JOINT OIL EXPLORATION

AP via International Herald Tribune:

Venezuela and Cuba will begin jointly exploring for oil in Cuban waters in the first such venture between the two nations, Venezuela’s state-run oil company said Tuesday.

Petroleos de Venezuela SA, or PDVSA, said in a statement that the project with Cuba’s CUPET energy company covers 10,000 square kilometers (3,860 square miles) and is scheduled to begin Wednesday.

The companies expect to discover light crude after conducting a seismic study, PDVSA said.

President Hugo Chavez has signed numerous cooperation agreements with Cuba since taking office in 1999.

Under one agreement, Venezuela — one of Latin America’s top petroleum producers — sells roughly 98,000 barrels of crude a day to Cuba. In return, Cuba provides Venezuela with thousands of Cuban doctors who help treat the poor.

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