends and family in Jamaica, Haiti, El Salvador, Guyana,
Anguilla, Antigua, Dominica, Grenada, St. Kitts, St. Lucia, St.
Vincent, Barbados, and Trinidad and Tobago.

Digicel’s relationship with Western Union is the first of this
caliber in airtime remittance.  With its vast global network of
Agent locations, the relationship will help increase Digicel’s
presence in the U.S. as well as its penetration in key markets.  
Western Union is a strong brand in the Caribbean, Central America,
US and major Diaspora communities.

“Digicel has connected millions of friends and family throughout
the world.  By expanding our Diaspora offerings, we will have even
greater impact on the communities we serve,” said Brian Finn,
Digicel’s Group Commercial Director.  “The Diaspora is the
lifeline of many Caribbean and Central American countries, first
transferring money, then food, and now phone time credit to
friends and family back home.”

“For more than 150 years Western Union has been helping families
stay connected,” said Raul Garcia, Western Union Payment Services.  
“Our relationship with Digicel is just one more example of how we
are using our unparalleled Agent network to provide consumers with
the services they want and need.”

                          About Digicel

Digicel Ltd. is a wireless services provider in the Caribbean
region founded in 2000, and controlled by Denis O'Brien.  The
company started operations in Jamaica in April 2001 and now
offers GSM mobile services in Caribbean countries including
Jamaica, St. Lucia, St. Vincent, Aruba, Grenada, Barbados,
Bermuda, Cayman, and Curacao.  Digicel finished FY2005 with
1.722 million total subscribers -- 97% pre-paid -- estimated
market share of 67% and revenues and EBITDA of US$478 million
and US$155 million, respectively.

                          *     *     *

In February 2007, Moody's Investors Service affirmed its Caa2
senior unsecured rating to Digicel Group Limited's
US$1.4 billion senior unsecured notes offering.



===========
M E X I C O
===========

AXTEL SAB: S&P Affirms Corporate Credit Rating at BB-/Stable
------------------------------------------------------------
Standard & Poor's Ratings Services has affirmed its 'BB-'
corporate credit rating on Axtel S.A.B. de C.V.  The outlook is
stable.
     
"The rating reflects Axtel's leading position as the second-
largest fixed-line integrated telecommunications company in
Mexico, its broad telecommunication product portfolio, its
flexible and advanced network with several access technologies,
and its experienced equity partners," said S&P's credit analyst
Marcela Duenas.  Tempering factors include strong competition from
Telefonos de Mexico S.A.B. de C.V. (Telmex; BB+/Stable/--), mobile
telephony and cable operators, the significant delays in WiMax
deployment curtailing revenue growth, and Axtel's potential
participation in the consolidation of the Mexican
telecommunication industry.
     
Axtel built one of the largest fixed-wireless networks in the
world, and it offers its customers a wide variety of access
technologies for its facilities-based voice, data, Internet,
integrated solutions, IP-based virtual private networks, hosting,
security, and other value-added communications
services.

Axtel's liquidity is adequate.  As of June 30, 2008, the company
demonstrated cash and equivalents of US$95.4 million, which
compares favorably with its short-term debt of US$38.3 million --
US$20 million reserved for the resolution in December of a dispute
with Spectrasite Mexico.  Axtel has a manageable maturity
schedule, its first major maturity is in 2010.
     
During the first half of 2008, Axtel posted negative free
operating cash flow as a result of revenue growth interruption and
high capital expenditures that are characteristic of the industry.  
Nevertheless, S&P expects cash flow to be slightly positive by
yearend.
     
"The stable outlook reflects that, notwithstanding the technical
difficulties faced in WiMax deployment during 2008, Axtel will
continue to post satisfactory financial indicators.  A positive
rating action is possible if Axtel successfully deploys its WiMax
technology, continues to grow its operations, and can consistently
generate free operating cash flow.  The outlook considers the
possibility of further acquisitions; however, a major debt-
financed transaction that leads to a total debt-to-EBITDA ratio of
more than 3.0 may lead to a negative rating action," Ms. Duenas
added.

Headquartered in Monterrey, Mexico, Axtel S.A.B. de C.V. was
formerly known as Axtel SA DE CV.  The company's principal
activity is providing local and long-distance domestic and
international telephony, data and Internet services, virtual
private networks and value added services.  Services include
different access technologies such as fixed wireless telephony,
point-to-point and point-to-multi point radio links, and copper
and fiber optic connections.  Basic services are divided into 5
categories such as voice, conference call, data, Internet and
bundles.  It offers basic telecommunications infrastructure
in Mexico through an intelligent network that provides extensive
coverage to all markets.  It currently operates in Mexico City,
Monterrey, Guadalajara, Puebla, Leon, Toluca, Queretaro, San
Luis Potosi, Aguascalientes, Saltillo, Ciudad Juarez, Tijuana,
La Laguna, Veracruz and Chihuahua.



=================
V E N E Z U E L A
=================

GENERAL MOTORS: Mulls Withdrawing Operations in Venezuela
---------------------------------------------------------
In a meeting with trade union leaders, General Motors Corp. has
broached the subject of withdrawing its operations in Venezuela,
El Universal reports.

The report says that General Motors is thinking over the
possibility of shutting down its plant in Venezuela, which has
been idle for two months, due to poor production.

The company has previously closed the car manufacturing plant
claiming short supply of parts for car assembly and that the
Foreign Exchange Management Committee (Cadivi) did not allot
enough money to continue operations, El Universal relates.

The report notes that General Motors' business comprises 50% of
the Venezuelan markets, and its consequent hint of withdrawal led
to protests made by trade union, Vencedores Socialistas (Socialist
Winners).  Since July 27, the trade union group has blocked access
to the facilities of the GM plant in the city of Valencia
prompting the company to completely shut down operations at its
assembly plant, El Universal relates.

Citing data from Venezuela's Automotive Chamber (Cavenez), El
Universal reports that the trade union dispute and lack of foreign
currency exchange affected GM's monthly performance.  The report
notes that vehicle sales at the Venezuelan plant dropped to 80% in
August 2008, compared to 14,090 units sold in August 2007.

As reported in the Troubled Company Reporter-Latin America on
Sept. 8, 2008, General Motors Corp. dealers in the United States
delivered 308,817 vehicles in August, making it GM's best monthly
total, retail and fleet sales performance so far in 2008.  
Compared with an exceptionally strong retail and fleet month last
year, August total sales were down 20%.

                        About General Motors

Headquartered in Detroit, Michigan, General Motors Corp. (NYSE:
GM) -- http://www.gm.com/-- was founded in 1908.  GM employs
about 266,000 people around the world and manufactures cars and
trucks in 35 countries.  In 2007, nearly 9.37 million GM cars and
trucks were sold globally under the following brands: Buick,
Cadillac, Chevrolet, GMC, GM Daewoo, Holden, HUMMER, Opel,
Pontiac, Saab, Saturn, Vauxhall and Wuling.  GM's OnStar
subsidiary is the industry leader in vehicle safety, security and
information services.

General Motors Latin America, Africa and Middle East, with
headquarters in Miramar, Florida, is one of GM's four regional
business units.  GM LAAM employs approximately 37,000 people in
18 countries and has manufacturing facilities in Argentina,
Brazil, Colombia, Ecuador, Egypt, Kenya, South Africa and
Venezuela.  GM LAAM markets vehicles under the Buick,
Cadillac, Chevrolet, GMC, Hummer, Isuzu, Opel, Saab and
Suzuki brands.

At March 31, 2008, GM's balance sheet showed total assets of
US$145,741,000,000 and total debts of US$186,784,000,000,
resulting in a stockholders' deficit of US$41,043,000,000.
Deficit, at Dec. 31, 2007, and March 31, 2007, was
US$37,094,000,000 and US$4,558,000,000, respectively.


PETROLEOS DE VENEZUELA: To Manufacture Orimatita With CVG
---------------------------------------------------------
Petroleos de Venezuela S.A. through its branch PDVSA Industrial,
signed a Memorandum of Understanding with the State owned
Ferrominera Orinoco, member of the Corporacion Venezolana de
Guayana (CVG), to create a company to manufacture orimatita, a
product made from natural hematite to increase the weight of
drilling fluids and facilitate the exploitation of hydrocarbons.

The agreement signed is part of the strategy of the New PDVSA to
reduce the import of products and raw materials necessary to
operate the oil industry, as well as to support local investment
and increase labor force, thus contributing to provide incentives
to small and medium companies.

Luis Pulido, President of PDVSA Industrial, underscored the
importance of this Memorandum of Understanding and said that the
company will be operational in less than six months, with a
production of more than 150 thousand tons of orimatita, which will
cover the annual needs of the oil company, and will save more than
200 million dollars in imports.

Radwan Sabbagh, President of Ferrominera Orinoco, highlighted the
creation of this new company with capital from the Venezuelan
State, stating that “this project will replace imports and will
provide added value to our iron ore, the most immediate project
that has been agreed with PDVSA Industrial out of several that are
being negotiated”.

Authorities of both state companies indicated that the investment
to create the plant is over 20 million dollars.  It will be
located in the Raul Leoni municipality of the State of Bolivar,
and will create more than 500 direct jobs and 2 thousand indirect
jobs.

                   About Petroleos de Venezuela

Petroleos de Venezuela S.A. -- http://www.pdvsa.com/-- is
Venezuela's state oil company in charge of the development of
the petroleum, petrochemical and coal industry, as well as
planning, coordinating, supervising and controlling the
operational activities of its divisions, both in Venezuela and
abroad.  The company has a commercial office in China.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
April 28, 2008, Standard & Poor's Ratings Services affirmed its
'BB-' long-term corporate credit rating on Petroleos de
Venezuela S.A.  S&P said the outlook is stable.

In March 2007, Fitch Ratings gave a BB- rating to PdVSA's
Senior Unsecured debt.

On Feb. 7, 2007, Moody's Investors Service affirmed the
company's B1 global local currency rating.


PETROLEOS DE VENEZUELA: Appoints New Members of Board of Directors
------------------------------------------------------------------
The new members of the Board of Directors of the New Petroleos de
Venezuela S.A. were sworn in, and Rafael Ramirez was ratified as
president of the company, pursuant to Presidential Decree N degree
6,394, published in Official Gazette of the Bolivarian Republic of
Venezuela N degree 39,009 of September 4, 2008.

The People’s Minister for Energy and Petroleum, Mr. Ramirez, in a
videoconference broadcasted to all operational areas and acting on
behalf of the President of the Republic Hugo Chávez, sworn in
Eulogio Del Pino as vice president of Exploration and Production,
and Asdrubal Chavez as vice president of Refining, Commerce and
Supply, core areas of the Company.

Similarly, Minister Ramirez named Hercilio Rivas, Eudomario
Carruyo, Carlos Vallejo, Ricardo Coronado, Luis Pulido and Fadi
Kabboul as Internal Directors, and Ivan Orellana and Brigadier
General Aref Richany Jimenez as External Directors.

Minister Ramirez indicated that naming this new set of directors
is part of a “necessary renewal of our management staff,” based on
the demands made by the Venezuelan people.

In this sense, he explained that the new appointees were given
responsibilities that transcend oil, but “that have equal
strategic importance to create the economic bases of Socialism.  
For the first time in many years we have a national company
controlled by the Venezuelan State.  We have undertaken
responsibilities that differ from our traditional tasks, so as to
help our society to have more balance and have the necessary tools
to achieve development and the greatest possible happiness.”

Minister Ramirez explained that this is the third Board of
Directors that assumes control of the company following the 2002
oil sabotage.  Since then, workers of the New PDVSA, together with
the Venezuelan people and the Armed Forces, have rescued the
Company so as to strengthen the Motherland and benefit the people.  
“The New PDVSA has changed forever,” he declared.

In this sense, he highlighted that “today we have raised our oil
production from 25,000 barrels per day in 2003 to up to 3.354
million crude barrels per day” currently.

“Today the New PDVSA is a reality.  The workers of the New PDVSA
are in the vanguard of our Revolution.  Throughout the country we
can see red cheers from our workers and employees who are
experiencing this beautiful process to build Socialism under the
leadership of President Chavez,” stated Minister Ramirez.

                   About Petroleos de Venezuela

Petroleos de Venezuela S.A. -- http://www.pdvsa.com/-- is
Venezuela's state oil company in charge of the development of
the petroleum, petrochemical and coal industry, as well as
planning, coordinating, supervising and controlling the
operational activities of its divisions, both in Venezuela and
abroad.  The company has a commercial office in China.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
April 28, 2008, Standard & Poor's Ratings Services affirmed its
'BB-' long-term corporate credit rating on Petroleos de
Venezuela S.A.  S&P said the outlook is stable.

In March 2007, Fitch Ratings gave a BB- rating to PdVSA's
Senior Unsecured debt.

On Feb. 7, 2007, Moody's Investors Service affirmed the
company's B1 global local currency rating.


PETROLEOS DE VENEZUELA: Eyes Consolidation of Chevron & Hocol JVs
-----------------------------------------------------------------
Nathan Crooks at Business News Americas reports that Petroleos de
Venezuela S.A.'s international CVP branch is looking to
consolidate several joint ventures held with foreign oil firms.

Citing a PDVSA press official, BNamericas relates that more
information of the process should be released in the coming weeks.

Several industry sources told BNamericas that multinational oil
firms Chevron and the Hocol subsidiary of French oil company
Maurel & Prom have received letters from CVP asking them to begin
negotiations.

Another PDVSA official disclosed that talks with the foreign
companies are ongoing, BNamericas says.

Chevron, according to BNamericas, has three joint ventures with
PDVSA.  BNamericas says its source relates that CVP is looking to
consolidate only the Petroindependiente JV on the LL-652 offshore
field on Lake Maracaibo.  PDVSA has a 74.8% stake in the JV and
Chevron holds the balance, BNAmericas notes.  The report adds that
Hocol has a 26.35% stake in the Lagopetrol JV that operates the
nearby B2X-70/80 field also on Lake Maracaibo while PDVSA has a
69% stake in the venture.  Citing documents posted on PDVSA's Web
site, the report states that other companies with similar-sized
offshore blocks nearby on Lake Maracaibo include French oil
company Perenco and China's CNPC.

                   About Petroleos de Venezuela

Petroleos de Venezuela S.A. -- http://www.pdvsa.com/-- is
Venezuela's state oil company in charge of the development of
the petroleum, petrochemical and coal industry, as well as
planning, coordinating, supervising and controlling the
operational activities of its divisions, both in Venezuela and
abroad.  The company has a commercial office in China.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
April 28, 2008, Standard & Poor's Ratings Services affirmed its
'BB-' long-term corporate credit rating on Petroleos de
Venezuela S.A.  S&P said the outlook is stable.

In March 2007, Fitch Ratings gave a BB- rating to PdVSA's
Senior Unsecured debt.

On Feb. 7, 2007, Moody's Investors Service affirmed the
company's B1 global local currency rating.



                            ***********

Monday's edition of the TCR-LA delivers a list of indicative
prices for bond issues that reportedly trade well below par.
Prices are obtained by TCR-LA editors from a variety of outside
sources during the prior week we think are reliable.   Those
sources may not, however, be complete or accurate.  The Monday
Bond Pricing table is compiled on the Friday prior to
publication.  Prices reported are not intended to reflect actual
trades.  Prices for actual trades are probably different.  Our
objective is to share information, not make markets in publicly
traded securities.  Nothing in the TCR-LA constitutes an offer
or solicitation to buy or sell any security of any kind.  It is
likely that some entity affiliated with a TCR-LA editor holds
some position in the issuers' public debt and equity securities
about which we report.

Tuesday's edition of the TCR-LA features a list of companies
with insolvent balance sheets obtained by our editors based on
the latest balance sheets publicly available a day prior to
publication.  At first glance, this list may look like the
definitive compilation of stocks that are ideal to sell short.
Don't be fooled.  Assets, for example, reported at historical
cost net of depreciation may understate the true value of a
firm's assets.  A company may establish reserves on its balance
sheet for liabilities that may never materialize.  The prices at
which equity securities trade in public market are determined by
more than a balance sheet solvency test.

A list of Meetings, Conferences and Seminars appears in each
Thursday's edition of the TCR-LA. Submissions about insolvency-
related conferences are encouraged.  Send announcements to
conferences@bankrupt.com

                            ***********


S U B S C R I P T I O N   I N F O R M A T I O N

Troubled Company Reporter - Latin America is a daily newsletter
co-published by Bankruptcy Creditors' Service, Inc., Fairless
Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick,
Maryland USA.  Marie Therese V. Profetana, Sheryl Joy P. Olano,
Rizande de los Santos, and Pamella Ritah K. Jala, Editors.

Copyright 2008.  All rights reserved.  ISSN 1529-2746.

This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding, electronic
re-mailing and photocopying) is strictly prohibited without prior
written permission of the publishers.

Information contained herein is obtained from sources believed to
be reliable, but is not guaranteed.

The TCR Latin America subscription rate is US$625 per half-year,
delivered via e-mail.  Additional e-mail subscriptions for members
of the same firm for the term of the initial subscription or
balance thereof are US$25 each.  For subscription information,
contact Christopher Beard at
240/629-3300.


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