EL UNIVERSAL

Venezuelan and Colombian Presidents Hugo Chávez and Álvaro Uribe Thursday initialed a presidential declaration on energy issues and sealed the construction by Venezuelan state oil firm Pdvsa of a USD 300 million, 230 kilometer gas pipeline that is to link the Paraguaná refining complex (CPR), in northwestern Falcón state, to Punta Ballenas, in the Colombian Guajira.

In a joint press conference, marked by camaraderie and jokes between the two rulers, Chávez said: "Since political willingness has been ratified, let us use the months to come so that we can start building the gas pipe as early as possible in 2006."

He expects the pipeline can be completed "in 18 months to two years. In 2008, we will be opening the valves to bring gas from Ballenas to Zulia state and Paraguaná."

He explained that the pipe's first section is to comprise 230 kilometers, but it will be extended to the Colombian western coast "to reach Panama and link to Central America."

Meanwhile, Uribe described the meeting with his Venezuelan counterpart at the Paraguaná refining complex as "fruitful," stressing that Venezuela is to be "owner and operator (of the pipeline), and of course it is to charge fees to companies exporting gas from Colombia to Venezuela in a first phase" and then in the other direction.
 
"We have reiterated Colombian political willingness to accept the layout by Venezuela of the oil pipeline or the multi-purpose pipeline from the production sites it may define to the Colombian Pacific in order to facilitate exports from a Colombian port to all over the Pacific and, of course, eyeing the Asian markets. We have also agreed that the project will have also in Colombia some stations that will add value and for the purposes of improving the fuel," Uribe added in reference to other aspects of the deal during the news conference.
 
In order to fight Venezuelan fuel smuggling into Colombia, Chávez and Uribe vowed to speed up an agreement -expected to enter into force as of December 19- under which the state Colombian Oil Company (ECOPETROL) is purchase fuel directly from Pdvsa and distribute it in La Guajira region.

"It is also to include informal fuel distributors known as 'pimpineros' and to create a bilateral fund for social projects in the border area," Uribe clarified.

He reported that his government has decided to sell a stake in bilateral firm Monómeros Colombo-Venezolanos, based in Medellín. Chávez said Venezuela is to take full control over the corporation. The Venezuelan ruler is to visit Colombia in December, accepting an invitation from Uribe.

According to Chávez, initialization of the gas pipeline agreement is taking "integration beyond thought currents, economic and social ups and downs."

Colombian and Venezuelan Foreign Affairs Ministers Carolina Barco and Alí Rodríguez, respectively, assessed other major bilateral issues.

Translated by Maryflor Suárez R.