Venezuelan Cheap Oil for Spanish Investments and Technology

[Yago]

The Spanish Government Will Finance Investments in Venezuela in Exchange for Cheaper Oil

Stirpes News
July 26, 2008

The meeting between the Spanish and Venezuelan presidents, Zapatero and Chávez, was not organized to just take the iron off the last Iberoamerican meeting, where the King of Spain told Chávez to shut up. The main goal of this meeting was to agree on an interchange of favours with Venezuelan oil as the star. Through this agreement, Hugo Chávez will sell to Spain 10,000 daily brent crude barrels at 100 US dollars per barrel, in exchange for investments and technology.

The workgroup will be coordinated by the Spanish Minister of Industry and the Venezuelan Minister of Energy, and it will create in Spain a fund where the bill for the crude will go, to finance technology, agriculture machinery, medical and infrastructural projects in Venezuela. A similar agreement has already been reached between Chávez and the Portuguese Government, during the European tour of Chávez which included Russia and the Iberian Peninsula.

Spanish building construction companies could also take part in the initiatives developed by this agreement. The 10,000 barrels figure could be increased in the future, according to the ministerial sources.