HOUSTON, Aug. 6, 2009---The Board of Directors of Petróleos de Venezuela, S.A. (PDVSA), the parent company of CITGO Petroleum Corporation, today approved an agreement in principle reached with CITGO to undertake the payment of a one billion dollar loan, originally awarded by CITGO to PDVSA in December 2007.

Payments will begin this month with the goal of strengthening CITGO’s financial position as a refiner and marketer of petroleum products in the United States, the Gulf of Mexico and the Caribbean.  This year, refining companies with high-conversion facilities dedicated to extract value from heavy crude oil, such as those owned by CITGO, have been affected by declining demand for petroleum products as well as the contraction in price differentials between light and heavy crude.

As a result, PDVSA is ratifying its support to CITGO in order to strengthen even more CITGO’s competitive position by consolidating its market presence as a leading supplier of products and services and keeping its historic record of performance and reliability with suppliers, customers and the international financial community.

            CITGO, based in Houston, is a refiner, transporter and marketer of transportation fuels, lubricants, petrochemicals and other industrial products.  The company is owned by PDV America, Inc., an indirect wholly owned subsidiary of Petróleos de Venezuela, S.A., the national oil company of the Bolivarian Republic of Venezuela.

For more information visit www.citgo.com

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