Oil & Gas
Published: Friday, March 19, 2004
Bylined to: David Coleman
Top-level Chinese delegations negotiate crude oil contracts if USA Bush 2 war machine locks on to Venezuela electoral dispute
President Hugo Chavez Frias is warning that any attempt to overthrow his government will raise international oil prices to more than US$50 a barrel In a published interview, the News York Times quotes Chavez Frias as saying he would not tolerate any US-led attempt to force his resignation ... he said that the US government led by George W. Bush does not respect the Venezuelan government, and noted Bush's continuous interference in Venezuela's internal affairs adding that it could jeopardize a key providers of oil to the United States ... "I can not believe a government is willing to put its oil supplies at stake!"
Venezuela provides about 1.5 million barrels a day to the United States ... nearly 15% of US oil imports ... but Chavez Frias has on several occasions threatened that if Venezuela is invaded or blocked by the United States it would lead to cuts in Venezuelan oil exports to the United States. Chavez has accused the United States of backing a coup d'etat in April 2002 which saw a USA-puppet dictator installed for just two days before being kicked out by the popular will of the people in massive anti-dictatorship demonstrations.
Meanwhile, VHeadline.com can reveal that top-level delegations from the Peoples' Republic of China have visited Venezuela recently to negotiate supply contracts which could relieve Venezuela of its customer-relationship dependency on North American markets.
It is known that while there is a lot of pressure on the Chavez Frias administration to simply walk away from North American crude oil markets in view of the rapidly devalued US$, Chavez Frias is personally waiting for an electoral win by US presidential candidate John Kerry to remove George W. Bush from office before signing irrevocable long-term supply contracts with the Chinese.
In a Reuters report from Beijing today, Chinese authorities said that China's imports of crude oil imports were up 60.1% at at 10.5 million tonnes in February. Imports of No. 5-7 fuel oil were up 90.5% at 2.2 million tonnes in February (refers to fuel oil with viscosity below 185 centistoke). Imports of other diesel and other fuel oil were up 32.9% at 182,129 tonnes while China's exports of gasoline in February were down 42.9% at 476,573 tonnes from February 2003 figures.