Venezuela PDVSA, China CNPC Sign Oil, Fuel Oil Supply Deals
Publication: Business Digest
Provider: AII Data Processing Ltd.
Venezuela PDVSA, China CNPC Sign Oil, Fuel Oil Supply DealsGlobovision, AII Data Processing Ltd. Venezuela's state-run oil company Petroleos de Venezuela SA (PDVSA) and China's state-owned oil group China National Petroleum Corporation (CNPC) signed two oil supply contracts, it was reported on November 14, 2005.
The contracts envisage oil supplies of 100,000 barrels per day (bpd) and fuel oil supplies of 60,000 bpd to CNPC. Under the terms of the contracts, a combination of several types of heavy crude oil will be supplied, including Maralago, Cerro Negro, Boscan, Merey 16 and BCF 17 for a period of one year. PDVSA will supply CNPC fuel oil of the types IFO 380 and IFO 180 for a period of two years.
[Editor's note: PDVSA expects to export around 300,000 bpd to China, compared to an average 12,300 bpd in 2004. By mid-August 2005, PDVSA exported an average 68,800 bpd to China, the Latin America News Digest reported on August 22, 2005. China and Venezuela have already signed a series of agreements and memorandums of understanding (MoUs) for co-operation in the energy, steel and other sectors.]