China plans to invest US$5 billion (euro3.9 billion) on oil-related exploration and production projects in Venezuela over next six years, Venezuela's oil minister said Monday.
Rafael Ramirez called the plan "very important," telling Venezuela's state-run television that Chinese oil production in the South American nation would "initially require some US$5 billion of investment."
During a visit to China last week, Venezuelan President Hugo Chavez said his government would create joint ventures with two Chinese state-owned oil companies -- China National Petroleum Corp. and China Petroleum and Chemical Corp. -- to produce and export crude from Venezuela's petroleum-rich Orinoco River basin as part of a larger energy cooperation plan.
Chavez also said that Venezuela plans to export 500,000 barrels of oil a day to China within five years and he proposed an ambitious plan to almost quadruple sales to China, which wants access to Latin American energy supplies to fuel its booming economy.
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The United States is the No. 1 buyer of Venezuelan crude, but Chavez has sought to sell more to other countries as part of an effort to gradually diversify his country's clientele.
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