Chavez proposes South American 'Opec'
News wires
Venezuela President Hugo Chavez invited South American leaders to create their own version of Opec.
Chavez said the group known as Petrosur would link state oil and gas companies in a system like Opec, which sets production quotas for members.
Venezuela has South America’s largest reserves with 310 billion barrels of recoverable oil.
Chavez does not expect oil prices to fall below $100 a barrel and says Venezuela is willing to donate $1 per exported barrel to finance South American farmers, said the Associated Press.
Chavez met with regional leaders in Argentina today where he praised Brazil’s sugarcane-based biofuels industry, but not the US’s "crazy" use of corn for fuel.
