Ecuador Signs Agreement, 130 Million Barrels of Oil to China

According to Hoy.com.ec the state owned Petroecuador has signed an agreement with China to sell 130 million barrels of petroleum to Chinese state oil company, Petrochina, within a period of six years. Marco Calvopiña, the president of Ecuadorian Petroleum says that he hopes Ecuador can deliver 60,000 barrels per day to complete the contract in the given time period. Officials add that each barrel will be sold with an additional $0.745. Furthermore, the contract states that Ecuador has to deliver 118 million barrels of Fuel Oil. Officials say that oil shipments to China will increase due to two previous agreements signed with Chinese officials, totaling $1,000 million, that have not been completed. An official from the Petroleum Forum says that the oil agreements may not be in Ecuador’s best interest since they are all with one client and they create more Chinese debt in Ecuador, now totaling $7.271 billion.Read Article