Pdvsa not to sign new oil supply agreement with Paraguay

Mesmina Giménez, the foreign trade manager of Petropar, said that state-run oil giant Petróleos de Venezuela S.A. (Pdvsa) "told us they will not sign the agreement for the supply of 25,000 cubic meters of diesel on a monthly basis (around 30% of the market consumption) from this July to next December at an average price of USD 800 per cubic meter.''

Venezuela suspended oil shipment to Paraguay after the abrupt change of government in that country.

Gménez told AP that there are two international biddings under way to find other fuel providers.

Paraguay consumes an average of 300,000 cubic meters per month, which are provided by foreign companies, in the absence of oil reservoirs in the country.