Venezuelan President Hugo Chavez said on Saturday his government will allow private companies to own minority stakes in lucrative Orinoco River basin oil projects that Venezuela plans to nationalize.
Chavez announced plans last week for the state to take control of the country's largest telecommunications company, its electricity and natural gas sectors and four heavy crude upgrading projects now controlled by some of the world's top oil companies.
It had not been clear whether Chavez intended the state to have total control of the projects or a majority stake as his government had previously said.
In a speech to congress on Saturday, Chavez said the private companies -- British Petroleum PLC, Exxon Mobil Corp, Chevron Corp, ConocoPhillips Co, Total SA and Statoil ASA -- would be given the option to stay on as minority partners.
"He who wants to stay on as our partner, we'll leave open the possibility to him. He who doesn't want to stay on as a minority partner, hand over the [oil] field and, goodbye," he said.
"Goodbye, good luck and thank you very much," Chavez added in English.
Chavez's government has already taken majority ownership of all other oil-producing operations in the country through joint ventures controlled by the state oil company.
Most companies have shown a willingness to continue investing despite the tightening terms, which have also included tax and royalty increases.
Chavez, who was giving his annual state of the nation address, said the joint ventures, which were formed last year, have saved the government some US$6 billion.
Venezuela also increased royalties on the four Orinoco projects last year from 16.6 percent to 33.3 percent, a move Chavez said earned the government an extra US$840 million in the second half of last year.
Chavez also said on Saturday that Venezuela and Iran had agreed to call for a production cut by OPEC.
Chavez said the two countries agreed to back a production cut in the cartel to stem a recent fall in crude prices.
"We know today there is too much crude in the market," Chavez said. "We have agreed to join our forces within OPEC ... to support a production cut and save the price of oil," he added.
OPEC in recent months committed to a total cut in output of 1.7 million barrels per day, including a 500,000 barrel-a-day reduction set to begin next month.
OPEC ministers are scheduled to meet next on March 15 in Vienna.
But reports have said OPEC is considering further cuts before then. Citing a senior OPEC delegate, Dow Jones Newswires reported on Friday that OPEC was discussing holding an emergency meeting Jan. 20 to Jan. 21 to reduce output by another 500,000 barrels a day.
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