Venezuela to start shipping fuel to Guatemala
CARACAS, Venezuela - CARACAS, Venezuela (AP) — Venezuela has formalized an agreement to ship fuel to Guatemala under its Petrocaribe aid program.
Under the agreement, Guatemala will receive 20,000 barrels of liquid natural gas and diesel fuel a day.
Venezuela created the Petrocaribe accord in 2005 to sell fuel to its allies in Latin America and the Caribbean at preferential terms, but the drop in world prices has cut its oil revenues.
Member nations must pay 60 percent of their oil bills to Venezuela within 90 days and the rest over the next 25 years at 1 percent interest. If oil prices rise to $80 a barrel, only half must be paid up front.
Venezuela's state-run Bolivarian News Agency reported on Wednesday that Guatemala's inclusion in the organization has been formalized.
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