Venezuela Sends First Oil Shipment of ’08
MANAGUA – Venezuela this week sent 276,000 barrels of petroleum to Nicaragua to be processed here by U.S. oil company Esso Standard Oil, which owns the country’s only refinery, according to government officials.
The oil shipment, the first to Nicaragua under the new agreement between the Nicaraguan-Venezuelan oil company ALBANISA and Esso, is valued at $20 million, according to Francisco López, president of the Nicaraguan state-owned oil company Petronic.
The deal calls for Venezuela to supply Nicaragua with 10 million barrels of petroleum annually – or the country’s entire petroleum demand. The terms of payment allow Nicaragua to pay 50% of the oil bill over a 25-year term, with a two-year grace period.
The oil agreement, signed under the auspices of the Bolivarian Alternative for the Americas (ALBA), also stipulates that 25% of the petroleum bill will go into a social development fund for ALBA member countries.
Venezuela made similar promises to Nicaragua last year, but was ultimately unable to follow through on the promised oil because the Nicaraguan government lacks the infrastructure to off-load and refine petroleum – leading to the tentative agreement with Esso earlier this year (NT, Jan.18).
You may be interested
With Keylor Navas battling injuries, Real Madrid eyes January swoop for Bilbao goalieAFP - December 11, 2017
Real Madrid's first foray into the January transfer market will be to snap up Athletic Bilbao's promising goalkeeper Kepa Arrizabalaga,…
Our High Season Print Edition is here! Here’s where to find itKatherine Stanley - December 11, 2017
In the weeks since the relaunch of The Tico Times on Sept. 1, we’ve been hard at work to reconnect…
Bright Lights Boat Parade inaugurates holiday season in QueposElizabeth Lang - December 11, 2017
The Bright Lights Boat Parade marked the official kickoff of the holiday season in the Central Pacific town of Quepos…