U.S. Says Venezuela Oil Now Unreliable

www.grandforks.com Posted on Wed, Feb. 26, 2003 GEORGE GEDDA Associated Press

WASHINGTON - Top State Department officials told a delegation of Venezuelans Wednesday that political disruptions have created serious doubts about the country's reliability as an oil supplier, an administration official said.

They called on the Venezuelan government and the opposition to negotiate a settlement to their differences, said Charles Barclay, spokesman for the State Department's Bureau of Western Hemisphere Affairs.

The officials passed the message to Energy and Mines Minister Rafael Ramirez and the president of the Venezuelan state oil company, Ali Rodriguez.

The Venezuelan delegation was told that the way for the country to restore its reputation as a reliable oil supplier is for the government and the opposition to reach agreement on a "constitutional, democratic, peaceful and electoral solution," Barclay said.

The U.S. officials also urged that the parties work with Organization of American States Secretary General Cesar Gaviria, who has tried in vain to promote a settlement.

Wednesday's meeting occurred three days after Chavez assailed Gaviria for speaking out about the detention of a strike leader, saying his comments were "totally out of place."

He also criticized State Department spokesman Richard Boucher for saying last week that Washington was concerned that the detention could hinder peace talks.

"Gentlemen of Washington ... we don't meddle in your internal affairs," Chavez said. "Why does a spokesman have to come out and say they are worried? No, that is Venezuela's business."

Venezuela has been a leading source of U.S. oil imports, accounting last year for about 1.5 million barrels a day. Most analysts place part of the blame for the low supplies of crude and petroleum products in the United States on the loss of Venezuelan oil imports.

A general strike that was called in December as a protest against Chavez paralyzed the oil industry for a time and devastated the national economy. Oil production has recovered somewhat in recent weeks but is still well below normal.