Don't miss

Replay


LATEST SHOWS

EYE ON AFRICA

Gambia's Yahya Jammeh concedes defeat in presidential polls

Read more

MEDIAWATCH

Gambians herald 'new independence' after Jammeh defeat

Read more

FRANCE IN FOCUS

FRANCE 24 turns 10: A look behind the scenes

Read more

THE WORLD THIS WEEK

Hollande, the One Term President (part 1)

Read more

THE WORLD THIS WEEK

Trump Keeps 'Em Guessing, Italian Referendum, Austrian Election, Castro's Death (part 2)

Read more

FOCUS

Video: Far-right at the gates of power in Austria

Read more

FASHION

Discovering the winter 2016/2017 men's fashion collections in Paris

Read more

ENCORE!

Rendez-vous on '42nd Street' as the meta musical comes to Paris

Read more

REPORTERS

Uzbekistan reinforces its tight grip on election and country

Read more

Americas

President Correa may push legislation to nationalise oil fields

Text by News Wires

Latest update : 2010-04-18

President Rafael Correa said Saturday he intends to push legislation to nationalise Ecuador's oil fields in the event foreign oil companies refuse to sign contracts that would give the country more control over its resources.

AFP - Ecuador's President Rafael Correa said Saturday he will introduce legislation under which foreign oil companies will face nationalization if they fail to sign contracts acceptable to Quito.

"We are sending the (Legislative) Assembly a bill that would give me the authority to expropriate oil fields if these oil companies do not want to sign new contracts on the services they are providing," Correa, a leftist and an economist by training, said in his weekly address.

Ecuador, which is aiming to eventually have full state control over the industry, currently offers foreign owners the possibility of signing deals under which Quito pays operating expenses and set the profits that international companies will receive.

Foreign oil companies operating in Ecuador currently include Chinese-owned Andes Petroleum, Brazil's oil giant Petrobras and Repsol-YPF, dominated by Spanish and Argentine capital.

Under an old model, prior to Correa's government, foreign firms obtained as much as 80 percent of the crude they pumped.

"I have run out of patience on this. The oil companies are playing with us. In the coming weeks there are going to be very considerable actions," a tough-talking Correa warned.

"I have no regard for these companies, which have abused our country," he added.

"Every day that goes by is a day that millions (of dollars) are going to the coffers of those companies when they should be going to the coffers of the Ecuadoran state," he said.

Ecuador, OPEC's smallest member, pumped 466,000 barrels of crude a day (b/d) between January and February 2010 of which foreign companies pumped 41 percent.

In 2009, the South American nation pumped 486,000 b/d, of which it exported 327,000 b/d. That earned the Andean nation 6.28 billion dollars.
 

Date created : 2010-04-18

COMMENT(S)