Total Official:Oil Projects With Venezuela 'A Plan,' Not Fact
September 23 2009 - 11:10AM
Dow Jones News
Venezuela's announcement that it and France's Total (TOT) would
spend $25 billion on a series of oil projects is not set in stone,
an official with the French company said Wednesday.
"It's a project, a plan, but it's not a fact," said the Total
official, who asked not to be identified.
Venezuela's state oil company said in a statement Tuesday that
it and Total would spend the $25 billion to develop the Junin 10
block and that the investment would also include Total's
construction of a refinery or upgrader.
The area's oil is tar-like, requiring special equipment to turn
it into marketable oil. Venezuela's government has made similar
announcements regarding multi-billion-dollar investment plans with
oil companies in China, Russia and elsewhere. Analysts say that in
most cases the plans only include memorandums of understanding but
no solid commitments of money.
-By Dan Molinski, Dow Jones Newswires; (58) 212-284-5651;
dan.molinski@dowjones.com