<a href=www.vheadline.com>Venezuela's Electronic News Posted: Thursday, April 03, 2003 By: Robert Rudnicki

Officials from the US State Department's Office for International Energy, Matthew McManus and Pedro Gustavo Erviti have held discussions with Venezuelan Minister Counselor of Energy Affairs Fadi Kabboul and embassy Energy Affairs Attache Ramon Key to enquire about the current situation of Venezuela's petroleum industry ... in particular its ability to export gasoline.

The two Venezuelans officials presented a detailed analysis of the current state of play at Petroleos de Venezuela (PDVSA) and its production levels of 2.95 million barrels per day, as well as the company's restructuring plans, which they said would bring it for flexibility and make it more competitive than it currently is.

The US energy officials were told that Venezuela is currently exporting 843,000 barrels of crude per day to the US, along with 247,000 barrels of associated products.  As for gasoline, the Venezuelans said they would provide the State Department with their export forecasts over the coming few days.

Dow Jones Tuesday April 1, 5:27 AM

CARACAS (Dow Jones)--A shipment of 360,000 barrels of unleaded gasoline destined for the U.S. is expected to leave Venezuela's Paraguana peninsula Wednesday, a refinery manager of state-owned oil monopoly Petroleos de Venezuela SA (E.PVZ) said Monday.

"The Nicos tanker has just docked, we can now start loading the cargo," plant manager Humberto Reyes said. The shipment should leave Wednesday, Reyes added. It would be the first gasoline shipment destined for export from the 940,000 barrels per day (b/d) Paraguana refinery complex since a strike hit PdVSA from December 2002 until February 2003.

The stoppage curtailed exports of crude and refined products. Only in the last several weeks have production and refining operations increased. President Hugo Chavez said Sunday refining runs stand at more than one million b/d. Total domestic refining capacity stands around 1.3 million b/d.

Reyes further added that the plant is currently restarting its coking unit. "We expect the entire complex to run at normal capacity between April 20 and April 22," Reyes said.

About 35,000 employees walked off their jobs in early December, crippling oil production and exports. Production is estimated at somewhere between 2.4 million and 2.8 million barrels per day by secondary sources, while oil exports are seen slightly above 2 million b/d. Venezuela's pre-strike production level was 3 million b/d.

By Fred Pals, Dow Jones Newswires; 58212-5641339; fred.pals@dowjones.com;

<a href=www.vheadline.com>Venezuela's Elecronic News Posted: Friday, March 28, 2003 By: Patrick J. O'Donoghue

Planning & Development Minister Felipe Perez Marti says Petroleos de Venezuela (PDVSA) is poised to sell the Central Bank of Venezuela (BCV) $625 million.  "Definitely good news ... in normal conditions PDVSA offers the BCV $300 million a week ... once the first lodgment has been made, it will boost international reserves." 

However, critics argue that there are invoice problems, especially in international reserves because despite the suspension of foreign currency exchanges since March 21, reserves have only increased in $339 million. 

Adding to the doubt, PDVSA subsidiary in the USA, Citgo has not registered income to the BCV, even though a Citgo communique has announced that it is paying for all PDVSA cargoes of crude and complying with supply contract terms.

Another contradiction, critics claim, lies in PDVSA's total invoice ... Minister Perez Marti estimates $1.8 billion, as do internal PDVSA estimates ... in contrast, Energy & Mines Minister Rafael Ramirez' tally is $3 billion, that is from December till today.

<a href=www.vheadline.com>Venezuela's Electronic News Posted: Friday, March 28, 2003 By: Patrick J. O'Donoghue

The Puerto La Cruz refinery has announced it will be closing down for 25 days to do important maintenance work. 

Deputy manager, Alejandro Granados reports that the stoppage had been postponed several times but will finally come into effect on May 1st. 

"Among the technical objectives is to optimize the FCC and sulphur units ... workers are currently engaged on minor maintenance works." 

Grandados points out that supplies and materials have been bought to avoid any delays in getting the plant up to standard and says the Petroleos de Venezuela (PDVSA) Intevep research unit will send a specialized team to supervise major works. 

"We will be hiring 250 temporary workers during the stoppage ... welders, fitters, workers electricians and mechanical engineers and we have asked contractors to hire local people." 

PDVSA Puerto La Cruz will contract out special activities, such as the chemical cleaning of pipelines and refractory installations.

<a href=www.quicken.com>Dow JonesFriday, March 28, 2003 10:37 AM ET

CARACAS (Dow Jones)--The president of Venezuela's state oil company Petroleos de Venezuela SA, or PdVSA, said the country's refineries should be operating normally in about six weeks.

Total oil output, including refined products, currently stands at 3.14 million barrels per day, Ali Rodriguez added.

Refining capacity is about 1.014 million barrels per day Rodriguez said.

PdVSA is restarting its refineries which were all but shut due to a general strike that began Dec. 2.

Venezuela is shipping some products to Caribbean buyers, but they aren't yet up to "proper specifications for some markets," a company executive told Dow Jones Newswires last week.

Before exports to the U.S. can resume, PdVSA also has to "have talks" with buyers about their contracts, the executive said without going into detail.

As reported, PdVSA lifted force majeure for crude oil sales earlier this month but has maintained it on some products because its refineries aren't yet operating normally.

The company first declared force majeure, which suspends contracts under special circumstances, in the first week of December after oil workers joined the strike aimed at forcing President Hugo Chavez to declare early elections.

But Chavez has dismissed about 16,000 of PdVSA's roughly 40,000 strong workforce and is attempting to bring production and exports - which account for half of government income - back to normal without the strikers.

Opposition leaders blame Chavez's left-leaning policies for the country's economic crisis.

The economy contracted 8.9% in 2002, amid 17% unemployment and 32% annualized inflation sparked by a 46% devaluation of the bolivar. The currency lost a further 25% this year before currency sales were halted Jan. 21.

Chavez has said the problems are due to an "economic coup" led by his opponents.

PdVSA Web site: www.pdvsa.pdv.com

-Dow Jones Newswires; 58212 564 1339; venezuela@dowjones.com

Dow Jones Newswires 03-28-03 1037ET