PDVSA, Ancap to form JV for Orinoco E&P

Orinoco Heavy Oil Belt
(Click to Enlarge)
Venezuela's state oil company PDVSA and its Uruguayan counterpart Ancap will form a JV to perform E&P work in Venezuela's Orinoco heavy crude oil belt, PDVSA said in a statement.

Venezuelan President Hugo Chavez and his Uruguayan counterpart Tabare Vasquez signed an energy security treaty similar to the one Chavez signed with Argentina President Nestor Kirchner earlier this week.

Under the terms of the treaty, Ancap will explore the Ayacucho 6 block in the Orinoco belt jointly with PDVSA, which will expand the La Teja refinery in Uruguay from 50,000b/d to 60,000b/d to allow it to process Venezuelan crude.

Chavez also promised to construct an LNG plant in Montevideo, similar to the US$450mn plant PDVSA will construct in Argentina with the latter's state oil company Enarsa, according to press reports.

Chavez characterized the agreement as "historic" and said his country had agreed to provide Uruguay with oil, natural gas and gasoline for 100 years, according to the statement.

Ancap was unable to provide more information when contacted by BNamericas.

Visit BNamericas to access our real-time news reports, 10-year archive, Fact File company database, and latest research reports. Click here for a Free two week trial to our Latin America Oil & Gas information service.


Our Privacy Pledge

Most Popular Articles

From the Career Center
Jobs that may interest you
Sales Manager - Safety Relief Valves
Expertise: Business Development|Sales
Location: Houston, TX
United States Odessa: Service Manager
Expertise: Engineering Manager
Location: Odessa, TX
United States Conroe: Product Champion
Expertise: Business Development|Marketing|Sales
Location: Conroe, TX
search for more jobs

Brent Crude Oil : $50.75/BBL 0.09%
Light Crude Oil : $47.73/BBL 0.50%
Natural Gas : $3.05/MMBtu 0.97%
Updated in last 24 hours