Uruguay's new leader strengthens ties with Chavez
Comments Apr 7, 2010 11:29 PM (24 days ago) By CHRISTOPHER TOOTHAKER, AP
CARACAS, Venezuela (Map, News) -
Venezuelan President Hugo Chavez offered Wednesday to help Uruguay expand a refinery and supply it with crude oil.
Chavez and visiting Uruguayan President Jose Mujica, popularly known as "Pepe," signed accords pledging to deepen trade and energy ties between the two South American nations.
Venezuela's president expressed admiration for the 74-year-old Mujica, a former leftist guerrilla leader who took office last month. Chavez embraced Mujica when he arrived at the presidential palace, affectionately calling him "a mentor."
Chavez presented Mujica with the Order of the Liberator - Venezuela's highest honor - and gave him a replica of a sword used by South American independence hero Simon Bolivar - the namesake of Chavez's socialist-inspired "Bolivarian Revolution."
Chavez said Venezuela will renew a deal to sell Uruguay up to 40,000 barrels of oil a day under preferential terms.
"The entire consumption of Uruguay doesn't surpass 40,000 barrels a day," Chavez said before he met with Mujica at the palace.
Chavez said he and Mujica also would discuss Venezuelan help in expanding Uruguay's La Teja refinery. He said it should be upgraded with equipment allowing it to refine heavy crude from Venezuela's eastern Orinoco River basin.
Under the accords, Uruguay will export 1,000 vehicles to Venezuela and help the oil-dependent country develop agriculture projects. The two nations also plan to cooperate in building glass and cement factories, producing software and establishing construction companies.
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