Venezuela purchases 25 percent stake in Antigua and Barbuda oil company

The Venezuelan Government agreed the purchase of a 25 percent stake in the state-run company managing an oil terminal in Antigua and Barbuda, Petroleos de Venezuela (PDVSA) said in a statement published by Reuters.

According to the information, during the recent official visit of the Venezuelan President Nicolas Maduro to the former British colony, the Government of Antigua and Barbuda signed a Memorandum of Understanding allowing the South American country to participate in the West Indies Oil Company.

However, the details of the transaction are unknown because Venezuela’s state oil company did not inform the amount it plans to invest in the purchase of that stake.

WIOC operates a refinery in Antigua and Barbuda which is used as an oil terminal, with a storage capacity of 322,000 barrels of oil by-products.

PDVSA has been looking for oil storage facilities in the Caribbean as an option to formulate the oil mixes it produces. It also uses the Caribbean as a distribution center for big tankers to Asia, where some of its main clients are.

Last month, Citgo Petroleum, an US subsidiary of PDVSA, signed another Memorandum of Understanding with the Government of Aruba aimed to consider the reactivation of a refinery in the Caribbean Island, stopped since 2012.

The Presidents of Venezuela and Antigua and Barbuda agreed to create a regional bank, under PetroCaribe cooperation program, which provides the countries of the region with Venezuelan oil under preferential terms.

Source: http://www.energia16.com/news/venezuela-purchases-25-percent-stake-in-antigua-and-barbuda-oil-company?lang=en

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