Venezuela to boost China oil sales

Venezuela plans to sell China 300,000 bpd of oil products by the end of next year amid a wider effort to attract Chinese investment in Venezuela's oil industry, President Hugo Chavez said.
Venezuela currently sells 70,000 bpd of oil products, mainly fuel oil, to China. This is a fivefold increase from an average of 12,300 bpd in 2004, according to state oil firm Petroleos de Venezuela.

"We hope that next year... this level of supply reaches 300,000 bpd," said Chavez, speaking at the closing ceremony of a China-Venezuela business forum.
Apart from the fuel supplies, Chavez said China National Petroleum Corporation, or CNPC, will jointly develop a heavy oil block in the Orinoco tar belt with PdVSA, Venezuela's state oil company. According to Chavez, the block holds 20 bn barrels of heavy oil reserves and could reach a peak production of 300,000 bpd.

Venezuela currently produces 600,000 bpd of extra-heavy oil in the Orinoco, which is processed at special facilities into synthetic crude oil. Venezuela has invited other countries, such as Uruguay and Brazil, to help develop Orinoco oil.
CNPC also plans to ramp up production at 19 aged oil fields in Zumano area of Anzoategui state. Chavez said output at these fields could eventually reach 50,000 bpd.