Venezuela increases Caribbean cheap oil deal

“Member countries of Petrocaribe, the Caribbean energy integration organisation that Venezuela initiated in 2005, agreed Sunday to adjust the terms of financing for the purchase of Venezuelan oil in order to lower the impact of soaring oil prices on Caribbean countries”, according to a July 15 Venezuelanalysis.com report. Under the new terms, established at the fifth Petrocaribe summit in Venezuela on July 13, as long as oil sold by Venezuela cost more than US$100 per barrel, the impoverished Caribbean and Central American countries that form Petrocaribe will only have to pay Venezuela 40% of the cost up front, down from 50% previously. However, Venezuela stated that if the price of oil rose above $200, then the upfront amount would drop to 30%. Petrocaribe nations have 25 years to pay off the remainder, at an interest rate... [read full story]