15 November 2007
Latin America News Digest
Venezuela will export 500,000 barrels per day (bpd) of crude oil to China in 2010 and 1.0 million bpd in 2012, according to agreements recently signed by the two countries, Venezuelan oil and gas monopoly PDVSA said on November 14, 2007.
Venezuela and China will create a joint transport company to manage the crude supplies. The company would allow them to avoid third party operators and to reduce transport costs.
Currently, there are another two operating Venezuelan-Chinese joint-ventures, namely Petrosinovensa and Petrozumano. Their daily output is projected to stand at 180,000 bpd and 70,000 bpd in 2009. Petrozumano is a joint-venture between PDVSA and Chinese CNPC.
CNPC also takes part in the processes of estimation and certification of the oil reserves in the oil block Junin 8, in Venezuela’s Orinoco Belt basin. The block’s reserves are estimated at 40 billion barrels and its daily output is expected to reach 200,000 bpd in 2010.