Venezuela to triple oil exports to China by 2010

Aug 24, 2006, 18:20 GMT

Beijing - Venezuela plans to more than triple oil exports to China in the next four years, China's Xinhua news agency reported Thursday.

Following talks in Beijing between Chinese President Hu Jintao and his left-wing populist Venezuelan counterpart Hugo Chavez, the two sides agreed to the joint development of oilfields in Venezuela, Xinhua reported.

The two sides signed eight cooperation agreements in the areas of energy, trade, infrastructural projects and tourism.

'I am very satisfied with the cooperation between China in the petrochemical field,' Chavez said after the talks.

Chavez said further on Venezuela's VTV television channel that Caracas would be producing enough oil by 2010 to send half a million barrels per day (bpd) to China alone.

Venezuela currently sells some 150,000 bpd to China.

'We will be one of the most important oil suppliers to the massive country,' Chavez said.

Observers have said that Venezuela wants to reduce its dependence on the United States market.

The fifth largest oil exporter in the world sells some 1.5 million bpd to its 'arch-enemy,' the US.

By 2012, Venezuela plans to increase oil production from the current 3.3 million to 5.8 million bpd.

'I am very happy because we are building a strategic alliance with China and with it the future,' Venezuela's leader since 1999 told VTV.

Chavez also hoped to promote cooperation in telecommunications, agriculture, railways, culture and education, Chavez was quoted by Xinhua as saying.