Ecuador speeds up construction of refinery with Venezuela

[Judi Lynn]

Caracas, Monday January 07 , 2008
Ecuador speeds up construction of refinery with Venezuela

Ecuador is stepping up the pace in the construction, together with Venezuela, of a refinery expected to become the largest on the Pacific Ocean, President Rafael Correa said Monday during a meeting with Venezuelan Minister of Energy and Petroleum Rafael Ramírez.

"There is no time to lose, because we have lost too much time. Every day the country passes without a refinery and fails to increase production in mature oilfields, means we are losing several million dollars," Correa said when welcoming the Venezuelan official.

The governments of Quito and Caracas in 2007 agreed to build an oil refinery -originally valued at USD 5 billion- on the coast of the Manabí province, southwest Ecuador, AFP reminded.

The refinery is to include a high-conversion system. The plant will have a processing capacity of 300,000 bpd.

http://english.eluniversal.com/2008/01/07/en_eco_art_ecuador-speeds-up-co_07A1289613.shtml
opposition newspaper

[Judi Lynn]

1. Ecuador, Venezuela agree to explore gas in Guayaquil Gulf

Ecuador, Venezuela agree to explore gas in Guayaquil Gulf

www.chinaview.cn 2008-01-08 10:30:04

QUITO, Jan. 7 (Xinhua) -- Energy ministers from Ecuador and Venezuela Monday signed a statement of intent to begin gas exploration in the Gulf of Guayaquil.

Ecuadoran Energy Minister Galo Chiriboga said that state company Petroleos de Venezuela would assume exploration costs of 150 million U.S. dollars.

If exploration finds nothing, "there is no risk for Ecuador, but if the exploration comes up positive, the exploitation process will be negotiated," he said.

The Navy Oceanography Institute will probably do the seismic studies, he added.

The document suggested that Venezuela and Ecuador will form a joint venture company.

More:
http://news.xinhuanet.com.nyud.net:8090/english/2008-01/08/content_7383505.htm

http://www.elcomercio.com.nyud.net:8090/nv_images/fotos/2007/10/ec03_p_negocios.jpg

Galo Chiriboga, in the middle.

http://farm2.static.flickr.com.nyud.net:8090/1437/879194819_03cb273afd_m.jpg

[Judi Lynn]

2. Ecuador and Venezuela signed energy agreements

Ecuador and Venezuela signed energy agreements
Posted: 2008/01/09
From: Mathaba

Quito, Jan 8 (ABN).- The governments of Ecuador and Venezuela signed this Monday two agreements. One of them to carry out natural gas exploration studies at the Block 4 of Guayaquil Gulf and the other one to constitute a mixed company to build a new refinery in Ecuador, as it was informed by El Universo newspaper of Ecuador.

The signing of these documents took place after the meeting held between the President of Ecuador, Rafael Correa, and the Minister of the People's Power for Energy and Petroleum of Venezuela, Rafael Ramírez.

At this meeting, the progress in oil agreements already signed between both nations since 2007 was evaluated, like the one allowing to exchange Ecuadorian oil for Venezuelan fuel.

According to the Government of Ecuador, the agreement has been positive, because the Ecuador has saved about 38 million dollars.

Moreover, the Minister of Mining and Petroleum of Ecuador, Galo Chiriboga, announced that this agreement will be expanded to products like the asphalt and fuel oil.

More:
http://mathaba.net/news/?x=577276

[Judi Lynn]

3. Ecuador to explore Gulf of Guayaquil with Venezuelan helpFiled from Houston

Ecuador to explore Gulf of Guayaquil with Venezuelan helpFiled from Houston
1/9/2008 7:07:58 PM GMT

ECUADOR: BNamericas reported that Venezuela's energy and mining ministry, Menpet, signed a letter of intent with its Ecuadorian counterpart for the joint exploration of Block 4 in the Gulf of Guayaquil offshore Ecuador, according to a statement from Ecuador's presidential press office. Venezuelan state oil company PDVSA will also study creating a joint venture company with Ecuador's state oil company Petroecuador for exploration and production (E&P) on the block, the statement said.

In the first phase of joint activities, Petroecuador will provide PDVSA with all existing technical information on the block. PDVSA will then name a technical team and will reprocess and evaluate the data within six months, according to the statement. In a second phase, PDVSA will develop an E&P plan for the block. PDVSA will pay the entire US$150 million start-up fee, but Petroecuador will begin paying for its share of E&P work if the initial results are positive, Ecuador's energy and mining minister Galo Chiriboga said in the statement.

The oceanographic institute of Ecuador's navy will likely lead seismic acquisition during the exploration phase, Chiriboga added. Petroecuador is expected to launch a round for further E&P in the gulf in early 2008, BNamericas previously reported. Chile's state oil company Enap signed an agreement with Petroecuador for E&P in the area in December.

http://www.energycurrent.com/index.php?id=2&storyid=8019