Venezuela Seeks to Build Oil Alliance

With oil prices hitting record highs, Caribbean countries are looking with interest to a Venezuelan plan that promises to bring them oil sales on preferential terms.

Leaders from across the Caribbean will join Venezuelan President Hugo Chavez on Wednesday for talks on forming a new joint company, Petrocaribe, aimed at building a regional oil alliance and distributing fuel more cheaply.

Chavez says the initiative is about more than just bargain oil prices, and represents the “union of the Caribbean.” Others call the “oil diplomacy,” as Chavez seeks support for his political aims.
BusinessWeek