Adamant: Hardest metal
Monday, January 13, 2003

Venezuela to boost prodn to 2 nln bpd once control regained - PDVSA

www.afxpress.com

VIENNA (AFX-ASIA) - Petroleos de Venezuela (PDVSA) president Ali Rodriguez said Venezuela was aiming to increase production to two mln barrels per day (bpd) as it fixed and regained control of refineries and other oil facilities.

Rodriguez, speaking on the sidelines of the weekend OPEC meeting that agreed to increase production quotas in response to Venezuela's crisis, described the six-week strike as "not a labour strike, this is a political conflict."

"The intention of these people is not to obtain benefits for workers but to defeat the government," said the head of the coutnry's state-owned oil company.

In Venezuela yesterday, thousands of opponents of the government marched to a heavily guarded military complex as they pressed demands that President Hugo Chavez resign.

The 11-nation Organization of Petroleum Exporting Countries, of which

Venezuela is a member, agreed yesterday to increase oil production by 1.5 million barrels per day (bpd) in a bid to curb a surge in prices triggered by the strike.

OPEC agreed to raise its combined output ceiling by 6.5 percent to 24.5 million bpd from next month to try to cool world oil markets.

OPEC President and Qatar Oil Minister Abdullah bin Hamad al-Attiyah said the Venezuelan crisis had taken over two million bpd of oil off world markets, adding that OPEC would roll back the output hike once Venezuelan exports recovered.

Rodriguez described the situation in Venezuela as a "force majeure."

"In the meantime we are now very positive as far as reaching a level in order to satisfy our commitments to our customers," he said.

Rodriguez said Venezuela had not ruled out turning to foreign oil technicians, saying that "in certain cases, the need for specialist help, notably in refining, is felt." afxasiadesk@afxnews.com msa/rl/tjc

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