Exxon Mobil's role in Venezuela

[R_P_A_S]

I was just reading an article on the BBC website about Exxon Mobil considering maintaining their business in Venezuela after Hugo Chavez Nationalizes the oil reserve there. Here is my questions about this.

When you are a foreign company, and then all the sudden you are nationalized. you are supposed to get paid off by that country correct? Like what they feel your company is worth. right?

So in the case of Exxon Mobil they can no longer use Venezuela's oil reserve to export it to other countries for profit right? It comes under state control and its use as the state sees fit to use the profits right?

Does this mean that Exxon Mobil has to pack up and leave? now that the refinery is owned by the state?

In this case Exxon Mobil wants to continue doing business in Venezuela, instead of leaving. what does this mean? that they are willing to support Chavez? and work within his new rules?

Does this mean that Exxon Mobile is a company willing to help Chavez's social reforms? :blink:

http://news.bbc.co.uk/2/hi/business/6453793.stm

[Whitten]

What the articles is saying is that Ezzon are negotiating with Venezuela to keep a minority share in the nationalized Oil company. This would mean that Exxon put money into the Venezuela Oil industry, which is run by the people, however it would also mean that a small percentage of the "profits" which are made would go to Exxon. Fortunatly the government would have a majority stake and so total decision making control, so in theory they could set the profit margin to arround zero, then Exxon wont get much worth out of it.