NewsWhore
06-15-2009, 03:10 PM
News reports indicate that the Fernandez government has agreed to sell a 49% share in the Dominican Petroleum Refinery to Venezuela's PDVSA. A commission to finalize the deal is expected in Santo Domingo this week.
Earlier this year the government finalized the purchase of the Shell Company's shares in the refinery. Speaking in Basseterre, St. Kitts, Venezuelan Minister Rafael Ramirez said that the capacity of the old refinery (at 34,000 barrels) would be expanded. The DR currently needs to import refined fuels because the refinery only serves about a quarter of the demand.
The announcement follows President Fernandez's attendance at the Sixth PetroCaribe Summit on Friday, 12 June in Basseterre. President Fernandez traveled to St. Kitts accompanied by Secretary of the Presidency Cesar Pina Toribio, Administrative Secretary of the Presidency Luis Manuel Bonetti, Hacienda Minister Vicente Bengoa, Foreign Relations Minister Carlos Morales Troncoso, and Presidency press director Rafael Nunez. He returned to the DR on Saturday, 13 June.
The Petrocaribe agreement allows Caribbean and Latin American governments to buy Venezuelan oil products on long-term credit. Hacienda Minister Vicente Bengoa says that the DR owes US$1 billion as per the Petrocaribe agreement, and this year would be paying US$25 million to the debt, as reported in El Caribe.
The DR purchases 50,000 barrels of oil a day from Venezuela, of which 40% (20,000 barrels) is financed with a two-year grace period, 23-year terms and 1% annual interest when the price per barrel exceeds US$50 and 2% if the price is below that sum, as reported in Diario Libre.
There is talk of the DR paying for petroleum bills with agricultural products or tourism services. Bengoa says that the Venezuelan government has approved an arrangement under which the DR would pay the debt in black beans. He is expecting Venezuela to place an order for 20,000 tons of black beans, or US$12 million worth. He said that Venezuelans consume 120,000 tons of beans a year.
More... (http://www.dr1.com/index.html#2)
Earlier this year the government finalized the purchase of the Shell Company's shares in the refinery. Speaking in Basseterre, St. Kitts, Venezuelan Minister Rafael Ramirez said that the capacity of the old refinery (at 34,000 barrels) would be expanded. The DR currently needs to import refined fuels because the refinery only serves about a quarter of the demand.
The announcement follows President Fernandez's attendance at the Sixth PetroCaribe Summit on Friday, 12 June in Basseterre. President Fernandez traveled to St. Kitts accompanied by Secretary of the Presidency Cesar Pina Toribio, Administrative Secretary of the Presidency Luis Manuel Bonetti, Hacienda Minister Vicente Bengoa, Foreign Relations Minister Carlos Morales Troncoso, and Presidency press director Rafael Nunez. He returned to the DR on Saturday, 13 June.
The Petrocaribe agreement allows Caribbean and Latin American governments to buy Venezuelan oil products on long-term credit. Hacienda Minister Vicente Bengoa says that the DR owes US$1 billion as per the Petrocaribe agreement, and this year would be paying US$25 million to the debt, as reported in El Caribe.
The DR purchases 50,000 barrels of oil a day from Venezuela, of which 40% (20,000 barrels) is financed with a two-year grace period, 23-year terms and 1% annual interest when the price per barrel exceeds US$50 and 2% if the price is below that sum, as reported in Diario Libre.
There is talk of the DR paying for petroleum bills with agricultural products or tourism services. Bengoa says that the Venezuelan government has approved an arrangement under which the DR would pay the debt in black beans. He is expecting Venezuela to place an order for 20,000 tons of black beans, or US$12 million worth. He said that Venezuelans consume 120,000 tons of beans a year.
More... (http://www.dr1.com/index.html#2)