President Chávez launches plan to implement Orinoco Development Hub

Venezuela's President Hugo Chávez trumpeted on Monday "Orinoco," a new deal between state-run oil holding Petróleos de Venezuela (Pdvsa) and Guayana Venezuelan Corporation (CVG), to link the Orinoco Oil Belt with Guayana's Mining Belt.

"The strategy is to connect these two areas as one huge area, to be called the Orinoco Development Great Hub, because it is crossed by father River Orinoco," the president exclaimed in a rally with workers of CVG, Pdvsa and Siderúrgica del Orinoco (Sidor) in Caruachi, Bolívar state (south Venezuela).

Pdvsa President Rafael Ramírez and his CVG counterpart Rafael Gil Barrios signed on Monday the Orinoco Convention.

Chávez broke down that the development hub will span approximately 100 square kilometres, encompassing agriculture, agri-business, mining, petrochemicals, oil and energy.

He suggested the incorporation of Petro San Félix, as part of the Orinoco Convention.

The company will be established from Petro Cedeño, one of the recovered oil companies, with the CVG holding at least 10% of the stocks. He stressed that upon the execution of the Orinoco Convention, the projects envisaged under the agreements would be materialized.

The president approved on Monday USD 324 million for equipment procurement and improvement of Sidor plants.

The Head of State noted that by the end of 2012, the first unit of Manuel Piar hydroelectric station, located in Tocoma, Bolívar state, is scheduled to start operations.

Chávez requested Sidor's workers not to block the avenues during their demonstrations.

"Do not block the avenues again; that's no fair," he begged.

He promised to hear the requests of the workers of basic enterprises and highlighted that outsourced workers would be part of the in-house personnel. He reported that 650 outsourced workers are already regular staff at Sidor.

Translated by Conchita Delgado