Brazil Starts Renegotiation of Its Oil Deals in Bolivia

Bolivia’s government has appointed directors to sit on the boards of five foreign energy companies, marking another step in the nationalization of the country’s oil and gas sector.

The directors will represent Bolivia’s state-owned energy company, Yacimientos Petroliferos Fiscales Bolivianos, which the government says will eventually manage all energy production in the country.

Each of the five companies to be nationalized will have four directors from the state-run oil firm and three representing the foreign owners.

Bolivia’s Hydrocarbons Minister Andrés Soliz, says the new directors will formally take control once the government completes the acquisition of majority stakes in the five companies.

Last week, Bolivia said the foreign energy companies have six months to renegotiate their contracts or leave the country. Bolivia says the new contracts will require foreign firms to pay higher prices for Bolivian fuel.

Two of the five firms being nationalized are subsidiaries of Brazil’s state-owned company, Petrobras. Executives from Petrobras are due to start negotiations with the Bolivian government, Wednesday, May 10.

Brazil’s foreign minister, Celso Amorim, said he expects the negotiations to be long and difficult. Brazil relies on Bolivia for about half the natural gas it consumes.

VoA

Tags:

Ads

You May Also Like

Separatism Won’t Be Tolerated in Bolivia, Warn Brazil and Argentina

The Brazilian and Argentinean governments reaffirmed their full support to Bolivia's president Evo Morales ...

Brazilian Fair: a Window to Brazil’s and the World’s Craft

Art Mundi, the international handicraft fair, who is going on in Brazil, sells from ...

Brazil Expecting Several Loans from Japan’s JBIC

Brazilian institutions and enterprises will sign next Friday, May 27, in Tokyo, with Japanese ...

Brazil Starts Teaching of Black Culture with Africa Maps in All Schools

The Special Secretariat of Policies for the Promotion of Racial Equality (SEPPIR) and the ...

UN: In Brazil, Justice Is Slow and Impunity High

The Special Rapporteur on the independence of judges and lawyers of the United Nations ...

Brazil-France Effort Recovers in the Atlantic 17 Bodies from Air France Jet

Seventeen bodies from the 228 people aboard Air France flight 447 have now been ...

Brazil’s Plans for the Amazon Are Not as Green as Lula Paints Them

Criticism of Brazilian President Luiz Inácio Lula da Silva’s handling of deforestation in the ...

Land Conflicts: 772 Murders and No One in Jail in Parí¡, Brazil

In February, a Catholic missionary born in the United States, Dorothy Stang, who was ...

Brasília’s Corruption Case Delayed. Main Witness Also Has Rap Sheet

Brazilian Durval Barbosa, the man who accused some 30 politicians and contractors of Brazilian ...