2005News

Green light for Petro-Caribbean

The DR is to structure a set of fuel products that will allow it to receive the 50,000 barrels of oil daily as stipulated in the Petro-Caribbean Agreement, according to a report in Diario Libre. Over the next few days, the Dominican Petroleum Refinery (Refidomsa) and the Ministry of Industry and Commerce will be defining the way in which orders will be placed for Venezuelan petroleum to increase imports from 35,000 to 50,000 barrels. Both institutions will also make adjustments in the contracts that the country has signed with Mexico, Colombia, Brazil and other nations, to ensure that the credit benefits offered by Petro-Caribbean are used to the best advantage. This was discussed at a meeting led by President Leonel Fernandez and attended by Aristides Fernandez Zucco, president of Refidomsa, Rafael Maradiaga, general manager of Shell, Presidency Minister Danilo Medina, Industry & Commerce Minister Francisco Javier Garcia, and Minister Miguel Mejia.

After the meeting, Medina explained that since Venezuela is experiencing difficulties to supply the amounts required of certain fuels that the DR needs, the government has to identify the products that can be offered with fewer problems to ensure that the quota is purchased in full.

Regarding the transportation of fuel, he informed that Venezuelan Ambassador Francisco Belisario Landis, who also participated in the meeting, will agree on the cost with his government, as the freight of crude oil is not the same as that of finished products. Fernandez Zucco had disputed the additional cost of the CIF agreement that had been reached for the Petrocaribe deal with Venezuela. Fernandez Zucco announced that the next oil shipment under the Petro-Caribbean Agreement would arrive next week, after revealing that the cost of freight will be readjusted by Petroleos de Venezuela, S.A.

Listin Diario reports that the DR will benefit from 50,000 barrels per day beginning next week. Fernandez Zucco announced he had received the contracts for the purchase of products within the Petro-Caribbean Agreement and stated that although they were costlier for the country, they would solve the problem that kept the refinery delivering fuel by quotas. In a press conference held at the Presidential Palace, Danilo Medina said that the disagreement between Ambassador Belisario Landis and Fernandez Zucco does not involve the governments of Venezuela and the DR.