by JAMES SUGGETT
Mérida, April 8, 2010 (venezuelanalysis.com) – During Uruguayan President Jose “Pepe” Mujica’s visit to Caracas on Wednesday, Venezuela and Uruguay renewed agreements to exchange Venezuelan oil for essential agricultural and manufacturing supplies, in what Mujica called a step toward “Latin American Unity.”
Through the Caracas Energy Cooperation Agreement, originally signed in 2005, Uruguay will now receive more than 40,000 barrels of oil per day. As part of the deal, Uruguay will pay a quarter of the cost over the course of fifteen years, with a two-year grace period and two percent interest rate.
Venezuelan President Hugo Chavez said his country could supply Uruguay with natural gas, and proposed the construction of a gas liquefying plant in Uruguay. The two countries also discussed the upgrading of Uruguay’s La Teja refinery so that it may process crude oil from Venezuela’s Orinoco Oil Belt.
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