End of preview - This article contains approximately 1636 words.
Subscribers: Log in now to read the full article
Not a Subscriber?
Choose from one of the following options
Back
Andean Group - April 2010 (ISSN 1741-4466)
OIL & ECONOMY: Who is paying for what in the Orinoco belt?
The government of President Hugo Chávez is firming up its plans for
the development of the giant Orinoco oil belt, on most estimates the second
largest petroleum reserve in the world outside of Saudi Arabia, with over 500bn
barrels of recoverable heavy crude oil on recent US Geologic Survey estimtes.
The state oil company Petróleos de Venezuela (Pdvsa) is leading the development
plans, taking a majority 60% share in production blocks as well as overseeing
the construction of new refining capacity and pipeline infrastructure. The
Chávez government relies heavily on Pdvsa as a cash cow. Worringly, despite the
recent currency devaluation, the company appears financially stretched. Its
predicament raises questions as to who exactly will foot the bill for the
ambitious Orinoco plans.
- Presidential candidate in diplomatic row with Ecuador and Venezuela
- ECONOMIC OVERVIEW
- POLITICS & ENVIRONMENT: Morales under pressure over 'extractivist' policy
- POLITICS: Regional elections expose limits of the MAS
- ECONOMIC OVERVIEW
- POLITICS: Correa's Water Law splits indigenous groups
- POLITICS: Correa completes reshuffle
- THE ARMED FORCES: Correa keeps the military content
- POLITICS: Regional elections are worth attention
- POLITICS & MINING: Government cedes ground in face of mining protests
- ECONOMIC OVERVIEW
- POLITICS: Opposition set to challenge the government in legislative polls
- OIL & ECONOMY: Who is paying for what in the Orinoco belt?
- Furore in Venezuela over 'media guerrillas'